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12 D IIKARST'S SUNDAY AMERICAN, ATLANTA, f»A., SUNDAY. AFfiTT. 27, 1913. T News and Views by Experts of Finance, Industry, Crops and Commerce FOR PAST WEEK Activity in Other Lines Ease9 Somewhat Despite the Fa vorable Weather, FARMERS MAKING PROGRESS More Interest Shown in Banking Laws Than in the Proposed New Tariff, By M. A. ROSE. Activity in most lines except retail trade ha* cased off a little during the week. Retail trade, aided by the best of weather, and in Atlanta by the crowds of shoppers from other towns, here for the opera, was excellent. Summer weight goods, shoes and men’s fur nishings all moved rapidly, and some Whitehall Street merchants say it has been among the best weeks of the year. Demand for money continues brisk. Though the rate for call loans in New York has eased, the rate for time loans remains about -the same. South ern banks are supplying funds for all going concerns worthy of credit. Money for new enter prises or for ex pansion is more difficult of access. Deposits are holding up well. It is said, and not denied, that it is bard to borrow from State banks for real estate purposes Just now. The real estate market Is not as lively as it has been. Whether the banks aw conservative because the market is duller or whether the market Ip duller because the banks are conservative la t nice question for debate. Inquiry for’stocka and bonds shows some revival. Those in the market nave small sums, however, and nr« bargain hunters.” so much po that few trades are being made. THE TARIFF. Proposed tariff changes cause some discussion, but only the dry goods job bers seem vitally interested. Proposed currency legislation is creating by far more talk Atlanta bankers are now and always have been keen advocates of a revised national system of bank ing, and they think proper laws in this direction more important than any • possible tariff change. Statistics from the United State* «’rop Reporter, just issued, show that Georgia farmers pay higher in terest for their loans than the farmers COTTON PRICES NOW ARE AN INDICTMENT OF NEW YORK RING NEW ORLEANS, April 26.— No strongor indictment of the method* prevailing in the New York cotton market could be drawn than the cur rent quotation* on May contracts there and the price at which actual cotton is selling In Southern markets. May in New York closed Wednesday at 11.37c, while the official quotation for middling cotton in the local sopt market that day was 12 3-(tc. or a difference of practically 100 points. Seldom, If ever, In the history of the cotton trade has such a state of af fairs existed, and the bold-faced ma nipulation of the New York market, which has been unduly depressed, with tl.a Idea of forcing Southern spot holders to turn loose their cot ton, is calling forth the severest criti cism here. Colonel W. B. Thompson, former- president of the New Orleans Cotton Exchange, who has, on several occa sions. appeared before congressional committees to defend the system of future trading, has denounced the ac tion of the New York market as "out rageous.” To the credit of Southern spot Interests. It must Ire said that they are bravely standing to their guns. Although there has been some shading of official quotations on of ferings of scattered lots of spots, ex porters vrho enter the market find such great difficulty in obtaining average running lots of cotton that they are compelled to call for deliv ery of cotton on contract In this mar ket In this market the contract is based on Government standard types of the various grade* Hence, the buyers of contracts in this market know that their contract calls for something, and that there is no fear of their being tendered and having to accept what is known as "dog-tail” cotton, such as In tenderable In the New York market. The small discount at which May contracts In this market are running under spots represents only a possibility of the receiver being tendered tinged or stained cotton, the penalties on which are not quite as heavy as export interests In this market would like to see. But even with this little obstacle in their way, several large export firms have decided to take up cotton on May contracts in this market, be lieving that they esn fare as well by taking up the cotton on contract ns they could by going into the open spot market. It is for this reason that the May position In this market continues lo rule at a premium of 15 to 18 points over July. The differ ences between here and New York on May continue to widen dallv, and were recently running ns wide as 80 points In other words. May con tracts in this market have been com manding « premium of 80 points over May