New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1876-03-28
THE BUSINESS OUTLOOK.


of the week preceding, shows continuing de-
crease in every item. The reduction during
the week ending March Is was in part due
to the omission of the Bank OF tho State OF
New York, but it has not been followed by an
increase either in deposits or loans OF other
banks. The reduction in amount OF legal
tender reserve within two weeks has been
from $47,629, 500 to $43,773,9OO. and the
reduction in specie held from $23, 139,SOO to
sol ,5O4,O 900, 80 that, although the deposits
have decreased from 1927, 1O2, 800 to $2l4,-
1S1 900, and the reserve required has dlmin-
ished So, go, OOO the reserve held has been
reduced nearly So, SOC, 900, and its excess over
the legal requirement So, 261 100. Obviously,
the outgo of currency to meet Spring pay
ments in the interior has commenced, and In
Philadelphia as well as in this city the weekly
statement shows shrinkage of deposits and
contraction of loans Last year the correspond
ing movement eliminated April 24, and
the contraction of loans from March ~ TO that
date was about $7,5OO,OOO, the shrinkage In
the legal-tendcr reserve being less than
So, OOO, 900. This year greater contraction
has already occurred, but the reduction OF de-
posts has been nearly $13,OOO,OOO, or more
than six per cent within two weeks, ana OF
this shrinkago only $2,855,20O is explained
by the suspension of the Bank of the State
of New-York. With reserve of $780,
277,9OO, the banks now have not quite
as large deposits as they held one
year ago, when the reserve was $50, 49,
800, and less deposits by $25,549,3OO
than they held in 1874, when the reserve
WAS SS6,O2l, 400. At the same period i'll
1873 the reserve was less than $50, 100000,
the deposlts less than they arc now by
500, 900, OOO and the loans much greater, as
the following shows:
1876. 1875. 1874. 1873.
Loans $4,000 27o,S5e 900 2se1s7soo 27a,sis 200
Dcrs2i4isI 600 24,72l 800 $50 10000 1893 50s 200
specie 2l5oiooo s2s2soo 254393o0 ISl5 9 loo
Circ,n. 16 i9a7O0 81 53i 800 26.72G,4o0 27635,7eO
Clngs347 i55,j73 Az i3s.32j 4fis32l los 0lo3ol'o-
The last line, showing the currency clear
ings during the week ending March 20
and the corresponding weeks of the pre-
ceding years, suggests the explanation OF
the phenomena presented by the bank
statements. Last week was one OF es-
pecial dizziness, not only on the Stock Ex-
change. where sales were smaller than during
any preceding week since Jan. 8, but i'll
other branches of business. Ever since the
panic of 1873, the hope has been by many in
dulged, and by some writers persstenty en-
cOuragcd during the Winter months, that with
each revivlng Spring we were to have " a re-
"vival of business" BY this, hopeful dealers
and their wcll-meaning but mistaken advisers
understood an improvement i'll prices obtained,
as well as in quantities sold. Men INDUCED the
hope that the happy times of active specula-
ton, rapid sales, mounting prices and large
profits, were in some mysterious way to he re-
stored. Many, instead of adjusting their
transactions to the new conditions prevailing,
have persisted in the old way, year after year,
hoping each season to witness during the next
the long delayed "revival of business" But
repeated disappointments begin ut last to teach
the needed though unwecome lesson, namely,
that we cannot expect renewed prosperity I'M
til we have earned it by some years OF patient
economy. We must produce at lower cost,
stimulate consumption by lower prices and
narrower margins, and help manfully to pull
the country out of the morasS OF debt into
which it has been plunged by imitation and
Over-speculatiOn
In one sense there is revival of business,
slow but steady. The quantity of products
exchanged and consumed gradually increases
as prices slowly settle to the level required
for legitimate business and healthful exchange
Trade reports show that receipts OF nearly all
important products at this market have been
larger thus far this year than during the same
period in 1875. Yet prices, as every market
report reminds those who are indulging false
hopes, do not rise, nor is there any sign OF
speculative activity. Business is building
slowly on new and more solid foundations.
Those will prosper most who catch the spirit
of the time most promptly, throw away false
hopes, clear away incumbering debts" Guilt
vate economy and thrift and settle down
patiently to earn wealth before spending it.
~ RE Walt WHITN1N.
The last English mail brings us u sufficient
omount of data i'm the shane of newspaper