New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1886-06-21
MONEY And BUSINESS.

The phenomena now witnessed are sufficiently
singular to deserve unusual attention. Low
prices of products and high prices of securities
hardly ever fall together. But with remark
ably low prices for products generally, though
not the lowest ever known, we now have
strong and advancing market for securities and
prices average higher than ut any time since the
summer of 1883 excepting day or two in No
vember, 1850. Wheat fell to So cents in elevator
at New YORK on Wednesday, though closing
little higher, and cotton closed at 9ls cents,
while oil fell below 20 again, and lard closed mt
Ga. but the average price OF sixty active stocks
rose nearly 50 per share last week. and closed
at 500 4sl2, which has been exceeded since the
summer of 1883 only about 81 per share, No
vcmbrr ~, 1851.
Within certain limits, obviously. low prices
for grain favor an advance in stocks because
they imply larger exports, and consequently
larger traffic for transporters. In May and
June of this year the outward movement has
been large, and the railroads have prOfted by
it the more because their rates have been good.
The exports of gram from Atlantic ports for
the past four weeks, compared With those of
corresponding weeks last year. have been
1,42S, ia bushels wheat, against 1904, 0G7
last year; G9S,2l0 barrels honr against
63S, 992; Alp 467 bushels corn, against
1898, 4G2 and 7G2, 7G6 bushels oats, against
51l,l7 last Year. In April last, the senseless
speculation in wheat began which thrust up the
price to 81 % with an enormous unsold surplus
on hand A year ago, when spectators were
bidding over 81 bushel for wheat, exports
fell to the minimum. In consequence the com
ohn
wheat, though not in -four. Receipts at New
York in May were $50. 900 bushels of grain
by different routes, according to the mpla-
ton of The Financial Chronicle, against only
s,2O3,OOO last year, but the Increase was
mainly by canal for the railroads brought ONLY
> 400 bushels more than in 1885. Though
they gained little in quantity, they gained much
more in rates, and The Railroad gazette shows
that the total east bound movement by trunk
lines in May was 992, 907 tons, against 923.7I3
last year, and sos, 9G2 in ISIS l. the rate i'm both
the other years being - cents in May, against
20 cents this year. On he other hand, the wes-
bound movement was only lao, 1872 tons this
year, against l59, lGG last year, and G2, 1876 in
1851, and was in fact smaller than in any other
May for seven years.
While it is plain that the railroads are doing
better on the whole than they were last year or
the year before, is to through shipments, the
decline III wcst-bound traffic suggests that the
distribution OF merchandise is not IL satisfac-
tory as has been expected, aud that would i'm
ply local business of only moderate propor
tons Oh most lines. The exchanges show DAY.
mcnis through banks outside New York ex-
ceeding by about IS per cen; for each of the
last two weeks those of tue corresponding
weeks last year. But the chief cause Of adj
vance in the price of securities is probably the
large amount of money for which no other en-
poyment is found. The rate for money on call
has remained low for a long period. The low
prices of mar ufactured goods, ana the Ger
talnty that In most departments of industry the
productive capacity of works now in existence
exceeds the present demand for consumption,
together with the agitation for a change OF
tariff. have deferred mary from investing In in