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THE SUNDAY AMERICAN'S FINANCIAL AND COMMERCIAL PAGE
' T
COTTON TRADE AWAITS .5,
Market Featureless Last Week, With Futures
Showing Moderate Gain on Evening-Up
Transactions—Labor Unrest Restricts Trade.
N one of the thinnest and most un- '
l interesting markets witnessed in
months, cotton finished last week
with the bull crowd having the best
of w more or less unimportant vic
tory. It was a
8 e T five-day session,
= "df)‘w' P owing to the La
i %fi'}% bor Day adjourn-
E 5 Wment Price
" :‘/i« )i # changes were ex
[i+4 Wl tremely trifling
BT e =W throughout, with
i GB i el final prices atl
L "“? v 'flg;"y’ New York Fri-
L R L @ day showing a
! .T+ ret gain of 27 to
) At €5 % 36 points over the
it e s B previous week's
1 'f".;"?’f resting spots,
, - . while futures at
i t"’%- . New Orileans clos
49‘&‘»’( ‘od the week 55
! 0% ~'ig’ to 66 points net
Kl o P higher.
\ /0 T redinzsg
throughout the
} m,vu negligens, and almost
| eonfined to evening up of
ocommitments in advance of the cen
sus buarean report as to the condi
thon of the m‘l? on August 25, to be
made pubiic Tnesday at 10 a. m.,
Atlanta time,
However, thers was spasmodic
trade houso buying and some accumu
latlon dpy domaesti¢ spot houses In
r ition tc+ theé covering of shorts.
. of forelgn business repre
-5 ling. Offerings also came
from Wall street, ring professionals,
cormoiedon K and from South
&rn Interests
Had 1t not for the triple holi
day and the forthcoming condition
report, the ma ? undoubtedly would
have experfenc a more aprpecia
ble tmprovemen ¥ &s the result of more
optimistic feelin ¥ with regard to the
foretgn exchang:} market, the rise in
stocks and brig hter outlook im the
labor sftuation, a'd more especially to
a continumation (of extremely pessi
mistic crop .av«xau and the issuance
of many low pn vate condition re
ports. However, \‘he trade was dis
posed to exereisa caution and use
conservatism in its operations,
owing to the possilility of a sudden
. reversal in the labor and foreign ex
change situation, neither bearing
# guaranteed stamp fio remain favor
able over the holiday's, ‘
HO REAL PRESSUIIE EVIDENT,
Not at any time during the week
was there any real ptessure un’in‘ml
thé market, nor was there evidence
of propounced support, althqugh it
was evident that . the supply of con
tracts met ready absorption, despite
the upward tendency of values,
Liverpool's selling wws partly at
tributed to expectations of increased
importation of American cotton as
the result*of firmer exchange rates.
- An {llustration of the narrowness
of the market 46 shown by the fact
that futures moved within a range
of less than & eent during the week,
The low levels were recorded (m'
Monday, with Octoher at New York
dipping to 31.27, while December re
acted to 31.66, January 31.55, March
3168 and May J 1.82, ' From. thege
levels the market see-sawed in re
sponse to small orders, moving up
ward or downward, according to
whether orders were marked “buy”
or “sell”
From the low quotations October
recoiled to 31.95 on Thursday, while
May rallled to 32.35. October at New
Orleans rose to 31.76. Other posi
tions established their week's zenith
on Wednesday, with December at
New York moving up to 32.30, Jan
unary 32.26 and March 32.40.
LATE OPTIONS IN BEST DEMAND.
The distant positions disclosed the
most strength, as well as exhibiting
the highest price, This possibly was
due to the gloomy condition of the
new crop and prospective meager
production, trade housed and mills,
a 8 well as Liverpool and Japanese
interests, showing a preference to
new crop months for fear that they
will more fully reflect the acute
‘\0?“‘0 of cotton later on, especially
when export movement becomes heav.
fer and ginnings returns disclose the
rmllnou of the yield. 1t generally
" {xpoctedw-nnd sincerely hoped-—
that during the heaviest movgment
period, foreign credits will have'been
arranged and that the staple will be
wg overseas as fast as it can be
ed on ships,
While export movement of late
has not' been anything to brag
.tnt, due chiefly 10 the demoralized
foreign exchange market, the move
ment picked up a littley late in fln-f
week, with the total outgo for the
week amounting te 132,000 bales, as
compared with 63,000 bales the same
period a year ago, This brought the
total’ since Aungust 1 up to 471,000
bales, as compared with 287,000 bales
the prvtou- corresponding period.
Spinners’ takings of cotton last
week amhounted to 120000 bales, as
against 121,000 bales the same week
last yedr.. Since the first of the sea
son spinners have taken 605,000 bales,
a 8 compared with 503,000 bales the
same period last year. “
. Hester's statement showed that the
visible supply of American cotton at
the close of business last week
amounted to 2,865,000 bales, as com
pared with 1,782,000 bales the same
date a year _ago and 1,286,000 bales
WO seasons ago.
SPOTS DEMAND SPASMODIC.
There is little to say with regard
to the spot market, a spasmodic in
quiry previiling to cover August
commitments and for September,
However there is no pressure to sell
in any section of the belt, holders
maintaining an air of confidence and
independence, being confident that
the law of supply and demand ultl
mately will lift cotton to a more at
tractive level, or rather to a level
that will give farmers a small profit
nbove the ¢ost of production as a re
ard for months of sweat and hard
t this point it' might not be amiss
tate that a leading cotton au-
BY VICTOR BARRON.
