Omaha daily bee., 1888-10-07
WEEKLY BUSINESS REVIEW.
Unusual Activity in tho Grain and
Provision Markets.
A DISPOSITION TO "eveN UP
The Stringency in the Money Market
Ahects the shipping Trade-In-
creased Strength in For
cign Markets..
Unusual Activity.

>h''Nup, u VI NpGClal ltltkTuUl "
The BEE. Another week Of unusual activity
has been witnessed in the leading gram and
provision market, attended with n greatly
unsettled feeling and rather wide fluctua-
tons in prices. Speculative interest has not
subsidized to any extent, though operators APP
parently have transferred their trading
ahead considerably, probably with a view Of
avoiding "squeczcs'' as much as possible. In
near deliveries there evidently has been a
disposition, both on the part of local and out
side spectators to ''even up'' trades, and il
possible, settle them up, as the amount of
money required to protect outstanding con-
tracts has been sufficiently large TO absorb
the ready means of many houses, and even to
almost exhaust their borrowing privileges,
III is expected, however, that this pressure
Will be gradually relieved and in n few days
the general situation will work back again
into old channels and the money market show
more casiness.
The stringcncy in the money market has
had somc effect on the shipping branch of
trade, as merchants were compelled to eXer-
else more than usual caution in protecting
their speculative trades, and this, to some
extent, has withdrawn ready money from
the shipping department. Besides, orders
on shipping account were lighter, as mer-
chants in the consuming and distributing
markets, both at home and abroad, were not
inclined to follow the recent appreciation in
prices. The scarcity of ocean tonnage and
high rates of freight demanded have checked
the export trade to n great extent. Advices
from abroad indicated more strength in that
quarter, and higher prices for most of the
eading articles were quoted, yet they were
not in proportion to the advance in prices in
| tl,, -A,,.t. - . L.
cidedly stronger. The receipts of grain at
all western markets have been moderately
free and shipments rather liberal. Especi
ally from lake ports. The prices Of grain
and provisions have ruled decidedly higher
during the week. Seeds have shown consid-
cradle strength and prices have further ad-
vanced.
The receipts of live stock were moderately
free at all the principal western points,
though the receipts of hogs were lighter than
for the corresponding time last year. The
packing of hogs in the west shows Il further
Slight reduction. Farmers have been quite
busy with their usual fall work, but rs this
slackens as the cold weather approaches Il
more liberal movement of all kinds Of farm
products is anticipated.
An increased demand existed for money,
and banks had an active week. Calls for
money from country points, especially where
wheat is beginning to move, were more
urgent, and Il larger inquiry is expected as
the advance in wheat within the past ten
days will probably induce farmers to sell
their grain more freely. Shipments of cur
rcncy to the interior were quite light and re
ccipts rather small. Activity IN speculation
on the board of trade has also absorbed an
unusual amount of money in the way of mar
gins deposited on trades between members
of the board. Other lines, of business
have made larger demands on banks
for assistance and the rapid alb
sorption of money created u tirmer
feeling in the market for loans, and it
showed u decidedly hardening tendency, and
rates ranged higher. Very little paper
passed as low as 5 per cent, and Gar per
cent was generally paid by borrowers, who
had previously been accommodated at 5l9@
6. The firmness of the market was also, in a
measure, increased by the sudden and uncx-
pactcd closing of the Traders bank. AL
though it was a small concern, it caused un-
easiness among the timid dcpositors Of other
institutions. While the deposits withdrawn
by this class were not large enough to be
felt, it left an uneasy influence, which is cal
culated to make bankers extremely cautious
about extending their loans, as well as to APP
preciate the fact that when confidence is
once disturbed that feeling increases quite
RAPIDLY. The unsettled condition of af-
fairs on the board of trade, assisted by
the large failure in the grain and pro-
vision trade, also had a tendency to make
everybody apprehensive regarding futures.
Chicago banks, however, are strong and
IN a position to meet any calls that are
| likely to be made on them. Bullion has been
withdrawn from the banks of England and
France to such an extent, that, as a precau-
tiOnary measure, the former advanced its
discount rate from 4 to 3 per cent, and the
latter from 4 to Az per cent.
New York exchange was weak, and in the
absence of a demand adequate to absorb the
supply, sales were made between banks at 20
arse discount per 81 900, and large amounts
of currency were ordered from New York.
Foreign exchange was weak and lower, due
10 continued large offerings of stock bills.
l INna, pna a,, 3. q ~l;p nnlt ~ . 4 4 10 SDi =
@4.S4l4, closing at inside figures.
Despite the excitement in wheat, which
drew the attention of New York stock oper-
ators from that market, a good bus
mess was transacted in stocks
and sales showed a fair increase over the
preceding week. The advance in wheat
showed what could be done by spectators
taking, hold and buying freely, and set the
example for stock traders to follow, which
they did willingly. The feeling was "bullish,"
and the market well supplied with buying
orders. New England again cam to the
front, as the leading "bull" card, and ad-
strong ~favorite and advanced 4 points. A
large business also TRANSFERRED in Lacka-
wanna, Reading and Richmond Terminal,
the latter being advanced on the report that
it had secured the lease of East Tennessee,
Virginia and Georgia. All southern stocks
received more attention, and sold ut fair ad-
vances. Changers were unsettled. The ia
vorites advanced moderately, but Atchison,
Whlch mas been under "a cloud Tor months,
declined sharply, owing 10 free selling
on a reduction of its quarterly dividend to
y per cent, and the report that it would only
pay 4 per cent for the year. Advances in the
general list induced q fair realizing by
parties who had good profits in their trades,
and fair recessions followed, but the bulk of
gains were maintained to the close. One
small failure occurred, but it had little or no
effect. The advance of ! per cent in the
Bank Of England rate had a tendency to
/ RESTRICT operations, as IL makes money too
high for operators to carry stocks ut the
present rate of dividends.
Railroad earnings continue TO mako a
favorable showing, tho reports for Sop
TENDER being up to the expectations. The
aggregate sales on the New York stock cx-
| change for the week wore Z. OSl. $40 shnres.