in New York, that premium rep- of any other State, with the exception of Alabama. Texas farmers pay within »n infinitesimal fraction of the same rate. Bankers have no quarrel with the figures. They take them as a text, and from this text preach currency reform and diversified crops. Georgia. Texas and Alabama, they say. arc to a large extent "one crop" States. It takes a long time to make a crop of cotton: the farmer must borrow enough to run him all season This* makes keen demand. On the other hand, the supply Is scarce, for deposits are small. Under the present banking system, ilie only way for banks to get addi tional funds In the face of high de mand is to borrow in New York. Banks iri cities the stxe of Atlanta pay 5 pier cent In New York. Coun try banks in the South pay 6. It is pointed out that if there were a central market for paper, the ooun- :ry merchants' notes and the farm ers’ notes could be rediscounted as apldly as the demand for additional funds arose. English and German banks never owe a cent to other | resenting the difference In the intrin sic value of the two contracts In the course of the trading recent ly, It developed that the same inter ests which have been depressing the May position In New' York were short of Mays In this market. As, even at the premium prevailing over New York. May contracts in this market are not on a tenderable basis, the New York interests short, of Maya here are In a tight position, from which It will be almost impossible to extricate themselves without great loss. First notice day has already ] arrived, and while shorts will have until the last day of May to deliver on contract, they will find that they will have to compete with the Aineri- j can mills and spot shorts for such ac- \ tual cotton as muy be offering during the month of May. Such an interesting situation hav- 1 ing developed, the outcome of the May deal in this market is anxiously awaited. It is believed here that Liv erpool interests may step) In at th< last moment and take up, the entire ! New York stock, in which event the j army of speculative trailers in that . market may come to grief. Prank I) Hayne. to The Vmeric an’s correspondent, said that New York would not have dared to have put May contracts so low had It not been for the Government suit which has prevented bullish interests from co- j operating against the combined ef forts of Wall Street speculative inter esls in New York to depress the pric, of the South’s great staple. The people of the South are already becoming aroused over the concerted attack being made by bearieh, inter- j ests in New York to depress cotton values and to force Southern spot owners to unload, and It Is thought likely that some united action will be taken to have the Sherman antl-trusi law amended so as not to militate against bullish operations in the cot ton market. If this can not he done, then the agitation to reform the methods prevailing on the New York Cotton Exchange will be renewed. Government supervision of cotton ex changes is the remedy that has been suggested. Many complaints have recently come in from Texas and other parts of the belt regarding the damage done to the new crop by the cool nigbi.e The plant is growing poorlv and in many localities replanting has been necessary. The recent rains in Tcxh- benefited the crop in that section, but the benefit was offset by another ,old wave, which is causing some concern here, lest the Texas crop should get a bad start. With warm, dry weather from now on. the crop may recover lost ground, but should n “wet Muy” be encountered the talent here would at once think of starting a bull cam paign, on the theory that the crop would probably be a short one. where as the world will require one of at least 15,000,000 bales. LOANS EXPENSIVE Average Rate of Interest for the State 9,98 Per Cent, Federal Report Shows. SPOT DEMAND DIES; OWNERS HOLD BAG banks. They simply rediscount their paper. But if an American bank were to take one of its customer’s notes across the street to its rival and at tempt to sell it, everyone would think the institution was on the verge of failure. It is said that Atlanta banka with j a temporary surplus have sent funds to New York to draw 2 per cent In terest while banks a few blocks away, with temporary' need for cash, have borrowed in New York the same day at 5 per cent. For these reasons and other* the South will profit more by some sort of central reserve system than It possi bly could lose from any sort of tariff tinkering. in the same set of figures was the information that Florida farmers bor row considerably cheaper than Geor gians. Florida Is a State of varied crops—citrus fruits, truck, berries and the