Cotton and Stock
E xchanges Closed
A LL leading stock and cotton
exchanges were closed Sat
urday, the board of managers of
the exchanges having voted to
observe the day as an extra La
bor Day holiday. All American
markets and banking institutions
will be closed Monday. ’
thority in figuring what it cost mills
to make goods assert that it is plain
that mills are making more than 23
cents a pound clear profit. He asks:
“Can any farmer show such a profit
for his labor?”
No. Mr. Palmer is not adding to his
worries by frowning upon the meager
compensation Southern cotton grow
ers are receiving for their chief com
modity. He's after the highway
profiteers and endeavoring to in
crease production. No one knows
better than he, as well as the depart
ment of agriculture that the cotton
situation is a most serious one and
that if anything like normal condi
tions prevail here and abroad, that
the supply of cotton will be far in
sufficient to meet requirements.
SOUTH READY TO DO SHARE.
Cotton is something that half of
Europe has gone without for years
and just as soon as those countries
are able to offer financial facilities
satisfactory to the American mer
chant and banker, there will develop
a great demand for the staple, which
will excite American manufacturers
into replenishing their depleted
stocks., >
There is no section of the coun
try that will do rrv()re to bring nor
mal conditions back than the South.
And there is no class of farmeérs in
the country that will be more will
ing to throw their weight and en
ergy in that direction. And when
the cost of production ig put down
they will be willing to accept a more
normal price for their product, but
they are not willing and ean not be
expected to, to share the full burden
and sink into the paupers’' ditch as
they did in 1914 and 1915 when cot
ton crashed and wrought complete
business demoralization to every nook
and corner of Dixle. All the South
wants for its products is a decent
compensation above the cost of pro
duction—something more than just
a mere living. In the last year or
two it has just begun to enjoy a
few comforts of life—~something that
it richly deserves and something no
one should deny it, nor envy.
CROP ngORT TUESDAY.
The government condition report
Tuesday is expected to show a sharp
deterioration during the month of Au
gust, " Private reports issued in ad
‘vance of the official report has given
the trade some idea as what to ex
wect, Private guesses vary consid
wrably, ranging between 58.2 and 64.9
per cent, with the American Cotton
lAnocmnon'n estimate the lowest and
I'the Journal of Commerce’'s the high
est. The former's estimate a month
iago came within .1 of the govern-,
ment's July condition report of
7.1 per cent of normal indi
seating a crop of 11,016,000 bales, with.
vout linters. Tuesday’s report will
compare with 556.7 on August 25, 1918,
and 68.4 the ten-year average for that
month, The yleld per acre as the
season progresses advances, there
fore, the yield per acre on the Au
gust 25 report will be calculated at
2610 pounds, against 234.6 pounds on
' July 26. )
The trade anticipates a condition
between 60 and 62 per cent, with the
more bold expressing the belief that
the figures will be under 60, and,
in which event they do, a sharp up
ward movement in the price of cot
otn is expected to take place, as the
short interest in the market is known
to be large and any figure below 60
certainly will throw them into a
crazy buying mood. :
HESTER'S COTTON STATEMENT, ‘
Comparisons are to actual dates, not to
close of corresponding weeks. |
- Bales
30 VIBE 18 WOBR ..ciiiosonsive 60,000
do, same seven days last year 148,000
do, same seven days year be-
BNE oit asseriinssas SEL NS
do. for the month ......,.. 2903000
do. same date last year .., 351,000
do, same date year before .. 434,000
do. for SeABON ....%..s.vxves 398,444
do, same date last yoar . ... 353,000
do. same date year hefore ... 434,000
Port receipts for rmn yavssaev BOSND
do, same datd last year ... 198,000
do. same date year Dbefore
B suninnaineranisrßLy sy 261,000
Onrhnd to mills and Canada for
B ChEsai s vrisviadnssaai 39,000
do, same date 1«8t year .. .. 46,000
do. same date year before £I,OOO
Bouthern mill takings for season 158,000
do. same date last year .. 233,000
do, same date year before . 218,000
Interior stocks in excess of Au
-5"" SIS vl DS
0. last nnr. minds ....... 111,000
do. year before, minus ...... uc‘ou
Forelgn exports for week ....... 132000
do. same peven days last yvear 63,000
do. same seven days year be-
DS i eiik, TENNS
do, for season . .............. 471000
do. same date last year ..., 287,000
do, same date year before ... 356,000
Northern spinners’ takings and
Canada for week .......... 26,000
do. same seven days last year 16,000
do. for season ... ........... 110,000
do. to same date last year 9 000
ETATEMENT OF SPINNERE' TAKINGS
OF AMERICAN COTTON THROUGH
OUT THE WORLD,
TRID WO s uisiasiniiissvnnici RO
Same seven days last year ..., 121,000
Rame seven d‘::‘rnr before ... 181,000
Total since Au Tihnbanannnes CQ‘_O”
Same date last year . .......... Sol 000
Same date year befors ... . 652,000
NTATEMENT OF WORLI'E VISIBLE
SUPPLY.
