New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1889-10-14


anticipated in the fact that the Southern ana
Western demand, after shipments of over $780,
600, 600 of currency has lessened
The prevailing idea that ones debts grow IN
proportion as one pays them oil is erroneous. ne
fact that the country has already exported during
this year nearly ,s6o,O0oOOO Of gold is reason
more and not that it will repeat the operation
OF the last three months of SoS, when Germany
took nearly sl4,000,000 from us for exceptional
reasons although the balance of trade against the
country was then much greater than II Is now,
as it since has been liquidated by gold exports:
There is some evidence, of a partia return 70. OF
money which was speculativey withdrawn from
| the banks But the late movements, natural anu
manipulated, again have developed the perfect
| order of the automatic financial machine Dult
OF Treasury surplus and high prices OF Government
bonds We frequently have been asked what
| would have been condition II the treasury
had not possessed any surplus money WIN , MIhcn
| IL the Treasury had not in the first place with
drawn the money from circulation through 'aAeS
IL would have remained in general circulation, ana
| the temporary manipulation OF the money marhoV
| would have been more difficult. .
| 1t was on Tuesday morning, August -; thaU
an officer of one of the prominent Natlonal DahNs
| kindly sent us word that we were All wrong OIL
the bond question and that there was only aoouC
| So. 500 600 floating bonds which the secretary
could purchase at anything like current rdt ~
The purchases of that day exceeded S2'OO00 O0o'
| and for that week they exceeded sl4,OOOOOO.
| The purchases have continued ever SINCE, eNciS
! week 10 run 10 very fair amounts ana even "so
l
SuGst 81 We were told was the full amount
! tbat could be purchased. OF course, IKE
the past exports Of g cx1ortcd ihe ae sdn
so with HIe the Government bond purchases. Inc
bonds already purchased have been uHen - ,hn
| the market, and not the measure . 9u U-o o
| amounts which yet may be purchased o.lh' ". ~
| adbore TO the opinion that at current rates me
Secretary will continue 10 receive offers OF uolS
| 10 an amount which will prevent any l fs tIis
accumulation Of money IN the treasury .i, v,la
oninion proves to be correct with inc continue W.
expansion Of legal money at the rae Oh
per month by the coinage OF STANDARD aoi"rs >; GO
] healthy money market at or under lc1il ra',S
is assured from now till late in the sprng' SUD
| iect of course 10 such manipulation as tle Ie.uar
! of corporation dividend ana interest," u'9S may
an SatnralIy' with the more settled tone of the
| money market and recovery from me i I1 y,
/ possibilities the foreign exchanges developer
| frmer tone Aside from the natural causes WORK
| ing for a decline in rates they had Deen uhuulS
depressed by the recent monetary. Stringency.
| With the relief from money manipulation Vi "
| has been a recovery Of about one-hall OF inc
eytrme decline in the foreign exchanges, ana yeC
the market is not over firm at rates on the pass
of 81 SO 10 and 81 SO - respectively LOT lonS
| Europe last week reported considerable losses
Of cash. but there was nothing unusual III IN. IHe
movements; they always show losses at thiS
season of the year.
RAILROAD EARNINGS.
| The Tribune has printed the gross earnings OF
| siXty-nine companies systems for the fourth
week in September, showing an agCregat gam
| ON the week of 1888 of $S1 ,G31. or HOG per
| cent OF the total number filty-four companies
report gains averaging SAC per cent, and fifteen
return losses averaging j. O6 per cent Fcs the
| first week in October, The Tribune has printed
/ the gross earnings of thirty-four companies or
systems, which return aggregate gains of s3OljQO,
! or g. 81 per cent OF this thlrty-iour companies
| twenty-seven report gains averaging lo.o2 per
cent, and only seven return losses averaging Az
| pei cent
The subjoined table divides the aggregates and
differences of companies showing gains and losses
q 81 SHG G5l IS So IN. s9i62i2 $40
is companies .... 141T2l3 13l&591 Dec. loScis 7Sl
Total CONS $3.50 so Ss1534o5 Inc. ss2 6al HOG
2 somfaHie 50 1888 SO s. esl1e9 ss595q = % %
eompaEies-.. 1'lol'oSi l1l2'4oS Dec 4"O'o 81
Total "a CONS So 12l .7JeG2 Inc 1901 500 s.O2
THE WEEK AT THE STOCK EXCHANGE.
Aside from the dealings in bonds, which were
slightly affected by the surrounding local cOndi-
TONS the last week at the Stock Exchange was
a " bear one. The traders on the short ac-
count which includes some recently sod-out
bulls" based their confident raids on values
entirely upon the possibility that considerable
dislOdgment of long" stock might, through
twa De or three Of perhaps Sp E
securities, the raids proved to be
| entire failures BE it true not that the selling
OF Cotton Oil certificates from Al "a down 10
38 7-8, and of Sugar certificates from sc "a
| down TO 81 forced liquidation on the part Of
some Of the holders of those securities the
latiOn of the week. Because, whether true not,
the story of forced liquidation and possible
financial embarrassment was generally believed
The probability is that all of necesSltOuS Hquida
ton in those two unlisted stocks had been made
in the preceding week, and that the raids of
last week were simply made possible by the
indifference OF the principal holders OF the Sc
curities as 10 the prices which bear Spectators,
for the time being, chose TO make at the Stock
Exchange. Cotton Oil closed the week l IA
per cent higher than its figures Of week ago.
and Sugar, after 81, at SO ga was "a per cent
lower than week ago. While these simple facts
and their necessary influence upon the general
market furnish reasons fully sufficient for the
governors Of the Stock Exchange Immediately
10 disband its unlisted" department because
dealings in properties that do not comply with
the ordinary, rules of the exchange have been
and frequently are used for Generalization of the
general market, yet these trust stocks are not
devoid of values The insiders connected with
them, however: through the courtesy of the New
York Stock Exchange, possess advantages in
speculatiOnS which are not accorded 10 the man.
ayers of properties whose securities are regularly
listed. Cotton Oil, during the last three years,
has accumulated from its profits over $4,000 900
in cash, which ii has on hand III cash aud loans.
Crediting that sum 10 its capital account reduces
the capital for its plant to $4,000 600. That
| at the market price of yesterday is selling for
| less than 100000 These statements which
we have made are from most trustworthy source.
and yet, because Of the lack OF official informa-
ton and the indifference of managers, its security
| is made football at the Stock Exchange, to the
| detrlment of the commission accounts of a large
| majority OF the members, and a constant menace
| TO the stability of the whole market.
! with the easement of the money market there
| simultaneously came renewal OF Western reports
| Of rate cuttings and Generalization among the
| Western railways. But il is hardly fair 90 credit
| that with any part in the stock market of last
week The railway earnings OF the last six months
and particularly Of the last month. including the
first week OF October, have completely given the
! lie TO Chicago and ST. Louis and Denver exag-
CREATIONS that they have ceased To have any
| influence upon the market for stocks beyond per
| haps that occasionally now they send an intend.
| ing buyer out of the brokers' Office to wait for
| further developments.
! II was sheer force, together with fears OF some
embarrasSmentS growing out of the decline in the
trust securities and in the two rated Boston stocks
| Atchison and Ncw-York and New England that
permitted such declines as were forced in the nm