New-York tribune., 1884-02-18
MONEY And BUSINESS.

The outflow of gold did not begin last week,
because the Bank OF England failed 10 put mp
its rate. To this popular version Of the matter
it may be added that the bank doubtless had
reasons. Tn one week it had gained $2, 2,O5O,000
without Il change Of rate. Subscriptions TO the
French loan having closed, that important but
temporary cause Of Withdrawal of gold from
England and from this country ceased To Oper
ate. Over II 100000 of the gold received by
the bank came in from circulation, which would
indicate that the local demand was not as great
as it had been. Apparently the bank hoped to
be able to avoid any further advance OF rate at
this season. The strength of the stock market
here indicated that the expected shipments
were not feared. Though it would be folly to
make light Of the danger which large exports OF
gold would ultimately involve, il is clear that
several millions could be sent abroad without
causing any present disturbance. Money is
abundant on call at 1l2 per cent, and the banks
still hold $11O,S9G,900 cash in reserve, not
withstanding small loss last week. Their eX
pansiOn Of loans and deposits is justly regarded
as indicating that little larger demand exists
for money in commercial uses, though the acCu-
mutation of unemployed money is still enor-
nous. Much Of it is doubtless waiting for
investment, and one can see evidence daily
that part has begun to go into the more solid
dividend-paying securities. Uncertainty as to
the extent and the outcome of Congressional
folly deters expansion of industry or of bank
ing, but it is encouraging to see that there is
still some evidence of greater industrial ac
tiyity.
The controversies between the railroads have
not all been settled. but when the matter re-
solves itself into a struggle between powerful
parties for the control of such a road as the
Rock Island, it is not of much use to keep up any
longer wars or rumOrs Of wars in order to buy.
A belief that Mr.. Gould and his associates will
secure largely increased interest in the Oregon
Railway and Navigation Company is supported
by statements from Boston. In connection with
that the award Of 4percent i'll the trunk line pool
to the Lackawanna is the stronger indication
of peaceful settlement, because it was made by
the casting vote Of Mr.. Robert Harris president
of the Northern Pacific, and recently vice
president of the Erie. If the company has act
ually secured just about this proportion of the
entire traffic since its new line to Buffalo was
opened, the award gives it assurance that the
same proportion can be retained with full rates
for freight, and so benefit the other cOmpa-
MES. 1t is stated that, although the official
report for the last year Is otyet made, the
actual net earnings of the Lackawanna i'll excess
of all expenses interest, rentals andtaXcs, were
between and 14l2 per cent, and if 1t has done
so wellin open competition during the first year
of its new line, the year can hardly have been
particularly Improbable to the other compa-
MES. Very satisfactory earnings for the year
are also reported by the Chesapeake and Ohio,
and by the Chicago, Burlington and Quincy,
and il is noteworthy that the weekly returns
fhus far received for February show large gains.
The great floods Of the West were utilized to
the extent of their ability by the people who
live on public misfortWcs. But the attempt to
make food dearcr was not more successful than
the attempt to make investments worthless.
For TWO or three days brcadstuls andprovisons
were crowded TO higher prices, though there had
been no increase in the export demand. Then
came wholesale unloading by the sArewdcr m
siders, aud prices dropped Dacl. again Saturday
afternoon in IL manner disgusting To spccula-
tive holders. Though the week closed with
some advance in prices, il also closed with much
more apprehension oi "A serious decline, dealers
in Chicago and here being impressed with the
fact that at present prices exporters are exceed
ingly backward in coming forward PctO-
lrum wa, depressed rs cents during the week
by the reduction in the price of refined from
9Js TO S3l cents aud the manipulation attending
that change. Coffee has been lower at l2l2
cents fol far calgOes and sugar weak toward