New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1880-05-11
TILE COURSE or PRICES.


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THE COURSE OF PRICES.
No consistent or steady reaction in prices
seems to have commenced as yet, and the stock
market, the provision, breadstuffs, cotton,
metals and dry goods markets are all depressed.
Wheat closed on Monday at 81 3Ol2 for No.
2 red Winter, and 81 24l2 for white, the ex-
port demand having decidedly increased during
the past week, especially from Great Britain
No mixed corn closed at 81 to 51l4 cents per
bushel Cotton closed at lille, the lowest
price yet touched in the decline, in spite OF sales
of 2,775 bales on Monday for export, and
print cloths were offered at 424 without ready
response, while prints declined from q to
cent per yard. Iron was much depressed, and
while nominal quotations are $26 to $27 for
No. foundry, 1t is stated that large lot OF
No. 1 Allentown was offered at $24. But
Scotch pig is offered as low Us $40, and some
sales are reported at 500 so. The reduction OF
the card rate for bar iron to So so by the
Western Iron Association. and the proposed
changes in the tariff on iron, help to accelerate
the decline in prices, which has now gone so
far that some furnaces, not favOrably situated
for the most economical production, may have
to suspend operations. In provisions, coffee
and sugar the tendency Of the markets has
been toward a decline.
Railway rates have been well maintained,
and Mr.. Fink states in a circular that
"none of the members of the Execu-
tive Committee (Which now represents
cover forty cOmpanies) have expressed any
@intentiOn to make n change in east-bound
rates at present, and, as far as their views are
"lnown it appears that there is q general desire
" to maintain present rates during the Summer
"mOnths." Water rates have also been main
tanned and slightly advanced by lake. The
railroads, therefore, must be doing very good
business, and the statistics OF grain movements
by rail show a large traffic for the season. The
earnings of such roads as report show an IN
crease for the month of April by every company,
and an aggregate gain of So, Gas, 429, or about
| 24 per cent, for the month, while the increase
from January / to May 1 is $11,249,94O, or
about 2j per cent. Yet the prices of stocks and
bonds have declined 80 greatly and generally,
that at times, and especially yesterday, some
| thing like panic has seemed to be near at
| hand. This decline, moreover, has affected the
| old reliable and unquestiOned dividend-paying
! stocks as well as those of doubtful or specu-
lativc position, and it has continued in spite of
general expectations of a speedy advance,
which the earnings and traffic of the roads
| seem to encourage.
There has been no difficulty in the money
market since the veto of the bill to tax foreign
capital was assured. The banks report large
increase of reserve, $3.99j,00O in specie and
S213,1O in legal tenders with gain of only
| S7O1. 400 in loans, which indicates that large
amounts paid ont by the Treasury IN interest
and purchase of bonds have not yet found en-
ploymcnt. The Treasury balances are smaller
by about $j,OOO,O 900 than thew were q week
ago, the coin balance being only $94,253,OOO
In short, nothing indicates that the money
market will not continue easy, and the cause
for the prolonged decline in prices must be
sought elsewhere.
AS to merchandise partially imported, and
products largely exported, the fall in prices IS
easily explained by the condition Of foreign
trade Prices cannot long be maintained far
above their level abroad, unless we have de-
preciated currency in which to report fictitious
valuations. An upward reaction in the prices
of merchandise can hardly be expected until
the pOint has been reached ut which imports
will DO checked and exports increased The
decline in the prices of stocks and bonds ap-
pears to be partly due to sympathy with the
markets for merchandise, partly to the wear'-
ness of holders who have waited long time
for promised season of rapid and general adj
vance. and partly to the manipulations of large
operators Whether the latter have the power
any longer if they try, to enkindle general con-
fdence and encourage active purchases by the
public, does not yet appear.