Total visible this week ........ 4,388,000
do. last week . .......0000 6,477,000
do. same date last year .., |.m.m
do. same date Im before . 2,456,000
Of this the total American this
WONR . orasssasisisnsssanses HESLOND
do. last week ..........00 3,924,000
G 0 1B PO ... oiniisss L1E5.000
do. year before .......... 1286000
All other kinds this week .... I.m.m
2: tast week ..........0.0 1,552,000
Tast senhiaasabaen l.:a.m
do. mr%fl kst s s IO
Visible in the United States this
SR . asixinbiassirisiies MhETRERE
do. lm-.::u lut‘y‘ur Y 1,320,000
Visible in or countries :
do. this date last year ....., 1,621,000
AEARST’S SUNDAY AMERICAN — A Newspaper for People Who Think — SUNDAY, AUGUST 31, 1919.
‘Work and Save’
Is Old H.C. L'’s
Deadliest Enemy
After all, there is but one natural,
powerful and efficient way to lower
'the cost of living. That is by in
creasing the production of things
fneodod to a point where the supply
of them is greater than the demand.
This can be accomplished only by
more work, and wore efficient work,
and by economy of all the people in
the use of things.
In the meantime, wages should be
paid on a scale fully adjusting themn
to the level of increased cost of liv-
ng., }
But the labor must be efficient and
should be rewarded in proportion as
it is efficient—extra reward based on
extra efficiency.
High costs today, to a great per
centage of such costs, are due to the
fact that labor, while receiving large
wages in many directions, is much
less efficient as compared with what
it accomplished before the war. In
innmo cases, where the output has
been checked up, it is shown that
labor is turning out only 60 Zer cent
of normal.
If we can ever get our_labor up to
109 per cent we shall have such an
increased production of needed things
as will tip the scale of prices steadily
downward-—such a production as thei
nation brought about when it sprang
to meet the needs of war, and which,
when the armistice came rather sud
denly, showed that we were over
whelming the world with munitions,
guns, gas, airplanes, trucks and all
other implements of destruction.—J,
8. Bache & Co. of New York. |
IWEBK'S COTTON BANGE.I
Following shows the highest and lowest
uotations of active cotton options at New
aork and New Orleans last week, togeth
er with Friday's close, the previous week
close and net changes for the week:
NEW YORK.
14’ J |Fri. | Wk.|Net
i Igh | Low |Clese] Ago.|Ches
October . . . [331.956[*31.27/31.5431.27| 427
December, . . [-32.30/*31.66/31.85 31.68| +27
Joanuary. . . .’-u.zs *31.55/ Jlmlnl'“.+ 32
March . . . .|-32.40/*31.68/31.99|31.65 +34
May . . . . .|532.35/°31.82(32.02|31.66| |36
| NEW ORLEANS.
J‘ | ‘JN.I Wk.(Net
i IBIER | Low |Cieue| Age./Uhys
October . . . .[531.75/*30,85/31.41 30.80‘+M
December, . . [-31.72/%30.99(31.42 30.85 151
January . . , . [-31.80/*31.00/31.46/30.91 +55
March . . . ./-31.90/*3LIS 31.60/30.064 +66
Pi . P 1.43|31.65(30.99| +66
«Sionday; — sTuesdny; -Wednesday
sThursday.
Weekly Statement Sixth
Federal Reserve Bank
Following is the weekly statement of re
sources and liabilities of the Sixth Fed
eral Reserve Bank at the close of busi-|
ness, August 29: ‘
Resources, |
Gold coin and certificates in ‘
SRR o isnreanranves THNLANLAS
Gold settlement fund .. .... 9,665,031.67
Gold with Federal Reserve
AR s iixeririnsrassines ARDITIEOB
Gold redemption fund...... 4,300,415.00
s
Total gold reserve........ $63,723,877.59
Legal tender notes, silver,
R R R 1,361,692.75
Total reserve ............ $65,0056,670.34
Bills discounted:
Secured by government
war obligations ....... $84,465,017.28
AN OEBAE ... .iveisiiinies SGEOLT96.O4
Bills bought in open mar-
IR Ciiivissasiestersies 4,165,137.51
Total bills on hand...... 101,5621,860.93
1, 8. government bonds... 375,650.00
U. B. Vietory notes ........ 5,350,00
U. 8, certificates of indebt-
ORBMIE . iviivrsssnnnrens TRATH DOOO
Total earning a55et5,.....5114,381,760.93
FORK DU i voracsanes 462,767.09
Uncollected items and other
deductions from gross de-
BN " . iiiiivisninsiraiss BRI
Five per cent fund against
' Federal Reserve Bank
B iiasiiiinmaninhins 638,650.00
All other resources......... 345,333.04
Total resources .........$207,703,648.654
Liabilities,
Capital pald In ........... $3,331,300.00
B¥v vk s n ANt 2,806,000.00
Government deposits P B 4,501,499 42
Due to members, Reserve
DEDURE . iavibesidaanae o BAETEMO.3B
Deferred availability items, 23,334,462.74
Other deposits, including
foreign government cred-
B S sccorcsanhhnonsrariss 3,033,932.00
Total gross deposits...... ns.u:,zu.n'
Federal Reserye notes in ac
tual circulation .........$113,631,550.00
Federal - Reserve Bank notes -
in. actual ecirculation..... 11,694,697.00
ANI .other labilities........ £98,942.02
Total Mabilities .........$807,703,648 54
Trade Recession Due to
Artificial Conditions
NEW YORK, Aug, 30.—R. G. Dun's
ewekly trade review says, in part:
“Neither in volume nor in value is
new business as distinguished from
activity on past orders what it was &
month ago in some important lines.