ordinary forage crop# and grains prevent the reign of King Cot ton from being despotic. The Florida farmer makes several crops a year, vegetables, fruits, po tatoes and the other products follow- ing in rotation. Every few months ho has some money coming in. He does not need to borrow, or if he docs, not for so long a time. He has deposits to make several times a year instead of once. This epel 1 * cheaper money. These financial sermons are not new, but seldom have they had so striking a text. FARM WORK PROGRESSES. The weather has been decidedly propitious for farm work. Well-In formed cotton dealers think Georgia will be through planting by May 15. Cotton futures have declined still more, probably because of the excel lent new cron prospects, although the futures markets seem to be under going extensive manipulation, and ■pots are paying little attention to the paper deals. Dry goods trade is fair The num ber of orders Is large, but most of them are fqr small consignments .ToDPers are preparing to open up fall lines May 1. They have their sam ples, but are not showing them. A considerable number of buyers, at tracted bv low fa-res, have been in At- anta. Woolens, under the stimulus of concessions In price, are moving well until jobbers' stocks are well trimmed to meet any change In the tariff, what effect the tariff will have on cotton goods is a matter for de bate. Wholesalers are buying as lit tle as possible until this question '-s settled. Wholesale grocers say they “have no causa for complaint. ” The volume ^Jf busies Is about equal to that cf wetik. MEMPHIS, TENN., April 26.— Weakness in the old orup futures, es pecially in the May position in New York, together with favorable condi tions surrounding the start of the new crop hud a discouraging in fluence on spot buyers during the past week. The result was that the moderate revival In demand which developed during the preceding week sub sided and the owners of the un sold remnant had the hag to hold. There has been some weakening in quotations, but not enough to adjust the wide disparity between the ac tual and the shadow, and It is still a mutter of difference of opinion as to when the adjustment w’ill take place. Not only is there an unnat ural difference between contracts in New York and spot prices in the South, but New Orleans summer months are likewise out of line by comparison with New' York. Liverpool I* ruling at s premium which indicates better support to the bull side abroad than lies*, and it strengthens the idea that there is foundation for the report that when Muy tenders are made in New York In a few days, many of them will find tlieir way to the hands of foreigners. The proposition is regarded by many spot people an attractive, ns there is a considerable portion of good cotton in the New York stock, and it is by far cheaper than anything to lip had In the belt at current price levels The explanation of the comparative steadiness of contracts in New Or leans la In the fact that the Southern speculative center keeps closer to the spot markets than New York Business at this center has fallen off sharply from the previous week's volume, yet prices have not been re duced much. There arc more sales than receipts front daj to day, but unsold stock is still proportionately large, slightly over half the total. Middling is quoted at 12 1-4 cents, which means that shipments fpr de livery at New York are out of the question from this territory. The feeling among the factors is still one of optimism, for it is believed there will he sufficient demand before the summer passes to take everything], though opinion as to prices is hardly so positive in favor of present’ levels. The excellent weather has aided In getting the new crop started Except in those districts where the flood has been a menace and lias kept ^planters from pushing tlieir work, conditions are much more favorable than a year ago. There has been quite a lot of planting arid some advices say that stands are already good. Some re port* say that the cool nights have done injury to the young cotton, while rains were needed in some sections before they came. The receding wat ers have been followed bv a rush to the lowlands, anti It will not take long, given suitable weather condi tions, to get the seed into the ground In some kinds of soil the seed will be planted without waiting to plow as this has proven satisfactory in the past. The Indications now are that the average start for the crop in this territory will be several weeks ahead of a year sgo. especially in the over- flowed sections. The presumption continues in fa vor of some acreage Increase, though estimates are not yet attempted Georgia farmers pay $9.98 interest