On the local Exchange yarn was easy until Thursday afternoon news of the improved political jon arrived. This caused some a vance during the remainder of the day, and yesterday morning yarn was up from one and a half to two taels a bale.
Cotton likewise was similarly: affected, but to a lesser extent than In their_weekly market, report Alessrs. J. Spunt & Ca. state:—China Cotton:—Prices during. the past week have further receded by Tls. 6.50 per picul lower than that previously registered and the volume of business transacted may be said to have been comparatively sual evolving at the close steady tendency.
While the continued weakness in' American cotton, the non-improving yarn markets, the firmer exchange rates, the favourable weather conditions' now prevalent, and the gloomy and uncertain political situation combine to counteract any encouraging prospects for the Jocal staple, yet there is some scope left for reactionary conditions which more or less point out the advisabi ity, as a safeguarding step, to take advantage of offerings at suitable rates.
Some American and Indian cot~ ton business for forward deliveries has been booked at comparatively [cheap rates.- Receipts from Taichong and Shanghai sections are increasing daily. It is reported—that arrivals of new Shensi and Shasi cotton at Hankow are offering at rates than hitherto fore" Qualities of domestic growth so far as we can ascertain fare quite satisfactory and if the weather conditions continue favour-fable for the next two/three weeks 'a bumper crop can be confidently!
Yarn:—The market manifested weaker tendency during the early part of the week with prices de-felining some two to three taels in general. Szechuan dealers bought some 4,000 bales of 20's yarn _at very cheap rates at which the mills were compelled though reluctantly, to sacrifice in order to reduce their stocks. Further business, however, from that quarter is unlikely in the near future owing to latest reports indicating some trouble having again arisen among the militarists there. One or two mill owners were doing their utmost to support: the market when prices & forward deliveries in the Cotton Exchange touched the Tls. 148, level but the stocks, especially those in the Ex-[change's warehouses, are accumulate ing daily and most of the mills are keen sellers as they can still cover their raw materials at remunerative rates, At the close, however, a firmer feeling has been generated due to. news circulating in the bazaar of peace being soon restored to the country. We do not advise our friends to follow the bull side too enthusiastically, but rather adopt a conservative policy for the time being until further developments the political situation take place.
Text read from the printed page and cleaned; old type leaves the occasional error.