Oct. 21.
Since the above was written, no tangible events have occurred to alter the local piece goods situation, "but the atmosphere of gloom has undoubtedly deepened. It is known that Chinese dealers are holding—meetings daily, but without any hope of a betterment of the situation, and there are rumours current suggesting the extent of the losses incurred and the magnitude of the crisis which has to be faced.
Without any question the position is serious, but we are again bound to point out that in a great many cases losses are merely pros-Pective ind that the market as a whole 1s ignoring any signs improved trade. This is," untortunately, a feature of the China market at such a time as the pre-
Sicys or Improvement. through a very critical Genk andi We ure undoubtedly
that is all the more reason' why the dealers should welcome any indication of—business, small
are two suggestions towards though it be. At present there better trade, but instead of having their due effect they have been more thea discounted by the fall in silver. The first sign of improvement came on Tuesday when Szechuan entered the market for piece goolls, and when Szechuan merchants show signs of activity, which have been lacking for many weeks past, it holds out the hopes that the great western market, which has been closed so long owing to the overclouded political aspect, will again become a purchaser. Chungking is absolutely bare of stocks, and any settlement of the political feuds there would mean a very welcome market.
A second and even more important' sign of improvement was given on Wednesday when vara underwent an appreciable advance, improving between Tls, 5 and Tls. 8 per bale. Yarn is the great political barometer of China, and every increase ju its price indicates more settled state of the country, This advance is particularly welcome just now, and should not be ignored by the dealers who, however, are busy counting their losses befure they occur. We do not sosgest for a moment, that the crisis whi-h now seems inevitable will be overcome—without losses and hardsh: p, but it is a facy that those who have to face the losses are not giving the market its best chance. We have every reason to believe that certain sections of dealers who are table te be hard hit are endeavouring to put the worst complexion on affairs in the hope of obtaining the maximum amount of assistance possible from foreign firms and used with the position taken up eir activities must not be con-by the reputable dealers.
Text read from the printed page and cleaned; old type leaves the occasional error.