Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1923-09-17

demonstration Of strength in the ta'lI
of record-breal;ing receipts at III,
principal markets since last Wintsf.
The advance may not be SUSTAINED
when the big Fall runs are made
but il shows how readily the riark:t
responds when demaa ard supply
come into fairly balanced relations
The market for we'll finished eattl.
also has been much stronger. and
sheep and lambs have been dong
well.
The Cotton Situation
The cotton situation Ia been an
extraordinary one throughout III,
year. Two short crops in succession
had reduced the stocks 10 point
where anything like normal consump-
ton would exhaust them before this
seasons crop would be made. But
the high prices which resulted from
this prospect ha the effect OF re-
ducing consumption in some OF The
principal markets. Exports from th.
United States in the crop year ended
July 81, 1923, were 100000 bales
which compares with 100000 bales
average exports in the FIVE years end
ed July 81. 1914.
The following il an extract from I
recent letter by member OF the stan
OF the London branch Of this Bank,
touching this subject.
The Manchester spinners simply enr'I
paw the )rice for American cotton and rsis
it I'D into goods that will compete in ns
markets OF the world. More than threequaft
ers OF the business done ia Liverpool used %
be in American cottons: now the Amefaa
product constitutes less than onshaR oi nv
total and the rest Of the business 10 IN w
;o-called Outsiders" l. E. PerUvisns. Afrleihi
and Indians. Manchester prefers the Anr.
lean cotton and will return TO il AZ 5000 y
possible. because thev have been using u iel
generations and therefore know the ffas"
we'll. Furthermore. the grades are uhiimh'
which is more" than can he said Of the ssa.
siders," and this makes for better produspSa
from the spiniles and looms" IA,
The official figures for British tx.
ports Of cotton piece goods supper,
this statement. For the month OF
July, 1923. these aggregated 3l6W.
600 square yards, against 63S,VlW,
in the corresponding month OF i'iA
and 443,6l0.000 square yards for july
1922; for the twelve months, August
1922, TO July. 1923. inclutive. tney
were 4,309,661 900 square yards
against 7,O75,559,000 in the cores
ponding period. 1928.
The reduced stocks and advanslhs
prices induced the eetton-growhs 70
pant last Spring the largest atrase
OH record, but with drought IN 'ne
Southwest, too much rain in sn'
Southeast and insect pests Ttfl'
where the market has been kept
a constant state Of excitemen: tryns
TO estimate the outcome. The gov
eminent July report (as OF July ~.
indicated a crop OF about ll.sOOs"
bales. but the August report brouga'
the probable yield down to lO7@-t
600 bales. The total carry-ovtf q
American cotton is about z,50OF"
bales, which woald give total sup
ply Of about 13300,000 bales. CON
sumption is estimated by SecreaV
Hester. OF the New Orleans Cotton
Exchange, at 1901 900 In the a..
year and 100000 in the prerpu'
year. 1t must be borne in mind W.
it is impossible to get the assresae
carry-over at home and abroad mpen
below 100000 bales without veY
extensive curtailmeht Of mill Opera.
tions. In view Of the small stocS'
Of cotton goods everywhere, the eor
look is one to cause apprehension u
the trade.
The drought in Texas and Osla'
homa is now broken, and II IS pos.
sible that the crop may make som.
recovery in that section The prs.
has advanced about $500 per pa'
on the government report.