The Birmingham age-herald., 1924-09-12
COTTON LETTER

NEW YORK, Sept. u.-Much better cables than were expected gave rise to hopes of the much desired rally but much cotton was for sale on the open ing there was no response to the strength in Liverpool which was at tributed to one large English operator covering.
 Many telegrams were received from the south telling of farmers refusal to sell cotton, but as general thing, spot people reported that more cotton was offering than the demand would ab- sorb. Each day of good weather now will incyease the movement of cotton to market and with mills indifferent, buyers at this time believe the actual pressure is yet to be felt. A spell of bad weather would, of course, cause covering, but aside from such up-turns. continue to believe that prices are still in downward direction.-Fenner & Beane to Kahn 6 Virgin.
 NEW ORLEANS, La, Sept. 11.-Cot- ton prices opened up $2.00 bale Thurs day on a surprising Liverpool, which was 25 to 30 penny points better than due. Liverpool was said to be buying and covering with an ultimate inten- tion of forcing an easier basis. One cable said prominent operators are heavy buyers, bear covering, spot de- mana improving.
 There were early reports of some rains in the west as there is much cot ton open in that state, the rains were taken as bullish by the bulls, but the map failed to show any rains, only cloudy in the west with seasonable tenn peratures in the extreme eastern sec tion. While offerings of cotton have been frequent the market was flooded with wires of farmers holding cotton. Inc l. cotton back home from the gins. Good news continues disappointing in general Shade lower prices are quoted and buy ing mostly in small lots. There are pre- dfctions of good distributions for fan trade. The exchanges were somewhat better. Levy and Aronson to S. R. Stewart.
 NEW YORK, Sept. 11.-It was the general belief that the market would open lower this morning in view Of the apparent weak condition yesterday. However, Liverpool came higher and was a complete surprise and their req son for the advance was given as short covering, and fresh buying by London interests in Liverpool. In view of the advance in the foreign market our mar ket opened well above last nights close on very brisk buying by local short in terests and from commission houses. The theory advanced this morning was that a natural reaction was due in view of the rapid decline that has taken place since the government report. It is our belief that the selling was consid- erably overdone. However, the market still lacks certain amount of buying power, but with the short interest thai now must be in the market, unquestiou- ably the smallest amount of bullish news would cause a very sharp rally. The movement of the crop will be felt in the next 10 days or sooner and the hedge sales if taken by the trade will put the market in an extremely healthy position to advance. We cannot help but feel that the trade expecting and waiting too long for a further decline and we feel that it would be advisable for the mills to buy certain quantity of their commitments at this time. We think 1t would be the safest thing to do, for should the market advance, they will have the satisfaction of hay ing some cheap cotton, and should it decline, they could average their price.
 HUBBARD BROS. & CO.