Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1885-06-23
aJEMPHIS APPEAL.
TUESDAY: -: .JUNR 90, 1885
THE RUsINEss SITUATION.

THE BUSINESS SITUATION.
The advance of summer brings, as
usual, a decrease Of business; and with
spring trade so lifeless as the one we
have had, dead summer business is in
evitable. The New York Chronicles
table Of clearinghouse returns, for the
week ending June 18th, exhibits a decided
decline in the aggregate from the total OF
preceding weeks-only four cities, of
which Memphis is one. show gains over
the previous week. The clearings of the
tWenty-seven cities reporting show a
total loss Of 173 per cent. against the
preceding year. Chicago has loss of ,
per cent. against the year before for the
same week, Cincinnati of Sc, st. Louis
of 5.5, New Orleans of 23.9, Louisville of
6.2; Kansas City has a gain of 425, and
Memphis of 409. The total of the
tWenty-seven reporting cities shows a
loss of 1873, as against the previous
week. Returns of seven principal
cities, up to June 10Th, five days,
show a total loss in them against
the same time the year before of 11.6 per
cent, and against the week before Of 17.3
per cent Wall street transactions are
recovering strength after their long de-
PRESTON. The feeling there is better
and holders are more hopeful, and, says
the Chronicle, could they be positive of
honorable legislation with regard to silver
coinage, the future Of the market would,
In their view, be assured" The exchange
market was frmer, but dull; bankers
balances are difficult to loan at one per
cent; prime commercial paper is wanted.
Under the reigning duilness the incidents
Of the week have been few and of little in
terest. The silver coinage question is the
principal matter of attention, for it is
felt that unless the next Congress
suspend the coinage Of silver dol
lars, what confidence remains will
give way and a catastrophe follow.
Congressman Weaver, of Nebraska, is
reported as issuing a sort of Rocky
mountain ultimatum of what the silver
wasps as a singing generation will condo
scend to concede to the needs and welfare
of the country's commerce. According
to the report given of this statement the
suspension Of the coinage of the silver
dollar will be acquiesced in only on con-
dition an unlimited authorization is
granted to the owners of silver bullion to
deposit it in the Treasury and receive in
return silver certificates which are legal
tenders equally with the present gold
dollars" On what ground is this claim
made for a product Of a mere S40,000,O00
a year, when cotton, with its $500, 100000
q year product, has no dream of making
any similar condition with the Treasury?
That ground shows the emptiness of the
claim; it is that the population of our
country Is rapidly increasing and the
money supply Is rapidly diminishing.
Last week such was the excess of sur
plus money lying in the banks unem-
ployed that, as stated above, bankers
balances were difficult TO loan at one per
cent. And no wonder, for the surplus in
New York alone. according to the state
ment of the New York Indicator Of June
18th, had an increase that week, making
the surplus nearly S62,000,000. That
authority adds: Although loans are Of
fered as low as one per cent. per annum,
the banks find it impossible to invest the
money in their possession. a reserve Of
nearly forty-two per cent. Of the deposits
is now held, or about seventeen per cent.
more than the amount required by law.
The gold reserve alone is S23,0O0000
more than the legal requirement, while
the deposits exceed the loans nearly ST.
100000" In the face of facts ike these,
it is plain that the silver-wasps have no
ground whatever for their claim to com
pei the government to buy al of their
product which they fail to sell elsewhere.
How far the country is or is not depend
ent upon silver, is shown by the fact that
the official report Of March II, 1881, a
time when business gaS highly pros
porous, shows that the national banks
of the United States held a total
currency, outside of silver OF silver
certificates, of s156, 167 ,3O4, while the re-
port of May 6, 1885, shows that the cur
rency, exclusive of silver and of silver
certificates, held by the national banks,
amounted to $3.50, 425, ri. Let the
reader compare the two sets of figures
and think of the condition Of trade now,
and he will be at no loss to understand
the utter inability of silver to sustain
commerce, and to perceive the entire
groundlessness of the insolent claim
made by Congressman Weaver. In the
words Of the Chronicle, is not all this an
indication to Mr.. Weaver and his fol-
lowers that no excess in the volume Of
the currency in the country. or at the
command of borrowers, can cause bust
ness activity? 1t seems so evident that
currency only facilitates exchanges. and
mover can make or cause them, that we
do not see how any one can be deceived
on the point? Here are plain facts and
clear figures, the force of which no in
telligent reader can fail to comprehend.