New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1888-04-23
MONEY AND BUSINESS.
men.

NJ short crops the theory being that Treasury pur
cbases of bonds win force millions out Of Govern
ment bonds and into stocks, whether the prospect
of large traffic is good or not The average adj
vance in stocks was 81 per share last week, and
since March 81 the rise has been SO SO. Railway
earnings are moderately good seventy'seyen roads
for the first week Of April report decrease Oh
only per cent but with an increase OF L, 9lo, or
4l-2 per cent, in miles operated. For the second
week, Gfty-one roads, with an increase OF nearly
per cent in mileage report gain Of b77 per
cont in gross earnings. The net earnings on
seventy four roads for February, however, gained
only s2ss, 085 though the gross earnings increased
g.. GIL. 703 and the mileage also increased. The
accounts from the West do not indicate that the
war of rates is ended If spectators are right in
believing that the corn crop is about exhausted
and that the next wheat crop is TO be short there
would not be much ground for enthusiasm under
ordinary circumstances
But all these things make no difference with
the market, II a hundred millions or more are to
be forced OUT Of Government bonds and into
stocks Just how holders are to be forced to sell
Government bonds, when Treasury buying is likely
10 make these bonds advance, and forced to pur-
chase stocks unless traffic and earnings promise
Improvement is not explained 1t is clear that the
$50 OOO 900 of bonds held as security for bank
deposits may be offered for sale, because these
are bonds held by persons institutions presumably
having some present or prospective use for money
To get the difference between the amount now
deposited against the bonds and their selling value
may seem desirable, but on such bonds sold the
Treasury would only pay out that difference What
other bonds may be offered is as uncertain as IL
was last year, when the same invitation resulted
so unsatisfactory that the method was abandoned
This year the offer may be much larger, but how
many of them are bonds not already on deposit
the Treasury may not think fit to state. Mean
while, since the changed prospects in Germany and
France, foreign buying has given place to selling
so that exchange rises near the shipping point
The exports from New-York for three weeks have
been l.6 per cent larger than for the same weeks
last year, and the imports not per cent smaller.
The advance in breadstuffs, which has not
ceased, tends to restrict shipments so much that
grain is taken in ballast, and some cases are re-
ported of actual bounties paid for the privilege OF
carrying it, Wheat and corn are l cent higher,
but oats as much lower than week ago; cotton,
coffee and sugar are unchanged, but oil has risen
l-2 cents. Western reports of injury to wheat
have become more frequent, and the hardness OF
the spring is apt to have some influence, but as
to foreign news it can only be said that the Eu-
ropean demand for American grain is not sup
porting freight rates at present. For the last
week reported, "a 900 bushels of wheat went out
from Atlantic ports, against 1927, 600 last year.
Cotton exports improved reaching 174,477 bales
for three weeks, against 14O,15S last year. But
the wool market is weaker again, and the lndis-
position of manufacturers to go beyond present
needs is marked.
While the general business of the country Is
smaller than it was year ago, it is nevertheless
large compared with previous years Exchanges
at New-Yorll last week show decline Of ga per
cent at six other large cities for five days OF the
week they show decline Of less than l per cent,
while at all remaining clearing houses the eX-
changes for the previous week were 4.5 per cent
smaller than for last year. These figures would
point to but a small decrease outside Of New
York, but the heavy operations at Chicago and
some other points where speculation is rife render
the comparison more favorable. In the iron trade
there is no change beyond the offering Of South
ern iron at still lower prices, some reports Of
Welding in steel rail prices at the West, and
actual sales Of bar iron at g cents. The demand
for iron other than for rails is fairly maintained
but sales Of rails to April are said to be 6565l3
tons against ,494 394 to the same date last year.
IL is remarked that the boot and shoe business,
which has been exceptionally prosperous, now
appears dull, with some reduction Of prices, and
il is stated that hardly any shoe town is working
TO its full capacity.
During the past week the Treasury has added
81 700, 600 to cash on hand, without material
change in deposits. As bearing upon the success
of tho Treasury in buying bonds, it may be OBJ
served that the l-2 per cents have been adj
vanced l cent and the a per cents l IA cents
during the past week. The remarkable success
of the British Government in changing the rate
of interest on consols naturally has an influence
upon the prices Of American Government bonds,
and upon the disposition of holders.