The Birmingham age-herald., 1924-03-29
COTTON LETTERS

r. NEW sYORtk, March ZS.-Under 1n-
 fuenee of scattered short covering due ! the weather over the weekend the market has shown a rather steadier tone
 but the demand still lacks weight or
 force and it looks easier to buy than
 to sell on the bulges that take place. Just what Is required to start the enor-
 nous short interest covering in earnest
 is difficult. to forecast as legitimate l factors which, have ordinarily served I to bring on buying have failed com | pletely of late to produce any such ef-
 feet. There Is nothing to be gained by
 marshalling the bullish factors which
 exist nor by attempting to argue the
 market into advancing. Excellent | judges whose opinion have been very correct in the past regard the situa- tion both technically and statistically as becoming increasingly acute and
 foreshadowing later violent convui- sion though the exact time for that they do not. pxofesss to be able to set.- With
 the extremely unsettled conditions that prevail 1t looks best to keep commit
 ments small andlwait on developments though the immense accumulations on
 the short side of the market for both
 trade and, speculative account make short sales appear exceedingly danger.
 ous.--Post & Flags to Shannan & Co. NEW YORK, March 2s.-Trading has not been very active today but the
 market has been subjected to a renew
 al of considerable selling pressure. This
 broke out with special insistence in the early afternoon but has been followed toward the close by some recovery. Teh lannouneetnent of the attorney generals rsfgnations seems to have been tn sig nal for renewal of selling but we
 cannot see the force of 1t, as we think 1t gives the President an opportunity
 of strengthening his cabinet at its IwrYa int nd f~lr he hoe
 handled the situation with eminently good judgment. Money has been somewha thigher in the last week, due to the withdrawal of funds caused by the low rates at the middle of the month. The general situation remains unchanged. There is big short interest in the market, there
 Is full and sufficient supply of money for carrying securities and while busi-
 ness has undoubtedly let up and in-
 creased uncertainty in business circles,
 still there is no. reason to believe as teriai slump in the trade of the coun- try. Under such circumstances the market could rally sharply on any fa-
 vorabIe news. Sales, 963, 000.-Post &
 F1agg to shannon & Co.
 NEW YORK, March 2s.-Rains de-
 veloped over the cotton belt last night; and, as a result, we have had a steadier | market today, although the sentiment | still continues very pessimistic. If
 tions now point that they may over l Texas, 1t will mean a further delay
 to the preparation of the crop, which
 Is already off to 8 fairly late start.
 Much attention is being drawn to
 the price of the new crops, and we
 hear more talk of the EalAe of these months at present prices in face of all the vicissitudes which the growing crop
 must pass through before maturity, and the idea is beginning to spread that regardless of what temporary fIuctua- l tions may be that new-crop months
 are getting, down to very reasonable
 basis. .a We believe that this thought will be- come stronger as time goes on and will | gradually absorb the offerings of those
 who still believe that there is but one
 way for the market to go, and that is lower. Of course, after such a decline as we have had, 1t takes a little time
 to restore confidence and turn the mar
 ket, but we believe that present prices fully discount even the poor dry goods
 trade, because it Is a long time before
 any increase in supply will be available.
 If anything does arise to bring a
 change in sentiment, there will be very little offered on an advancing mar
 ket.-Hubbard Bros. & Co.
 NEW ORLEANS, March 2S.-Cotton was active today and more two-sided than 1t has been for some time. The unfavorabIe weather outlook, increas- ing tightness of spots and good textile. reports from abroad encouraged buy ing on the breaks, and the market seemed to- get better support. As re- suit the rallies were more extensive and held better, and closing quotations showed a substantial gain. Predictions of bad weather and Of storm on the Texas coast stimulated covering at the start but the critical labor situation in England and small takings seemed to
 encourage good deal of selling and prices reacted rather sharply around the middle of the day. They rallied later on moderate covering, and then dipped to the lowest of the day on pro- fessional selling apparently brought on by the weakness of some stocks and labor condition abroad. However, this break. met good buying on the theory that the market is heavily oversold and that shorts, which already have out large lines, are pyramiding. Trade in- terests were reported good buyers on this break. Shorts apparently became frightened at the, support the market was getting and a good many covered in the last half hour, giving the mar lket- an encouraging closing. Sentiment seems to be more friendly to the buy-I Orange, Tex, from Trinidad with as- phalt and the Albert Myer due here. The Else sailed Friday morning. J. M. Scott's schooner Hope Sherwood sailed Thursday from Port Arthur to May