34 



THE CUBA REVIEW 



SUGAR REVIEW 



Specially written for The Cuba Review by Willett & Gray, of New York 



Our last review for this magazine was dated June 13, 1912. 



At that time, the quotation for centrifugals was 3.92c. per lb. for 96 degree test 

 centrifugals, duty paid, and it is now 4.05c. per lb., but, in the meantime, quotation has 

 been as low as 3.77c. per lb. following a declining trend in both the home and foreign 

 markets. 



Suddenly, however, a marked change took place in Europe, confined, however, prin- 

 cipally to the sugar exchanges with which Europe is net-worked and in which the 

 two classes of members "Bulls" and "Bears" have unusual facilities for manipulating 

 prices, of which the "Bulls" are the most recent participators, forcing prices upward 

 two shillings or more during two weeks and causing the makers of short contracts 

 to run to cover, which action on their part is now followed by a reaction of one shilling 

 at the close. In order to show this movement more particularly, we give herewith 

 the changes in beet sugar quotations from the 13th of June to the present time. 

 Commencing at lis 10 ^/^d, the changes have been downward to lis 2%d on the 25th of 

 June, thence the turn began upward to 10s 11 ^/4d at the opening of the present month. 

 From this time and point, the advance became most rapid under the manipulation of 

 the "Bulls." The daily changes were to lis l%d to lis 5i/4d to lis 6d to 12s to 12s lOV^d 

 to 12s 9d to 13s l%d to 13s 6d on the 17th of July and a shilling reaction to-day to 

 closing at 12s 6d. The only foundation for such a movement put forth by the "Bulls" 

 was a three days very dry spell on the beet crops of Europe when rain was much 

 wanted. They emphasized the fact that if dry weather continued a considerable damage 

 to the growing crops would result. As a matter of fact, however, all our reports 

 ifV cable indicate that conditions are favorable and that the rise has no other substantial 

 Ijasis than pure speculation. However, advantage of this foreign movement was im- 

 mediately taken by all holders of sugar saleable to the United States so that prices 

 d.uring the past week advanced from the low point of 3.77c. to the present value of 

 1.05c. for 96 degree test centrifugals, duty paid, and not a very considerable amount 

 of sugar passed from sellers to buyers on each upward quotation so that practically 

 there is opportunity still for Cuban holders to realize these unexpected prolits derived 

 indirectly by means of a poorly based European speculation. 



Irrigation tanks in a tobacco liekl. The foreground is filled with young plants. 



