New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1883-03-26
MONEY AND BUSINESS.

Last week tho banks relatively improved
their position, but only by Il vigorous contrac-
ton of loans. The average OF loans Is now
less than it has been at any other time tins
year. and the conclusion can hardly DO avoided
that the banks were unwlse III expanding 80
RAPIDLY a. they did in February. From tho
minimum OF $3O4. 900 600 early in December,
loans rose to 1917, 100000 at the beginning
of January; after month without much
change they suddenly rose from $3lG,l6O, 500
February 3 to 1927, 172, 800 March 3, and have
now declined to 1912, S79,1O0. An expansion
Of 81. 900. 900 in four weeks, followed by a
contraction of $l4 COO 900 in three weeks
does not manifest much sagacity. While the
hanks were expanding in February, the reserves
were all the time running down rapidly. and
surplus of $l0,000,0O0 January n was
changed to a deficit of $2,30O,OOO March j..
For four weeks now the banks have reported
n deficit. ia three weeks over S5,OOO,OOO, and
the main causos-accumula1On OF money by
tLe Treasury and need Of money at the West
to pay for products shipped-are still opcr-
alive and could have been surely forcseen. Ii
seems 10 be the fact that some banks made
large loans in aid of speculation in February,
and have since been cramped III their relations
with commercial business.
The daily publication of Treasury balances
at Washington shows how far the unavoidable
accumulation of money has proceeded. On the
| list the gold not covered by certificates
! amounted 10 Sl35, 107. 16l, and on Saturday
last to Sl42, 534, 80. so that the Treasury has
gained about S7,4OO, 600. This il not more
| than # needed 10 gain in order To meet the in
| 'ba in, in cflN hos
! bcen INSIGNIFICANT Moreover the very low
state of the gold reserve February only
Sl2j G47, S94-should have admonished every
body that for some months the Treasury would
he compelled to recuperate. Its real reserve is
now less than it was December l, though its
holdings of useless silver have increased. As
was shown in recent dispatches from Washing
ton. at least SOC, 100000 will be required for
pcnsions and bond rcdemptiOns before July l,
while the loss in internal revenue on account
of the repeal of taxes will be SO, 100000, UNI
less the receipts from the whislIey tax should
increase, and the failure of some holders and
the combined movement TO export spirits to
Canada seem to render such an increase doubt
full. The revenue for the rest of the fiscal
year ia exhausted, and it is unreasonable to
expect another call for bonds.
The money market has some relief already
from S4,O71,574 In specie received last week,
and this does not include $416,000 received
on Saturday by the Fulda and Sailor. Though
a considerable part Of these receipts were in
bank last week, the reserves declined, the
Treasury having taken in over So, 000, 900 in ex-
cess of disbursements. But the prepayment OF
April interest will bring out u large sum,
though it will be widely scattered. The amount
supposed to have been shipped from Europe
has now been received. Interior exchanges dc
not yet favor this city, and the unprecedented
shipments of products at the West explain the
ruling rates. 1t would be natural, on the other
hand, that the purchases of imported goods
and of domestic goods similar to those that
are largely imported, should not be large. in
view of the fact that considerable reduction
of duties il presently to take effect. Hence
although the purchases for the West and South
are of fair amount for the season, 1t IL not
strange that they do not correspond in magni
tudc with the unusual shipments of product,
eastward. The following shows the receipts
of grain in bushels and the shipments from
the Northwestern Lake and river ports, and
the receipts at the Atlantic ports for the two