§ MR. FIELDTo ask the President of the Board of Trade whether he is aware that, under manipulation, the prices of the American cotton futures contract, as used on the Liverpool exchange, with nearly 1,000,000 bales of cotton in that port and with only a very small quantity in New York, is selling at some 200 points over New York and twenty-five points over new crops for 1907–8 causing wide-spread mischief to the Lancashire spinners and manufacturers as well as to merchants and importers; whether he is aware that this artificial difference ha 835 enabled Liverpool manipulators to open up enormous gambling operations in the shape of straddles between Liverpool and America; and whether, under these circumstances, His Majesty's Government will take steps to safeguard the cotton industry from these gambling operations and manipulations solely made possible under the present form of futures contract as practised at Liverpool.
§ (Answered by Mr. Lloyd-George.) I am aware that, according to quotations published in the Press, there is at present some considerable difference between the Liverpool and Now York prices of cotton for future delivery, but I find no evidence, from inquiries I have made in Lancashire, of any mischievous result arising there from in this country. While I have no sympathy with gambling operations, properly so-called, I am not prepared to take any steps in the direction of restricting legitimate dealings in "future" contracts.