Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1882-06-07
THE COMMERCIAL AND FINANCIAL
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The New York Public, in its last weeks
review, says the shrinkage of business as
shown in the weeks exchanges develops the
| most remarkable decline that has occurred
| for six years. In the fall of 1873, when
business was at its worst, the decrease in eI-
changes outside of Nov York, in 90 nnpari-
son with those of the preceding year, some
times approached 10 per cent, and once
reached los per cent; but at that time the
decline was mainly caused by a fall OF about
| Is per cent. in prices. Now there is de-
cline of 1919 per cent. outside of New York,
although prices are Is per cent. higher than
year ago. The decrease that has occurred
in the volume of business has been fore
Swallowed by the exchanges since January
10Th, and with especial defnIteness on April
9th. To have observed the indications, and
to have received them as warnings, would
largely have profted many business men.
The clearinghouse returns for the fourth
week in May show in New York, excluding
stocks, decline of 1877 per cent; at Boston,
of 324 per cent; at Philadelphia, Of Al per
cent; at st. Louis, of 49, per cent; at Bal
timore, OF 27.1 per cent. After the
exchanges in January last indicated widen
ing of the gap between producers and con
sumers, and an accumulation of unsold
goods in the hands of dealers, still the
amount of exchanges at manufacturing
towns increased, because there was trust in
coming demand, therefore production still
went on. All this shows that if business
oarSft,lIxr oh thax,
will find them to be real business barome-
ter, Intimating the changes that are ap-
preaching and SO giving full warning 10
spread or contract transactions SO as to be
ready for the good or evil times the state of
the exchanges foreshadow. The following
sentence of the Public is pregnant one, and
worth consideration: "The duration of the
period of depression will depend less upon
the crops, for which SO many have waited
with hope, than upon the markets that
may be found for accumulated products"
In these indications there is nothing to give
alarm; there is only an intimation to shape
the course according to events. 1t is not the
captain that keeps the wariest lookout, and
has every sail ready for furliDg or spreading
at few minutes notice that is most in dan
ger OF wreck; SO, in business, caution does
not necessarily intimate danger, it only
means be prepared to act according to events
close observation shows to be probably ap-
preaching. With respect TO railroads, the
following from the Public has an ominous
look: with five independent lines westward
from New York already, and sixth-the
West Shore-in progress, and with eight dis
tinct lines running eastward from Chicago,
the country will be prepared for another
railroad war before 1882 ends" This utter
ance is in consequence of so much that is
said and so little that is definitely known
about the new lines to Chicago soon TO be
completed. In trade the relations between
exports and imports continue TO be of
important interest; in every month
this year the imports have ex-
ceeded those of the corresponding
months last year at each of the principal
ports, except at Baltimore. In every month
exports have decreased at New York, Bos-
ton, Baltimore and four Of the six principal
cotton ports, but at Norfolk and San Fran
cisco the exports have increased. The in
dications of progressive decrease in the rate
of excess of imports over those OF correspond
ing months last year, though really encour-
aging, must be taken with caution, because
about this time in 1881 business was extra
ordinarily active, both foreign and domestic,
and the excess of exports over imports rap
idly shrank from 50, S59,620 in March to
81 529470 in June In considering the
shrihkage of domestic exports, which is, after
all, the most potent cause of the recent out
flow of gold, We End the principal difficulty
to be at the cotton ports. The Public does
not discuss the general strikes that are now
taking place, but their effect will be felt in
the channels of business, and the next clear
iughouse reports will no doubt show that
they are producing their effect upon mon
etary movements.