Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1883-01-10
TIE MONETARY AND FINANCIAL
SlIUATION,

- hAOANs
The business review Of the New York
Chronicle Of Saturday has decidedly en-.
couraging lone; perhaps it il a little toe
rose-colored, as may be imagined when we
remark that the increase of bankruptcies
has no place in the review. That article
observes that there is a more favorable feel
ing in business circles. The trade figures for
November of the Bureau of Statistics in
spired a needed confidence. The expecta-
ton entertained by many that the new year
would disclose prevalent unsoundness among
the merchants proved erroneous. Consider
ing the general decline in prices, and tie
consequent liquidation that has been in pro-
cess, there has been but few failures. As the
this year bccome more manifest. There is q
recuperaiive force manifes,ing itself which
will render business active and remunera.
tive. Even the decline which has taken
place in values gives manufacturers safer
basis Of operations. During the last four
years there were only four months in which
the November exports were squalled, and
this when there was falling off in the ex-
ports Of breadstuds and provisions. In con-
sequence OF this falling off we may look for
continued large total when grain gees out
freely as cotton diminishes. While this is
the case with exports, imports, on the con-
trary, are declining, the total being less than
10 any month since July, 1881. This is a
most hopeful feature in the situation, and is
a MAI led contrast with six months and more
ago. These trade figures supply reasons for
expecting an influx Of gold, the average ar
rivals Of which during the last two months
have been $500, 900; In December they are
likely 10 be less. Present and prospective
conditions Of merchant shipments appear to
point to lower rates of exchange. The mar
ket is heavy just now, the supply of
bills increasing with a light demand !;
the drafts on the market are large
ly banke rs'. Speculation in breadstuffs
has rather checked their free export but cot.
ton goes out freely, and corn lie more active.
A speedy increase in commercial bills and a
drop in exchange rates indicate the approach
Of the specie importing point. We thus see
that all the commercial conditions are de-
veloping favorably. The most prominent
object Of anxiety is the continued coinsge Of
silver dollars. While the coinage OF the year
has reached s27, 100000, the treasury hold
I'M &c have increased 81, 500, 900, and So ,O00,-
900 only have gone into circulation. As
$3O00,000 year appear to satisfy the popu-
lar demand for silver dollars, and as the gov
eminent had 100000 of them on hand on
New Years day, we have, without any fur.
ther coinage, supply in store that will last
and supply demands for forty-four years. Is
this stock enough, or must Congress have the
consge continue until the supply be large
enough for the full half century to
come? Considering the season, money
is in fair supply; as to the future
bankers differ in opinion, but generally look
for an active market at an average of over
six per cent. These expectations arise from
the steady drawing from New York since the
fall OF funds by the West aud South; also
from the fact that the treasury outflow must
hereafter be no larger than the inflow. The
treasury has now a less reserve than ever
before. On January 2, 1888, only Sill $780,
900, against S137 100000 at the end Of 1882,
and 1874, 100000 at the same time in 1881,
all of which indicates that the treasury lie
likely to be drawing upon the banks during
future weeks, rather than adding 10 the
present bank reserves. This, and the dis
turbing effect of the tariff agitation, may
perhaps produce results that will soon be
apparent.