San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-01-01
SOuthMuStPrOduceMOreC Cotton
Reserve Is Small, the World Demand Is Constantly
Growing and 1923 Should Be Big
r-...-s Year for Producer.

of maturing a crop. Similar, though
less extreme conditions in other sec
tons and, instead of the dry May usual
ly regarded as a necessary precedent TO
a good yield, rainfall continued much
above the average. While planting
became possible in the East, the plant
itself had a poor start so that the June
condition fell under 20. Instead of a
heavy increase, the final acreage proved
but 34,S52y 900, compared with S1,6IS,-
600, the previous year, an increase of
10 per cent.
The Weather Improved.
Conditions during the latter part OF
June and throughout July turned more
favorable and for few weeks ii looked
as though a change for the better had
definitely arrived. With ample sub-soil
moisture dry, hot weather caused the
plant 10 grow luxuriously. 1t was just
such July weather that attended pro-
gress Of the enormous yield in 1914, the
largest crop ever raised by the South,
From the weather standpoint, only
one development appeared to be neces-
sary TO permit recovery from a poor
start and that was generous August
moisture to carry the plant through to
maturity. Then came the final blow
showing upon what slender foundations
all hopes had been based.
Texas Drought Killed Hopes.
As though a line had been drawn
through the Southern states, weather
conditions in Eastern and Western re-
gions grew daily more strikipgly diver
gent. West Of that line, the sun beat
down remorselessly for six weeks, at
many points with hardly a drop of mois-
ture throughout that period, Heat be-
came intense. In Texas three-fourths
of the state registered n temperature
over 100 degrees. In Oklahoma, the
entire territory sweltered under a heat
of 100 to ia degrees week after week.
In mid-August, il became evident that
the crop was going back rapidly. BY
August 90, little hope was left. Only
LIS inches of rain fell in Texas during
the month Of August, compared with
$50 inches in 1914.
Insects F1ourished in East.
During these weeks of drought in
the West, Eastern sections were being
treated to excessive moisture. There
were barely three successive days of
sunshine at many points in the At
lantic states. Growth became rank, in
sects flourished, and from opposite
causes but with the same results, plant
ers east of the Mississippi river faced
a dismal outlook.
What at one time promised a posi-
bic outturn of 100000 bales was re-
duced to 100000 according to the an
nual Washington estimate and the
spinning world was faced with a yield
in two years of less than 1S,0O0,000
bales Of line cotton, something not pre-
viously experienced in quarter OF
century.
Effects on Values.
Effects on values of so momentous
4 change in supplies of raw material
were not slow in developing. Though
prices had risen from 16 and is cents
in April TO % cents by July LIST, under
active trading on all three exchanges,
the market came under the shadow of
on abnormally free early movement of
the new crop throughout September.
But with the final Washington condi-
ton report in October. indicating a
yield at that time of but 10,135,000
bales, excitement began.
Weight of Southern selling lifted and
from n basis of 201-2 cents for con-
tracts in New York, the price rose
steadily, sometimes with violence and
again more slowly as profit-taking
movements swept over the market, until
in six weeks contracts registered 20 81
cents. 1t would be difficult to find a
similar movement in the entire history
Of cotton, considering the season of the
year and the fact that growers offered
portion of their production on each
sharp advance and in view of the UNI
precedented level of prices. Between
October 3rd and the elimination of the
rise on November 9th, cotton markets
of the world provided one of the most
sensational upheavels in more than one
generation.
Rush i'm Cotton Goods Trade.
Owing TO the passage of the Tariff
Act, domestic dry goods prices began to
advance rapidly in September. Follow
ing r protracted period of inactivity. a
sudden rush of new business started a
boom. which coupled with the course
of cotton. brought American mills into
the market in a scramble TO protect
themselves against future needs. In less
than two months sales of spot cotton
in the principal Southern marleets ex-
ceeded 100000 bales while purchases
of contracts on the New York and New
Orleans Exchanges cannot be estimated.
Hundreds of thousands of bales
changed hands daily and only the fu-
ture can disclose how large a quantity
of contracts. sold as hedges against the
visible supply. are now held for the ac-
count of spinners in some part of the
world Facilities for doing business
were taxed TO the upmost limits of
fLair ranorify CLERKS NunrtinV far intO /
the night to clear their books for an
other day as exciting as its predecessor.
The Foreign Crops.
In view of the extremely high priced |
cotton and anxiety over the whole prob
lem of necessary raw material TO sup
ply requirements of the world. n review
Of the year would be incomplete with
cut some reference TO foreign grOwths. |
For the past three months, English and ,
Continental manufacturers have bought
a larger percentage of Indian cotton,
owing TO its relative cheapness when
with American.
Instead of the normal amount OF
1ne-half or twO-thirds American in daily
sales in Liverpool. transactions have
amounted 10 only about one-third Of the
total. the balance being cotton grown
outside Of America. The Indian crop is
estimated at about 100000 bales and
he Egyptian at approximately 1000
400 bales. 1t is also estimated that
China has produced 100000 bales this
year.
World Deficiency Exists.
As consumption of all kinds. last sea-
'on, exceeded 20.O0O,OO0 bales, there is
hus a world deficiency which must be