Cotton Goods. The market for staple cotton goods opened the year under discouraging conditions. Stocks in first hands were considerable, and from the slow character of the demand it was evident that buyers were well supplied also. Prices sagged during January and February all around. March saw a development of temporary strength, following the success of the bond issue, and a considerable volume of merchandise changed hands without, however, causing any advance in values. This spurt over, the market dropped back again into a lethargic condition with again weakening prices, until by June there had been a decline, on the average, of 10 per cent. in brown goods, 15 per cent. in bleached shirtings, and 10 to 12 per cent. in coarse colored cottons, or to within a small per centage of the lowest price ever recorded-the latter being at a time when raw material was fully 20 per cent. cheaper. Manufacturers were forced at this stage to recognize the necessity of drastic measures to arrest the downward course of the market, and a period of curtailment was entered upon exceeding in severity any previous curtailment policy. Fall River and other New-England mills led the way in June, and between June and October 50 per cent. of the productive capacity of the country had more or less shortened output. The effect of this on supplies was noticeable, and brought about some improvement in prices in August and September. The buying, however, fell away again, and the closing months of the year have been dull, with the tendency of prices in buyers' favor, with but a momentary appearance of improvement immediately following the elections. Despite the unprecedented curtailment in production of all lines of staple cottons there are abundant indications at the close that, outside of such brown goods as have been specially favored by the export demand, stocks are still full in first hands, and the market gives little promise of any higher range of prices for some time to come at any rate, even though the average now must be unprofitable to manufacturers.

The following shows the course of prices during the year few leading makes of staple cotton goods and wool flannels:

for a

Export Trade in Cotton Goods.-The export business in staple

cottons has been the one satisfactory feature of the situation. The

demand assumed large dimensions early in the year, and has been fairly well sustained throughout. The chief increase in exports has been to the China market, which has taken double the quantity taken in the preceding year, British North America and Africa being other chief contributors. Mills turning out brown sheetings and drills specially adapted to the export business have done much better than others with a confined home demand, and have as a rule been fully employed throughout the year. Trade with South America has been indifferent and not up to the volume of the preceding year.

The exports of cotton cloths from the United States during the fiscal year ended June 30th, 1896, were as follows:

Total, 1895-96,.

58,747,729 $3,419,159

Total, 1894-95,

166,391,639 $9,539,199
125,790,318 7,034,678 58,467,743 3,444,539

The following shows the quantity and value of cotton cloths exported from New-York in comparison with other Customs Districts. during the fiscal year ended June 30th, 1896:

166,391,639 $9,539,199
125,790,318 7,034,678

Print Cloths. The print cloth market has passed through an eventful year. At the opening stocks were light, and prices, on the basis of 3c. for 64 squares, remunerative, but from the opening the situation gradually grew worse, until the price touched 2. in June. At this stage a curtailment of production was entered upon

and persevered in until October, which brought about a temporary rally in prices up to 214c., but did not secure any reduction in stocks, which had by June grown to abnormal dimensions. Following the resumption of full time in October, the market again gave way, and at the close it had dropped to within c. of the lowest point of the year, or to 24c. for 64 squares, with the aggregate visible supply standing at the enormous figure of 2,300,000 pieces. The total production for the year at Fall River amounted to 10,055,000 pieces, or 1,035,000 pieces less than in 1895, whilst the total sales were 7,819,000 pieces, or 2,052,000 pieces less than in 1895. At the close of the year print cloth manufacturers are facing a most perplexing situation, and unsatisfactory as the year has been, the immediate outlook is still of a discouraging character.

The production at Fall River for 1896 was 10,055,000 pieces, against 11,090,000 pieces in 1895, and the unsold stock on December 31st was 1,802,000 pieces, against 287,000 end of 1995; 140,000 pieces end of 1894, and 142,000 pieces end of 1893. The sales of the year at Fall River were 5,668,000 pieces odd counts, and 2,151,000 pieces 64 × 64s. The year opened with prices 3c. for 64 x 64s, and closed at 2c. for 64 x 64s. The highest price during the year was 3c.; the lowest was 2c., for 64 x 64s; the average for the year, 2.6001c. Last year the average was 2.8745c. At the close of the year 1,001,000 pieces were sold for future delivery at Fall River. The stock of print cloths in the country (outside of printers) at the end of the years 1887 to 1896, inclusive, were as follows:

Prints and Printed Dress Goods.-The market for printed fabrics has been by no means satisfactory in either fancy or staple calicoes. In the former, business has again had to contend against the popular demand for specialties, and the sales of the regular fancy calicoes were on a much smaller scale than usual. Printers had to some extent anticipated this by varying their production and turning out fewer regular 64 squares fancies than usual. This prevented an utter demoralization of the market, but could not hold prices quite steady, and the standard grades have sold at as low prices as any previously recorded. The heavy accumulation of print cloths was, of course, a serious burden upon the print market; it induced timidity upon the part of buyers in addition to other restraining influences, and forced sellers into concessions they might not otherwise have made. Whatever satisfactory business has been done in printed fabrics has been where the beaten track has been departed from. Specialties for the shirt waist and allied trades in wide fine finishes, in sheer goods and in fancy weaves have occasionally done well, but even in these the numerous drives during the year testify that some printers have met with disappointing results. The de

cline on the year in fancy calicoes will average fully 5 per cent., and in indigo blues, shirtings and other more staple lines from 5 to 10 per cent., and the tone dull at the close.