Seasonal factors only partially explain
the recession, for it is not primarily
the result. of natural influences, but
rather of artificial and unwholesome
conditions that find clear reflection
in the existing political unsettlement,
in the high price agitation and in the
widespread unrest of labor.
“Last week's bare totalg of this na
tion's July foreign commerce gave no
indication of the origin of the $348 -
000,000 decline in exports from the
June figures, but more detailed re
turns this week showed that practi
cally 40 per cent of the reduction was
in agricultural products,
“Whether or not there is to be a
widespread walkout in the steel in
dustry is a question that may soon
be definitely answered. Another week
of doubt about the outcome of the
strike threat has not helped busi
ness, but neither has it hurt it much,
and trade interests seem convinced
‘thn a general tie-up is unlikely.
“The lull in hide trading, which
first appearde in the early part of Au
gust, has continued unbroken. With
prices yielding steadily, particularly
on country stock, buyers have.con
sidered walting the best policy, and
their views even now are around 10
cents under present prices, s ‘
“Inactivity in textile channels nas
not been A passing condition, wur
rather of a progressive character.
Some shrinkage of business is not
unusual before Labor Day, but other
than seasonal influences chiefly ac
count for the quietness which has
lately developed, and many people do
not look beyond the price agitation
and the Industrial unrest to find the
explanation for it.” |
NAVAL STORES,
SAYANANL Ave gt — st <34
3 r 3
Tarket ateady: WW, 53.40. Wa, 33,00, N.
23.60; M, 21.35; K, 2080: 1 1975 M.
1850 G, 18.10; P, 19.80 B, 17.80; D, 17 u-.l
B, 1636 Receipts, spirita, 239; rosin,
S6O; shipments, 111; rosin, 93§, stocks,
$,075; rosin, 46,300,
Why the Standard Oil
Revolutionized Its Policy
Jompetition of New Kind Encountered—Will
Go Extensively Into Oil Production. -
Financing in Prospect.
EW YORK, Aug. 31.—From 1870,
when John D. Rockefeller be
gan the foundation of the great
est oil combine, down to within a few
weeks ago, the Standard Oil Compa
nies have pursued a quiet, aggressive,
secret, successful policy of operation.
It has been a policy of control of
an immense business by a few peo
ple and for a few people. “Few” is
used here in the sense of contrast to
the vast number of people having a
voice dnd sharing the profiis of, for
instance, the United States Steel Cor
poration.
’ But a few weeks ago came the sur
prising news that there was to be a
change in Standard Oil policy.
The Standard Oil Company of New
Jersey was to jssue $100,000,000 new
preferred stock and list it on the New
York Stock Exchange.
Shortly afterward Atlantic Refining
made a similar announcement.
What was the significance of this?
Was it possible that the Standard Oil
Company of New Jersey, probably the
richest company in the world, could not
borrow that much casgh to ‘carry on its
business, and therefore was forced to sell
stock ? It was the first time any Standard
Ol Company had ever offered any such
stock, and no Standard Oil issue has ever
been listed in New York.
An ex-Standard Oil man, J. B. Catlin,
wns asked about the new issues of stock.
He has shed some interesting light on
the ambitious plans of Standard Oil, and
why the method of issning stock wWas
chosen instead of the usual private bor
rowing. i
Mr. Catlin began his business career
with Standard Oil of New Jersey. At the
time of. being caled into the military serv
fce two years ago he was in charge of
certain affairs in the export department,
where he had an opportunity to study the
Standard Oil foreign businesa.
He has just been released from the
military service and has taken charge of
the newly organized Standard Oil depart
ment in the Stock Exchange firm of H.
T. Carey & Co., 66 Broadway.
TWO OUTSTANDING FACTS. |
“Pwo big facts are evident,” said Mr.
Catlin. “The Standard Oil Companies
have revolutionized their methods in or
der to meet a new kind of competition—a
competition more ominous than they ever
encountered before, And part of this new |
program will, 1 believe( take the Stand-‘
‘ard Oil out of an obscure place as a pro
ducer, and make it one of the biggest
producers in the world.
“You know the last five years has seen
some great changes in the oil business.
For one thing, other big companies have
grown up and accomplished tremendous
successes, not by fighting the people and
opposing the mass, but by taking the
people in with them and getting their
sympathy by way of issuing stock to the
üblic.
P When a company has thousands of
stockhoiders and unfavorable situations
By BROADAN WALL. ‘
NEW YORK, Aug. 30.—The pro-|
nounced change of the government's
attitude totward labor, which came
after the close of the market on
Thursday, and the decision of the rep
resentatives of the shopmen to accept
the proposal of President Wilson that
they postpone taking definite action
for ninety days, when it is expected |
that the federal authorities will have
obtained results in its mmpalgnd‘xo
reduce the high cost of living, had a
most stimulating influence on the
prices of securities yesterday. An
nouncement that the Southern Pacific
had won suits brought by the govern
ment against it in the lower courts of
California was also used to advantage
by the bulls. Buying for the account
of shorts was urgent through the ses
sion, especially at the opening, and
when the gong sounded for the end of
dealings standard issues showed net
gains ranging from 2 to 3 points, with
some specialties showing advances of
as much as 12 points. ‘
The bullish demonstration was such
that United States Steel common,
which sold ex-dividend, moved into
new high territory for the present.
movement. The oil shares and mo
tors were strongly supported all day,
notwithstanding substantial profit
taking sales. ‘
Initial gains at the opening of the
session ranged from 2 to 3 points.