per year for every *100 they borrow from the banks. They pay higher interest than the farmers of any other State in the South, with the exception only cf Alabama, where the rate is 10.02 per cent. North Dakota, Oklahoma. Now Mexico, Arizona and Alabama farmers pay higher rates of interest than Georgia. It may be noted that all of these, except Alabama, are compara tively new States. Against lessened interest burdens in many States, Georgians are paying higher rates this year than In 1912. Last year the average rate of interest was $9.67 per $100. The average for the nation Is $7.75. These are figures compiled by the Bureau of Statistics of the Depart ment of Agriculture. To country banks of the United States 3,000 let - tors were mailed, asking: “What is the average of the current rates of interest paid to banks by farmers for three to six months' loans? (Rates which will represent as nearly as possible the average c,f til! such loans, secured and unse cured.) • "What was the average for similar loans a year ago?” About 90 per cent of the banks re plied. Averages bv States. Average rate* of interest for farm loans in Southern States follow: Vir ginia, 6.21; North Carolina. 6.39; South Carolina, 8.06; Georgia, 9.98; Florida, 8.80; Kentucky, 6.86; Tennes see, 8.28: Alabama. 10.02; Mississippi, 8.26; Louisiana, 8.33; Texas, 9.97; Ar kansas, 9.67. The divisional average for the South Atlantic States is 7.36 and for the South Central Stales 9.51. Rates in the South Central States show a de crease from last year, when the aver age was 9.68. As might be expected, the lowest rates are paid in the North Atlanti: States, where the average rate is only 5.96 per cent. Six per cent is the pre dominant rate there for short-time unsecured loans, and 5 per cent for se cured loans. The statistician comments; 'As one goes southward from Mary land through the Atlantic Coast Stales the rate tends to increase, ex cept that in Florida the rate averages somewhat less than in Georgia. A banker in Maryland, who reports the Interest, rate at 6 per cent, writes' ‘Mortgage loans made to farmers are generally made through lawyers; in addition to their fees for preparing the papers, the lawyers charge 2 per cent for getting them the money.’ Borro Won Crop. "In South Carolina and Georgia the rates quoted vary’ more widely than in the States farther north, the range being mostly 8 to 12 per cent. Eight of the 31 reports from Georgia give a higher average rate for this year than for last year, and but one a lower rate.” It is remarked that farmers in these States borrow on pledges of live stock and cotton to be made, and that short-term loans seldom are attempt ed. “In most of the cotton-growing sec tions of the South loans are usually made for six to twelve months,” the report continues. ”A banker in Ala bama writes: ‘Banks in this section of the country make loans in small amounts, say from $30 to $100 or $200, to tenant farmers Who own only one or two mules, a .vagon and a cow, and who depend entirely upon a good . rop to pay them out of debt; this class of farmers usually pay about 1 per cent per month for their loans; but farmers who own their farms can get money at 8 per cent.’” James J. Hill Gives Railroads Advice High Water Hampers Lumber Shipments Cypress Mills Threatened With Flood. Demand Strong—Prices Higher. Exports Heavy. NEW ORLEANS, April 26.—High water is making the lumber traffic sit uation in this market more or less acute, especially in the cypress dis trict, In the Lafourche and Atcha- falaya River levee districts large forces of men are kept guarding the levees night and day, and thousands of feet of material for flood fighting are being accumulated at spots which are thought dangerous. The T. & P bridge at Melville went out Monday and, although the Gould lines out of New Orleans are advertising they are taking freight of all kinds, it is be lieved it will not be possible for them to accept lumber on account of the mass of preferred freights. Cypress manufacturers are rushing their stock to market us fast as possible, so as to have small stocks in factory’ yards :n case of ari overflow. The market on cypress of all glades istflrm. with prices to advance from $1 to $1.50 per 1,000 on common lum ber during the next fortnight. The Ohio Valley is beginning to flood the factories with inquiries to repair flood damage. Yellow pine prices are also firm, with local dealers making heavy ad vances on all grades. The mills on both sides of the Mississippi are run ning double shifts to full capacity and selling their output f. o. h. cars mill as fast as they can turn it out. Illinois and the central and upper Mississippi Valley States are the heaviest