Atlanta tri-weekly journal. [volume] (Atlanta, Ga.) 1920-19??, 1921-09-27
STRENGTHOF COTTON
MARKET MAINTAINED.
DESPITE BEAR DRIVE
Fails to Crack When Long
Interests Withdraw Sup
port and Cash in Paper
Profits-Spots Above zoe
BY ESTES DoREMUs

Tic past Two WcGhSy has SIlOWh uOhC
of its pyrotechnic tendencies of the
previous fortnight, when gains and
losses of the limit Of 900 points were
registered in a single days session,
it, has retained it's strong undertone
and today Atlanta spots are within
so points of the record mark since
last November, the last quotation is
sued on the floor of the Atlanta Com
mercia1 Exchange being 2O.25c per
pound, or slightly more than 500 per
bale. The high mark for the present
movement was 20.75c.
The present value, therefore, Of
Georgia's potential yield of 100000
bales still is approximately $83,200,-
900 against $44,000.OOO when the
seed went into the ground early last
spring. In other words, the crop
has all but doubled in value since
planting time, and forecasts made by
experts in these columns a month or
more ago have been borne out.
Although the market has suffered
reverses from high points in the past
two weeks. it. was in position to
withstand pressure of big selling or
ders and hedges and still retain the
better part of it's equilibrium, ulti-
lmately advancing to levels well on
the way to the 20-cent mark.
As a matter Of fact, the strength
of The market, when forsaken by long
interests, has been something to mar
vel at. When bulls had pushed de-
liveries to the limit and cashed in on
paper profits, almost completely
withdrawing their support, the mar
ket refused to be stampeded and
level, which is generally seen as
minimum for this seasons crop.
Conditions Hold Market Up
for the eason. Il is apparent on the
face of the action of the market that
has been almost entirely in the hands
of the bull element since the gov
eminent condition report estimated
the yield Of the south's crop at 1885,
900 bales on September l. 1t was
this report that gave shrewd opera
tors an opportunity to cash in on a
market backed by concrete evidence
of an appalling shortage in the staple,
and early advances were as sensa-
tional as any ever seen on the floor
of the New York and New Orleans
exchanges. There have been recess
sions. the. sharp. ones. but the recov-
cry always has been quick, and sub
sequent gains have more than Off
set breaks, so that actually and
today as it was when the upward
movement began. though not SC
spectacular.
The narrowing Of the market was
taken as a strong indication thai
prices were seeking level based or
actual crop conditions and not or
and temporary causes, and this has
been proven correct by it's action in
holding up we'll when bulls withdrew
tt cir support and adopted an attitude
a watchful waiting, and made ready
to Jump with the cat" The mar.
ket did drop, but 18 cents appeared
to be the bottom for near deliveries
ure. the slightest buying again SEM
them skyward.
The buying public, then satisfied
that the price had reached the mini
mum on the basis of the September
report, went back into the market
and Saturday October options were
within 2 points of 20 cents with other
months trailing closely behind ant
well past the 19-cent level.
Government Report Awaited
The tendency of the market to mar
row and even to show signs Of stag.
mating around 10 cents. was well
coined in some quarters where conf.
dence was felt in an increased price
when speculative buying and selling
ceases to be q factor in advances and
breaks that were not justified by con-
ditions. There is general feeling
that the bull year is here to stay
and trade has picked up remarka bly,
since the farmer has been assured a
reasonable profit on his product
King. Cotton IS wearing his crown
with a pride he has not known In
many long and patient months.
The close of the New York market
Saturday was strong within few
from 81 to a little more than $1.50
per bale over the previous close
which was good sign in the face of
the weekend holiday.