The overnight news resulted in an
unusually urgent inquiry for shares.
After the first fifteen minutes of
business realizing sales appeared, and
caused momentary recessions from
the best, but all offerings were read
ily absorbed so that by noon prices
once more *resumed their upward
movement. About half an hour be
fore the close the list began to ease
off, but the lower quotations in
duced additional purchases which
continued up to the end of trading
and left prices near the best.
Best opinion in the street after
the close of the market was that the
upward movement would probably be
continued at least in the early trad
ing on Tuesday. - The strength which
prevailed at the end of the session
was most impressive,
The rise in Southern Pacific at
tracted much attention.
Shares of oil companies took a
prominent part in the demonstra
tion of optimism. Mexican Petroleum
was. the leader of this group, closing
at the top price of the session and
with a net gain of slightly more than
18 points. Pan-American Petroleum
was also a favorite and advanced
nearly five points. Sihelalr Ol and
Trans-Continental Oil shared in the
upward movement,
Shorts in Crucible Steel received a
licking from which they will smart
for many weeks, Brokers said that
the rise of more than ten points was
due almost entirely to the fact that
the insiders who are running the
market in the stock Thursday called
in practieally all of the stock that
had been loaned. This resulted in a
stampede on the part of shorts to
get back the shares which they ‘had
sold. The quotation closed a shade
under the best, indicating that the
rush on the part of shorts was in
full swing when the session ended.
If the present demonstration ton
tinues in even modified form there
will be quite a few new offerings
which will make their appeéarance
Several are already groomed und
await favorable auspices for their
launching.
come up, it has a certain percentage of
rlha'publlc,wil): it,
.~ “Under . the former competition, the
Standard Oils 2ould get along without a
great deal of public sympathy. There
were no other hig companies then to bene
‘m by their misfortune. It is different
now,
| MORE FINANCING COMING.
. “That is one reason for the new stock.
~And before the program is finished I
think: you will see similar financing by
the New York, California and Vacuum
companies. It is only logical. All of
them are preparing to do a big export
- business—bigger than ever, They arc
planning to oxtend their produeing busi
ness. They will from now on take more
risk than formerly, and will need more
public sympathy in meeting foreign com
petition. .
‘““Before the whole program is finished
I think {ou will see these companies with
new preferred stocks, and all of them, 1t
is probable, intend cutting the market,
value of their stocks to about one-tenth
the present price and making an active
market for them: on the New York Stotk
Exchange, § # -
| “This will serve to interest the public
in Standard Oil securities as it has never
'been intercsted before. The stocks havo
been so high in price that ofly rich men
could afford to buy them.'
“Under the old mewhdds this suited
exactly. It “kept control within ecasy
bounds. Tt prevented any widespread com
plaint - agaiist the secrecy maintained in
financial matters. In fact, it barred out
the general publie. | \
“As a producer of oil, however, the
‘Stanaards will h.x to take risks just
as do other wildcatters or prospectors. The
Vacuum Company, ‘whose, field for re
fined ofl is Africa, Australia and New
Zealand, has contracted, it is understood,
with the Australian fovernment to pros
pect that continent for oil on a royalty
basis. That is going to take some money,
and seems to indicate that some financ
ing must be in prespect. The comm\nyl
also sells lubricants all over the world.
NEW YORK AND CALIFORNIA.
“The New York Company operates in
the Far East—China, Japan, India,
Straits Settlements, Batavia, Singapore. It
will very likely go into extensive ’pro
ducing business in these countries and in
parts of the old Asiatic Turkey. It seems
rearonable to believe it will acquire the
funds for such development by following
the financing methods of the New Jer
sey Company. ~
““The California Company is in a sim
flar position. It does a large export busi
ness in addition to exchanging oil with
the International Petroleum Company,
whose properties areé in Peru. The Cali
fornia Company will undoubtedly also is
sue new stock to extend its field of pro
duction.
“By preparing to extend credits, in ad
dition to carrying on extensive prospect
ing, the Standard Oils will strengthen
their position.
“They have waited a long time to take
this step—almost too long. But now that
they have opened the way, I believe all
the elements are in favor of them, and
they shall still be ahle to keep the upper
hand to prevent any rom{wtl(or-—even
Royal Dutch—from monopolizing the new
markets or taking away any of the old
ones.”
CHICAGO, Aug. 30~—Corn during
the “opening hour today ranged from
1-4 to 31-4 cents lower than yester
day's closing prices. Trade was not
large. Commission houses favored the
selling side, while locals bought on
the break.
Oats started unchanged to 1-4 cent
lower, with a light local trade. A
house with Eastern conngctions was
a free seller of September. frad e in
deferred futures was featureless.
Provisions opened slightly lower at
offerings limited.
The market ruled dull and weak
during the late trading, with Septem
ber corn dropping from an early high
of SI.BO to $1.76, but closing I 3-4
cents above the low. Similar price
changes occurred in other months.
Final prices were 1 1-4 to 2 1-2 cents
down on corn and 1 1-8 to 1 1-4 cents
off on oats,
Provisions closed slightly higher.
