Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1883-02-01
THE COMmERCIALA AND FINANCIAL
SITUATION.

According to the weeks statement of the
New York Public, the last weeks exchanges
were altogether more favorable than those of
the week previous. New York shows diff
ference-$494,s 100000 against 1851 COS, 900
the year before. St. Louis, San Francisco,
Baltimore, New Haven, Columbus and Low
ell, all OF which reported losses the previous
week, now report gains; eleven other cities
report increased gains. Memphis reports
81, 42I ,3l9, against $757, the previous
year-a gain Of S91 per cent. Three causes
are suggested in explanation of the change:
First, considerable rise in various products,
especially wheat, corn, petroleum and tobsc-
co. Second, change OF weather, favorable
in many branches 10 greater activity.
Third, decided revival of speculative
activity both in products and stocks. "We
are unable" says the Public, Ito see in this
an evidence OF improved financial health; it
seems TO indicate that the speculative force
is as strong SO ever" The New York Chron-
icL, which is constitutionally opposed to
take rather rose-tinted view OF affairs, is
evidently feeling something of the same in
huence as affects the Public. 1t says a feel
ing of dissatisfaction is becoming very gem
eral among conservative classes as 10 the di-
rsel;on in which we are drifting. Under
hostile State and congressional legislation
banking business has been largely trans
ierred from banks TO substitutes which have
no provision whatever for resisting a pres.
sure, but in time of trial must lean wholly
upon bank reserves. Nor are the trust com.
panies alone that are in this position.
While our banks have been crippled and
slunted in their growth by the burdens placed
upon them, foreign capital has come here in
large amounts, which is only in part subject
to our laws. The business of loaning money
on demand, or on short time, has of late
years developed into an almost universal
custom among those who have money at
their command, until considerable portion
Of the capital of life insurance companies
and marine insurance, and even the daily
balances of merchants, take that form. This
shows the vastly greater work our bank
organizations would be called upon to do at
time OF general discredit, and the need for
some change in our laws which shall make
provision for further safeguard. The real
danger arising from our silver coinage law,
and the distrust it occasions, is increased
through delay in the anticipated arrival of
gold from Europe, while The foreign demand
gives very little indication of settled
movement downward. Bankers say the pres
ent indications are of decreased movement.
OF cotton and breadstuffs. European crop
news stimulates speculation in breadstuffs
here, and the movement is aided by the con-
victIon that we shall really have a smaller
exportabIe surplus OF wheat than had been
expected. Our money market is easy, with
loanable funds in good supply, and plethora
Of idle capital. Uncertainty as TO changes
in the revenue and the tariff, and caution
among merchants and manufacturers who ali
stain from making new ventures, help 10 keep
general trade quiet, limits speculation, and
promotes very conservative feeling among
capitalists. The last report offhe state of the
exchanges by the Boston Post does not light
up the shadows, affairs looking more IN
favorable than for some time past as there
was falling off in exchanges as compared
with the previous week and the previous
year, with dull trade through the country
and unwillingness TO embark in enterprises
until il can be seen what Congress will do
respecting the tariff.