While in America cotton has hardly moved during. the past week, the local staple is higher by Sve to eight mace per picul, 'Yarn during the same period has risen approximately Tis, 3 per bale. 'There fs, however, little actual business, amd movements in price of both' yarn and cotton have been ruled very largely by the frequent fluctuations in gold bars.
So far nothing has eventuated with regard to the now tax on Ghinese-produced yarn, and it 9p-pears to be not even certain what rates are to be charged or when the tax will actually come into effect.
Clearances of cloth are fairly brisk, but yarn is not so active. In their weekly market report Messrs. J. Spunt & Ca. state:—China Cotton:—Another week, has passed during which actual business done was on a very smal scale, but prices on the local staple showed a steadily ascending tendency, registering at the close a rise of about 60 cents per picul higher than the level ruling during the previous period. Though no extra pressure in the demand for the raw material is as yet perceptible, the undertone in the rates, strange os it may seem, inclines more towards firmness bordering on further advances. This is principally caused by reason of the unprecedented drop in silver exchange as well as by the very slow movements of cotton from up-River ports which is partly due to the closing buying hongs by] the merchants who are all adepting cautious policy especially at the approaching end of the Chinese year, and partly dae to transporta-_ tion' facilities being interrupted by the frozen state of the waterways in the interior. American and Indian markets have continued in very steady position, and, coupled with the low rates of exchange, importation of the foreign fibre seem to, be impracticable. Some of the local mills have cancelled part of their purchases of foreign cotton and intend replacing same by the domestic growth and in such manner the gain by exchange will more than cover any difference in the Value of cotton. For this reason, the holders of the local staple are keeping a more firm attitude and unless silver appreciates considerably it may be reasonably assumed as indicating in the near future if not to much higher levels at least to no appreciable retrogressiveness.
Yarn:—Fluctuations in the yarn market during the past week have been nervous and erratic but, the tendency on the whole has been toward steadiness with a firm under tone, in that prices show an advance of about one to two taels above that registered during the previous period. Business for export has not been so great as to warrant any immediate advance but the general feeling is quite optimistic and the expectations are that when spring sales come on, the present stocks will be easily absorbed by different consuming centers and a boom in prices is being looked forward to,
Text read from the printed page and cleaned; old type leaves the occasional error.