Grain quotations:
‘l { : | | |Prev.
Open | High | Low I__('Iole |Prev,
Corn | , | |
Sept. | 1.77%/ 1.80 1.76 | 1.77%] 1.79
Dec. 1.38% ] 1.38%( 1.36 | 1.36%| 1.39
May le""fl 1.36%] 1.33 | 1.33% | 1.36%
Onts ’ |
Sept, Toxl 0%/ 69l 69%] TOO%
Dee. 3% 74 | 72%‘.‘ 7::.1 74
May % 7T%! 96 6% %
Sept. ’ ! ’41:6
B v vvor TRE v ioene {3825
Lard | ' ) |
Sept. |28.16 |28.16 [27.67 [27.67 [27.63
Oct. [28.70 [28.10 (27.82 [27.65 3’.‘7.55
WA G Fieee TR i DOBB
Rihs | | Lt
Sept. ’!1.50 122.20 [21.80 [21.87 ,:n 7
Oct, 22.37 P!.,}T 21.92 ‘!l.9‘.‘ |L‘2.o'_.‘
o L o R so R
CHICAGO CASH GRAIN,
CHICAGO, Ang. 30.—Cash: Corn, No,
1 mixed, 1.83@1.84; No. 2 white, 1.84; No
2 yellow, uc?x.xé; No. 3 white, 1.83%;
No. 3 yellow, 1.83% @1.83%.
Oats, No. 3 white, 69% @7l. Timothy,
9.00@11.75.
CHICAGO LIVE STOCK.
By U. S, Bureaa of Markets,
Hogs: Receipts 4,000. Market fully 50¢
to 81 higher than yesterday. Top, 20.00;
eavyweight, 17.26@19.00; medium weight,
17.26020.00; light weight, 18.75@& 20.00;
lght lights, 18.60@19.60; heavy packing
sows, smooth, 16.26@17.00; packing sows,
reugh, 15.60@16.25; pigs, 16504 19.00,
Cattle: Receipts 4,000 Market com
pared with week ago Native beel steors
and bulk of butchers’ cows and heifors
mostly $1 to SI.OO lower; others 60c to
$1.26 lower
Sheep: Receipts 4,000 Market com
pared with week ago. Good choice fat
fambs mo-fig $2 to 32,60 down. Some iu
between ' and common grades §s3 to §4
down, Fat ewes, 76c to $1 lower, Weth
ers and yearlings, $1 to $2 lower Feed
ers mostly boe to §1 lower, Breeding
ewes boc lower.
ST. LOUIS LIVE STOCK MARKET,
BT. LOUIB, Aug. 30.—Cattle: Receipts,
1,.800; market, steady; native bee fsteers,
11 '.'fla\ll 00; yearling steers and heifers,
11.00g018.00; cows, T.504P13.00; wstockers
and feeders, T 001200, calves, 15006
18.50; fair steors, 5 00@14.00; prime South
ern steers, 6.50@8.00; beef cows and heif
ers, 6.60408.00; choice veal calves, 15.00@Q
18.50: canners’ cutters, TOOYI bo.
Hogs: Receipts, 3,500; market, steady;
mixed, 1§ flkll 50; good, 1925619 .40;
rough, 15.004P16.00; lights, 1% 16%1!.00;
pigs, 16 50?“ 00; bulk, u,oo?\n
‘ Rheep: e-wxnl. S6O; market, steady:;
owes, uovu. rhoxv rs and canners,
‘sooac 00; lambs, 15.0 guu.
JACKSONVILLE LIVE STOCK.
Hogs—Receipts light; prux’-oru $2.00
lower. Cholye heavy, 17.00@17.60; good
heavy, 16.50@17.00; roufn heavy, 16008
}luo; lights, 15.00@16.50; huvl pigs,
12.00@14.50; light pigs, 9.00@11.26; range
hogs, 10.00812.00; range pigs, 6.00@ 5 00,
[ Cattle—Recolpts medium ;. prospects B¢
lower., Steols, uogmu. bulls, 5.25@
7.00; yearlings, 6.2 ‘0,:5. cows, b.oo&p
7.50; veal chives, 9.00@13.50; canners,
3‘oo up.~Willlamson and Dennis, August
Bond Houses Are
Making Smaller
Commission
NEW YORK, Aug. 30.—Increased
operating expenses are beginning to
eat into the profits of investment
banking firms that devote their en
tire activities to the sale of ‘bonds
and short term notes. For this rea
son one investment banker declares
there has been a substantial reduc
tion in the profits from bond or short
time note offerings.
Expansion in the cost of dis
tributing bonds has resulted from the
necessity of hiring more salesmen
and maintaining a larger number of
clerks. The investment houses are
compelled to have more employees
owing to the fact that issues are now
being placed with a greater number
of iyvestors and in smaller amounts
per individual. The head of one prom
inent firm is authority for the state- |
ment that whereas offerings were!
placed in average amounts of 820,000‘
about two years ago, recent issues
have averaged between $2,000 and(
$3,000 per person. A greater amouni
of territory has to be covered in dis
tributing the securities, hence the
larger sales forces. The increased
number of individual sales also calls
for more clerical work.
RAILROAD SECURITIES.