consumers. Bridge timbers and hewn pieces, as well as piling, ire in great demand from the Ohio Valley States, the railroads being fhe best bidders. The car supply on the east side is adequate and operators are well satisfied. A congestion Is j likely to ensue on the west side. In the export market things are I humming. Prices are irregular and almost any quotations can be had, according to whether the dealer is a buyer or seller. Somy report that hewn timbers are down from 30 to 23 cents a cubic foot. Piling is steady at 13 cents a foot, and creosote plants are demanding long lengths—that is, from 85 to 100 feet Timbermen coin plain the price is too low. .AHEAD OF IRON Pig Being Made Faster Than Taken, While Fabricated Steel Is Badly Wanted, BIRMINGHAM. ALA.. April 26. - Curtailment of production of pig iron in the Southern territory is not heard of yet, though the make is considera bly greater than the demand. Some of the more optimistic iron men as sert it will not be long "before some buying will set in. The price for pig iron in the Southern territory now averages around $12.50 per ton. No. 2 foundry, though it is reported there is a better price obtaining in some quarters. Cast iron pipe makers are melting iron steadily, and it is un derstood there have been some orders received recently. The greater num ber of the pig iron manufacturers in the South aver that tariff agitation has affected the market. The activity in the iron market the last half of the past year cleaned off the yards well and the make can bo kept up to rec ord marks, and at least six months’ time will be necessary to stack the iron up again. When the activity set in last year the prices were under $12.50 per tun, No. 2 foundry. Cast iron pipe makers expect to send their product in all directions, as was the case in 1912. The extreme West is beginning to make some in quiry for cast iron pipe and the indi cations are there will be a good de mand from that section. There 1 ! is need for pipe in the Southern terri tory. ’J'he orders for steel are beginning to dwindle. Good prices still obtain and in some lines there is a little strength shown. There is but little, if any, steel be ing accumulated or sent to ware houses. Fabricated steel is in good demand, the product being shipped to various parts of the Southern terri tory alone. This means active opera tion of the rolling mills'at Bessemer. ’1 here* are reasons to believe that ad ditional orders will keep the points In fairly good operation through the en tire summer. Charcoal iron is being used freely, wheel works In the South having or ders on hand. Basic iron s well as special brand and analysis .ons com mand good prices. The plant of th* American Radiator < 'ompany, under c onstruction at North Birmingham, will be completed soon. It is asserted that when once in full c i ration this industry will use a con- sit 1 < rable tonnage of metal anu give ‘ mplovment to many mem. The plant will cost upward of $500,000. The new cast iron plant being erected at Boyle?!, just outside of Birmingham, will shortly begin making some prog ress above the foundation. It is in tended that this plant be completed and in readiness for operation by fall, when a general revival Is expected. NAVAL STORES MARKET IS REVIVING RAPIDLY SAVANNAH. GA., April 26—There : has been a general resumption of ac tivity in the naval stores market fol lowing the definite announcement that the American Naval Stores Com pany will not again participate as a buyer. Uncertainty as to what the suspended trust would do after the creditors took charge of it was large- | ly responsible for the recent stagna- | lion. Rosins are selling liberally on a steadily rising market. Turpentine has remained a ready seller through- • out the depression, although prices are now easing oft a little bit follow ing the resumption of trading in ; rosins. Receipts have been and are very good. Much of t,he accumulated stock is now moving. There is a brisker tone on the market than at any previous time during the season. It is apparent that there is to be a large curtailment in the output for next season. Buying orders from European fac- ! tors have been coming in with some ! regularity, which means, it is be lieved, that, the foreign trade is being gradually weaned away from substi- ! tutes. OTHER EXPORTS 1FF5ET COTTS!, During the five months from Oc tober 1 to the f nd of February, * third of the country's entire raur . chandise export trade was made up of cotton. Exports of that eommodi- ty were $381,996,000, as compared with *355,321.000 In the corresponding period last year, when, as a conse quence of the 18,100,000-bale crop of 1911, cotton exports established i high record. It