1. Action potentials were recorded from single fibres in the optic tract of anaesthetized cats. 2. A sectored disk or 'windmill', concentric with the receptive field, was rotated about its centre to cause local changes in illumination throughout the receptive field without changing the total amount of light falling on the receptive field centre or surround. 3. A cell's response to a flashing test spot centered on its receptive field was measured both while the windmill was stationary and while it rotated. While the windmill rotated, the test spot evoked a smaller average number of spikes than while the windmill was stationary. 4. The induction in response occurred in both on-centre and off-centre cells and in both X-cells and Y-cells, though the reduction in response was smaller in X-cells. 5. Surround responses, evoked by an eccentric stimulus, were also reduced by a moving peripheral pattern. 6. Suppression was graded with the contrast of the moving pattern. 7. Gratings too fine to be resolved by the receptive field centre could suppress the response of Y-cells. This suggests that the local elements responsible for the suppression are smaller than the receptive field centres of Y-cells. 8. Response suppression started within the 100 msec of the onset of pattern motion.