While it is true that the bond
houses have been handling a uu»o-l
stantial amount of new offerings the
profits on railroad securities have]
been smaller than for years, owing to
the bargaining by the railroad admin-l
istration, which has entirely difrer
ent ideas than financiers as to what]
commissions bankers should receive
for their efforts in disposing of the|
lohligauons of transporttaion c')m-l
panies.
In some instances the commissions '
offered by the ‘federal authorities
|huve been so smail as to cause cer
tain New York investment houses to
refrain from bidding for the issues
through fear that the expense of
marketing them would more than off
set the reimbursement they would re
ceive from the railroad company.
' Commissions received from indus
trial companies have been fewer pe
cause r}f the fact that those concerns
are by reason of their increased pros
perity able to sell preferred stocks
‘which are more desirable liabinties
than bonds, which are a fixed charge.
Some concerns which have hereto-‘
fore shunned stock offerings are now
undertaking the sale of that type of
investment. Some of them are doing
it openly, while others content them
selves with participating in the syn
dicates, but keep in the background,
because it is known publicly that tney
do not. offer stocks for investment.|
This was particularly true of a recent;
stock offering by an industrial com
pany. ‘
| BOND MARKET DULL.
~ With stagnation ruling in the gen
eral bond market, the offices of bond
houses are anything but optimistic
with regard to the immediate out
llook. There are more wealthy people
now 'efljofl:fi -vacations, according to
the bond dealers, than ever before, so
that no improvement is expected un
'til about the middle of September.
E:;Hzing this, most of the firms
e sent the greater part of their
salesmen and clerks away for peri-
Od,;. of recreation.
he foreign countries which are
trying to negotiate loans in this €oun
try are balking at the interest rates
asked by American bankers, so that
the investment houses expect nothing
but lean pickings the next month.
WEEKLY WEATHER FORECAST,
WASHINGTON, Aug. 30.—The weather
bureau today issued the following fore
cast sos next week:
Atlantic and Gulf States, Ohio Valley
‘and Tennessee, region of Great Lakes and
upper and lower Missouri Valleys: The
‘week beginning September 1 Will be one
of nor?al temperature and generally fair
' weather but with a probability of oc
casional local showers.
NEW YORK BANK STATEMENT,®
NEW YORK, Aug. 30.—The weekly bank
statement follows:
Avernge Statement.
Loans, decrease, $20,450,000; demand de
posits, decrease, $15,862,000; time deposits,
increase, $3,002,000; reserve, decrease, §3,-
526,000,
Actoal Statement.
Loans, increase, $13,345,000; demand de
posits, increase, $28,561,000; tinie deposits,
increase, $16,743,000; reserve, increase,
$38,011,000.
Atlanta cotton statement Saturday:
Last
1919, week.
ROOMIPRE . covvnrsserocssns 366 210
Shipments .....ooooooooeo 1,647 2,159
BIOCKE .ot srssravessnas 10,930 19,422
BUERE +consbsbososnssieis 200 150
71 WALL STREET, NEW YORK CITY
Members American Cotton & Grain Exchange
Orders Solicited for Purchase and
Sale of Cotton for Future Delivery
We execute orders to buy or sell cotton
in quantities of ten bales or units thereof, per
mitting you to hedge in less than one hundred
bale lots.
Correspondence Solicited
WIRE US YOUR ORDERS
PRESSURE OF FACTSINEALL
IN U 5. EXPORTS NEEDED
Such Might Force Congress to Pass Few Imper
ative Bills, Says Boersianer—Oversea Trade
Certainly Will Not Wait,
'By,BOERSIANER. ! !
HICAGO, Aug. 31.—-The pressure
‘ of facts: which might become
depressives may force angtess
to pass an imperative bill or two. A
decrease of $350,000,000 in July ex
ports—compared to the foreign sales
in June—is a warning wmch‘ the fig
ures for August will doubly empha
size. '
Overseas trade is something that
lwil] not wait on the pleasure of any
|body. at least of all on the shilly
shallying of politicians. In normal
times a nation’s ourward bound busi
ness is important enough to give cap
tains -of industry concern. Now, to
day, it is’ of supreme importance, be
’cause the percentage of difference be
tweén prosperity and the reverse is
incomparable higher than in a pre
bellum period. Ordinarily, in this
country, a decrease or increase of 10
per cent in- commerce spells, @ boom
'or a subnormal condition—represented
mostly by exports. At present the dif
ference is quite 40 per cent.
’ Unfortunateély, too much thought is
’given to personal fences in Washing
ton as the general elections approach.
Debated measures are considered and
voted on not so ‘much per se as how
electors may regard the subject and
‘the vote.
Customarily national legislators d
not bring a redundancy of wisdom to
a purely economic question. In pre
nomination sessions the limited wis
dom is alloyed by expediency.
These mean remarks allude especially
to discussions of what should he done in
the way of financing Fuarope that
America's foreign trade may not collapse.
With succeeding days schemes multiply—
now that economists as well as business
men are disturbed.
Of the many proposals heard in and
out of Washington two have arrested the
attention of the informed element. One is
H. P. Davison's. His is a strong plan,
unanimously approved by the knowing—
which does not necessarily include those
who rejected it on prejudicial grounds. !
The other ‘is the Hdge bill, which vould
be “greatly strengthened by incorporating
into it a few of Mr. Dawison's telling
ideas.