was largely through the enormous volume of the cotton exports this past winter that wc built up for the period a foreign credit balance on merchandise account that i had been exceeded only three times in the country's history. In March, however, as shown bv the Government, the country's ex ports of cotton decreased heavily their value was *23,600,000, which was the smallest for the month In ten years past, and which compared with $60,500,000 in March of 19ix Agricultural exports as a whole fell below March, 1912, by $28,200,000, or no less than 80 per cent. Yet in t spite of this striking decline, figure* on the full foreign tra-de of March, showed that total exports had fallen behind 1912 by only $18,000,000, or it per cent., and that, except for 1912 the full export trade had established a high record for- the month. It was in the export of non-agricul- tural products that the offset to so large a shrinkage In cotton shipment* occurred, and herein lay one of the most striking features of the March trade report. Our shipments of Iron, steel, copper, leather, and all other non-agricultural products during the month leached a total of $121,700,000, comparing with $111,600,000 in March] 1912, and with $84,600,000 in the same month of 1910. They were far be yond all precedent for the month, and they ran 54 per cent, beyond the I then unprecedented March total of 1909. As a net result, the March [ export balance, instead of falling j short of other recent years, exceed- I ed that of all previous correspond | ing periods in the decade past except ; 1912, 1908. and 1906. EUROPE SPENDS MILLIONS TO AID COTTON GROWERS England, Germany and France are Indefatigable In their efforts to make their cotton mills independent of the American crop by stimulating the growing of cotton in their posses sions How much In earnest these nations are over this question is shown by the fact that to date they have spent $3,184,458 to encourage the production of cotton. Within the three years. 1909,1911 in- cluslve, $388,458 was made available for this purpose, $110,659 by England, $133,414 by Germany and $84,385 by France. Up to 1909, England had spent $2,237,200, Germany $404,600 and France *216,200. Russia has been pouring millions into irrigation project* In Us Asiatic possessions, one recent act alone ap propriating $2,404,328 for the purpose. The figures include both Govern mental and private expenditures. PREACHERS STARS ON RICHMOND BALL TEAM RICHMOND. April 26—The direct .“tamp of approval ha* been put upon the great national game by the church in Blehmond. Two leading clergv- men are to be star players of a pro fessional men s team that is to cross bats with a business men's nine. The Rev. David Ralston is captain :tnd pitcher of the professional men's : team, while Father Sullivan ha* been | aesignc>j£p right field. GOWN FOR FLOOD RELIEF CONTAINED DIAMOND PIN WHEELING. W VA . April 26.— when Miss Mary Pollock, daughter of a stogie manufacturer, was a^ked for a donation for the flood sufferers she turned over to the relief com mittee several of her old dresses with out examining them closely. After the clothing had been contributed one of the dresses was found to contain a diamond brooch, valued at $1,0(10. It had been missing for six months, and Miss Pollock believed it had been lost or stolen. Says They Should Stay Out of the Money Market as Much as Possible. NEW YORK. April 26—While in terest in the bond matket was at its greatest height James J. Hill ex pressed the belief, that at long as everybody seemed to want nwmey the railroads had better be careful in making financial commitments. This is what Mr. Hill had to say: "Money is high in the East, and I believe that railroads should exercise extreme caution in making financial commitments just new. The outlook is not altogether favorable. Every one wants money, and every one is paying high prices for it. Great Northern, already in a strong finan cial condition, will maintain ns large a cash balance as possible against future contingencies.” To follow Mr. Hill's advice, a rail road with no floating debt must keep improvement expenditures within its cash resources. .Since January 1 eight railroads have arranged to take up or extend short term notes maturing this year, and before December 31. similar ar rangements must be made by twelve other companies. The amount of rail way short term notes which must still he financed before the end of the year totals $121,000,000. CUT THIS AD OUT FOR FUTURE REFERENCE Sooner or Later You Will Give Your Multigraph Work to Our LETTER CRAFT SHOP Why Not Sooner? Phone Ivy 7011. THE BUSINESS SERVICE CO., ioi-2*ubwi,A W . 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