The yarn market has been d>- pressed by the political situation Jand the stringency of money, consequent very meagre for both spot and forward spunt & Ca. state their weekly report
Chinese Cotton:—The principal feature in our market during the past week was the decline in Prices, ug forecasted in our preious ireulars, by nearly Tls. 1.00 per picul lower than that ruling during the previous period. pressed for immediate cash there twere many offerings at attractive Tates but no interest whatever was shown by. any of the domestic pi ners. Holders of available stocks [were hedge selling in the local Cot-Yon. Exchange thereby evolving heavier tenders than was expected for November cotton and whi parently affected forward months toa great extent.
The sentiment prevailing now in the local market may be said to be evenly divided us between the Bulls fand the Beats. as follows:
Bulls: the shortage in the crop of the domestic growth and the very meagre receipts from the interior marts. No. prospects of increasing favrivals as the farmers are rather firm in their attitude giving their reason Zor such attitude that during these gloomy times. there more safety in keeping the cotton than the money. Owing to the severe stringency in" the money market most of the dealers are re raining from buying cotton in the interior, it being that the margins fof profit are uncertain while the isk is great. "The American mar-feet, though continuing in awe fish' state, may mot register any heavy recessions as prices. are already low enough, almost touching Dettom. Indian cotton prices. are Keeping. firm since the past fortnight and quotations manifested a Fise of about three to four Rupees per candy. in face of the decline of points in the New York market, Silver exchange has weakened considerably within the last two weeks which makes the imported fibre igher by about 4 Teele. per picul when compared the lowest: level roling last.
Bears: The unprecedented low rates as well og the record super abundant supply of cotton in America, the leading cotton produejing country in. the world, which governs the world cotton markets, fas doubtlessly also a great effect! fon our market. As a matter of! fact. the exports from the U.S.A. to China since August 1, 193i up date are three times the quant. ity registered for the same period ast year. Local spinners have: ghsorbed fairly large quantities of both Indian and American fibre and their supplies in general are suffi jeient to carry them until next gum-'The stringency in the mone 1 situation as prevailing here now has never before been experi Jenced to such an extreme extent and it seems that any relaxation is not likely to materialize in the near future, Some of the mills, instead of booking forward contracts are Gesivous of liquidating part of their previously bought stocks in order to alleviate their financial" position. Offerings of distress cotton will inevitable us the time draws neal to the year end settlements, Lower rates on the domestic growth may be looked forward to as is fore~ shadowed in the November cotton as tendered in the Exchange showing a sudden drop of nearly two taels in the last few day Yarn:—Prices for forward months continually receded during the past week, particularly this month whea registered a decline of nearly Tls. 7.00 per bale while the future deliveries indicate only some two to three taels decline ax compared. with that of the previous period. Spot yarn has not declined to any great extent but the turnover of the business done proves unsatis~ factory which was attributable to ino other cause than the peasimitic outlook of the political situation as well as the ever existent stringent the money markets, Stocks are not very heavy but hard pressed sales may appear from time to time Jat this stage of the season, While ho bullishness is apparent' as. yet, isnot advisable for those who fare too enthusiastic to follow the bear side.
Text read from the printed page and cleaned; old type leaves the occasional error.