“The Edge measure proposes many $2,-
000,000 corporations to finance Europe in
stead of Mr. Davison's $1,000,000,000; the
former provides for federal supervision
sans federal participation and gufrantee,
while the latter asks a 25 per cent par
ticipation with a guarantee that is the
more fortified in that the government's
personal claim is subordinated. Mr.
Edge's bill challenges further debate be
cause it empowers the federal reserve
board to revoke as well as to refuse char
ters,
In view of some »f the recent moves
of the federal reserve board—implicit and
explicit—investors would much prefer to
‘have the government's supervision in the
‘persons of “the federal reserve board
members. The government's supervisory
ability—or disability—may be good or
bad; it is a ,contingency. But the gov
ernment’s guarantee is incontestable, and
being so is a standing indemnifeation of
whatever mistakes of omission or con{-
mission the federal reserve, board would
make. . 3 ‘
In its purport, however, the Edge bill,
with its allowance of n:'mberlqu cor
porations, is feasible. With :ome,?hnn‘ml
it can be made to do what the Davison
plan could have done, unquestionably,
with one comprvh‘emtve.cmpora(lon.
*
Mr. Carranza has ‘'made an admission
that should interest British, American,
French, Dutch and Belgian investors. He
admits “we should be glad to come to
some agreement with our creditors where-’
by we should .be allowed to sesume the
payment of interest on an equitable
basis. We do not wish to/ promise blindly
terms . that we can not fulfill, and hope
to convince our creditors that any agree
'ment must be based on Mexico's actual
possibilities.” i
. “On an equitable basis” and “any
‘agrecment must be hased on Mexico's |
‘actual possibilities” are Spanish-American
euphemisms for partial repudiations. lnl
one breath Mr. Carranza invites investors
and commerce bodies to come .tg Mexico, |
Ship Your Cotton to
~ THE COTTON WAREHOUSE CO.
. COTTON FACTORS ,
No Embargo On Our Warehouses. For Rates, Write Us,
Office and Salesroom, 25 lvy Street, Atlanta, Ga,
Local Phone lvy 3277; Long Distance 9976.
, assuring them cf rich rewards in a coun
try of boundless resources—and demands
A compromise on what Mexico already
owes, )
. This censistency is indeed a sparkling
jewel, altogether worthy of the.prekemi
hent statesman who wrote. Article 27 of
the Mextcan Constitution which provides
“in the nation is vested dircet ownership
of all solid mineral fuels; petroleum’ and
all‘ hydro-carbons—solid, liquid =or
gaseous.” L
Under the authority of that Jflelp the
statesman who earnestly solicited the
Mississippl Valley Commerce Amttlon
and the Chicago Association of erce
to put money into Mexico, 18, uflklns
petroleum companies pay him ‘‘rentals and
royalties” for the privilege of taking oil
from lands that have been in ge.fci
session of private own’-a for nearly four
vears; were acquired for a price afimit
ted to be full value paid by the foreinersg
as the first step creating an enterprise
which benefitted the people of Mexico in
a hundred ways until the advemt of Mr.
Carranza. : *
. o 0
What would the farmers of Pennsylva
nia, West Virginia, Oklahoma, Texas' and
California, upon whose lands oil has been
developed, think if the people of ,their
States should adopt constitutions providing
that the oil was public property and in
sist upon collecting the royalty which
the private owners of the land hawve here
tofore collected? ey
No people that is not so congenitally
nominal as to be ingapable of appreeiat
ing the maoral character of an act would
undertake to perpetrate such a wreng upon
the owners of private property ‘as: the
owners of oil lands; or of lands that yield
anything from grain to gold; upon the
owners of any property, from a bank to a
railway., o
Carranza is well aware that the P?old
ers of Mexican governmet bonds will not
enter into a wholly unnecessary col ro
mise. .\loxiquin proportion to 'Of’umlon
—not to speak of area—has the smallest
national debt of any as the world's ¢om
monwealths. With _a fairly able . and
stable government Mexico were one ffirm
economic basis within a twelve-m %
But the adventurers who are ten
ing on the chaos in what was o the
southern republic designedly pr £ im
possible things that their of
benighted selfishness may continue®’
o .
Studebaker Net Running
At Rate of 40 Per Cent
Net profits of the Studebaker Cor
poration, after deducting federal tax
es, are now running about $3,000,000
quarterly, or at the quarterly 'rate of
10 per cent on the $30,000,000 of c¢om
mon stock, according to a statgment
issued by President A. R. Erskme.
Although operations of the company
were not in full swing until "April,
net earnings after taxes for the first
six months of 1919 éxceeded 10 per
c‘t on the common,
®ince July 1 production and sales
show substantial increases in. . both
awwomobile and horse-drawn vehicle
divisions.
Kansas Corn Crop .
Placed at 56,500,000 Bus.
BY JOS. F. PRITCHARD,
CHICAGO, Aug. 30.—THe State report
on Kansas corn yesterday showed & prom
ise of only 56,500,000 bushels for the State,
The report causes prices to advinge on
the board of trade, 4o
According to Kansas advices, crbé dee
terioration in that State has been sensa
tional, especially on uplands in the east
ern two-thirds of the State. The crop
is past help by rain. In lowland ceunties
the corn is still green and will be bene
fitted by rain.
ORNE DESK
& FIXTURE CO.
93 N. Pryor St. Phone Ivy 1158
DESKS, CHAIRS,
FILING DEVICES.
Large Stock. Low Prices.