The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1922-07-05
COTTON NERVOUS
AFTER RECESSION

t0llOWlHg Ine preulcCeu redcCloH
which carried July cotton from just
a shade under % cents to around
FL cents the market turned ner-
vous. Many factors are at work,
with their influences about evenly
distributed on each side of the mar
ket. Because Of their irregular play
however the counter-balancing
brings about a see-saw movement
rather than the establishment Of a
dead center. 1t is realized that the
next move is likely to be a sharp
one, with little to herald it.
On Tuesday, the first notice day, !
notices for the delivery of more
than 100000 bales were issued to
commission houses of the New
York Cotton Exchange. The tend
ers we're remarkably heavy but
were stopped in a surprisingly
short time. The Spot Cotton
houses seemed to be ready to stop
any notices that came their way.
Weather conditions have improv-
ed since our last review of the sit
u~ation, and the government report
next Monday-July 3-will show
the condition as of June 25. The
report will be much better than
was expected. How much better is
the problem that has made cotton
circles nervous. The crop was
started late and for this reason a
few days or two weeks Of favor
able growing weather at this period
will have a pronounced effect on its
apparent and actual condition. The
advance in cotton recently also has
stimulated the farmer to putting
! his best efforts forward towards
making a good crop. He is taking
much more care of his crop now
than he was a month or six weeks
ago. Cotton is selling for over 500
a bale and this means much more
to the farmer than the possibility
of getting SIS or $50. The i'm
provement in ground and weather
conditions conceded with the adj
, vance to % cents here and he is out
working hard.
But it must also be recognized
that even with the improvement
that has been noted in the past
! week or so the weather from now
on must be exceptional if a big
crop-if even an adequate crop
is to be raised. The growers feel
ings may be raised greatly almost
overnight and the fears of the
trade may be stirred up with equal
rapidity, but it takes 10 than a
! mere change in the outlook to add
a half million or a million bales to
the outturn. What has happened is
simply that for several days, a week
and in some sections a fortnight,
the outlook has shaped up some
what better.
The effect upon price ideas of a
very favorable report Monday by
the government must be taken into
consideration, however. The Finan-
cial Chronicles report suggests an
increase of 10.5 per cent in acre
age and adds that a good crop can
be raised if the weather is favor
able, even up to 100000 bales,
which we regard as hand-painting
the rose. Private condition reports
show increases up to Is per cent in
acreage and a condition Of 74.9. On
the other hand, the Giles report
forecasts a condition of 70.9, an
increase of 81 per cent in acreage
and a crop of 100000 bales.
Until the government figures are
out the market will be nervous.
Out of the way, however, and at
tention once more VIII be directed
to the demands of trade and the
possibility of a crop that will not
be sufficient to carry comfortably
to the making of the 1923 crop.
For the moment it would seem to
be we'll to go slowly but on any pro-
nounced ~recessions from current
J., Nl .~l nnnnrohnr