Ginghams and Woven Fabrics.-The gingham market has presented the most striking example of demoralization seen in any cotton goods division. As production of these particular fabrics had then been heavily curtailed, it was hoped that supply and demand had been brought more closely into accord. The year had not progressed far before this hope proved delusive, and the presence of very large stocks in the market was made known by a series of extraordinary "drives" inaugurated in March. Several of the most prominent makers in the market closed out their stocks in this way at severe sacrifices, the "drive" prices showing declines of from 20 to 25 per cent. from agents' quotations, whilst another prominent mill distributed its stock through the auction room and then retired from the gingham business altogether. These forced sales were in fancy dress ginghams, and the very low prices at which they were made naturally told upon the market for staples, until such makes as the Amoskeag and Lancaster sold as low as 44c. per yard, the lowest price ever touched by them. Later in the year staples recovered somewhat, but dress style ginghams continued to a large extent unsalable, and unless there is a marked veering of public favor in their direction, they are certain to bold a very minor place in the cotton dress fabrics business of the coming year. Woven patterned napped fabrics have done much to oust the regular gingham, and in these a comparatively large business was done in both light and dark work, but at the same time, on a low plane of values. Fancy weaves, in silk and cotton, have sold fairly, but not as well as last year.

Hosiery, Knit Underwear, &c.-The year opened with a poor demand in all lines, and with domestic manufacturers complaining bitterly of the competition of low priced foreign merchandise. Supplies were abundant on all hands, and the drift of prices downwards. The market dragged in this way during the first two months, then with a better tone, temporarily, some advance in the price of yarns and reports of firmer markets abroad, endeavors were made to secure higher prices in staple lines of hosiery and underwear, and advances of from 5 to 10 per cent. were quoted. These, however, proved but transient, buyers refused to follow the market upwards, and in the competition for orders prices receded to an even lower level than before. During the spring and summer months failures of knitting mills were frequently announced and many more went on short time, until in late summer it was estimated that production had been curtailed fully 60 per cent. The elimination of so large a supply helped matters, but not to such an extent as might have been expected, and during the past few months sellers have had all they could do to market a fair quantity of merchandise without further sacrifice in values. The development of the bicycle and golf crazes has found a market for heavy knitted goods in

sweaters and stockings, but the supply has kept pace with the demand, and an irregular market for these rules at the close.

Woolen Goods.-The year opened with heavy, unsold stocks of foreign woolen and worsted goods in port, and with the domestic manufacturers carrying full supplies also. There was no demand of any moment to meet these conditions, and the year was thus entered upon under a discouraging outlook. The introduction of the DINGLEY Bill shed a brief ray of encouragement, but, with its fate settled, the market dropped again into lethargy and weakness. When the light weight season opened buyers showed the greatest indifference. Agents struggled to secure business to keep their mills employed, and prices suffered all around, quotations on such staple goods as clay worsteds, cheviots and cassimeres marking by the middle of the year the lowest point they had ever touched. Even under these conditions the majority of the mills failed to secure sufficient business to keep their machinery running, and, one after the other, either stopped entirely or reduced output, until in the late summer not over 40 per cent. of the productive capacity of the country was employed. This cut down in production did not produce much impression on the market, as there were still abundant supplies of most descriptions of men's wear fabrics to be drawn upon, and prices failed, with but rare exceptions, to respond. The abnormal condition of the trade is well illustrated by the fact that, at the close of the year, there have been very few lines of new heavy weights shown for next fall, whereas there is usually quite a display of low grades during the month of December. The demand for low cost all wool goods has been a feature of the year's business. Satinets have been crowded out by the low prices of all wool fabrics, and cotton warp cassimeres and doeskin jeans have sold in limited quantities and at irregular prices. Overcoatings and cloakings have shared fully in the general poor conditions. As was the case last year, dress goods have fared better than men's wear fabrics, but even in these results have been, on the whole, but moderate in volume and poor in returns to manufacturers. Prices have tended downwards, and close the year at their lowest point. Flannels and blankets also have declined, without recovery at the close. In addition to unprofitable manufacturing, the woolen goods division has had to bear the brunt of an unusually long list of failures among clothiers and other purchasers.