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

oo,,,or,- their averages declined S317,OOO CON
traction of loans about 81 100000 ana OIL ue
nosits over s. ,O0O,0 900 lessened the dchcic III
reserve, but toward the end of the week foreign
exchange stiffened to S4SS, and apprehchslohS
of gold exports were revived. Large purchases
Of bonds did indeed enable the Treasury to pun
out about s3.40OO00 more than 1t took H. Du'
the amount shipped to the West and South, though
il declined early in the week when money was
dearest increased as rates fell, and eNceeueu
81 600 900 for the week. Reports from interior
cries do not indicate that stringency is increasing
avon at the few points at which it has appeared,
hut the drain OF money from this city is large
already for the season, and continues undated
Meanwhile shipments of gold from England TO
Brazil and Egypt continue, and the Bank OF
ENGLAND lost 81, 900 for the week, the Bank
of France 81, 900, and the Bank of Germany
about S4 600, 0O0 The swelling tide of domestic
trade is the obvious explanation Of the demand
for money in the interior at a few chief cities
where speculative operations prominent The
bank clcarings for some weeks past have exceeded
last years but little-last week the excess was
only half of one per cent-but ut thirty other
cities scattered all the country the increase
has for several weeks exceeded 10 per cent, and
for the latest week reported was over IL per
cent. 1t is fairly corroborativc evidence that
the gross earnings on 14l railroads, published
on Saturday by The Financial Chronicle" showed
a gain Of 10 IA per cent over last year, and the
gain on the roads reporting thus far for October
has been "a per cent. In the ordinary course
of events the fall demand for money should
by this time have passed it's maximum but with
an unprecedented volume Of business in progress,
the extent or duration of the drain can not be
confidently predicted.
A most striking proof Of the large expansion Of
business is seen in the swelling consumption of
pig iron, which caused the price to rise, notwith-
standing enormous output. October l the pro-
duction weekly was over 10000 tons, and the
increase in September $500 TONS or over per
cent; year ago the output was about 1870, 900
TONS and the increase for the year has been
10 1-2 per cent Yet it is the universal testimony
that stocks are not, the whole, accumulatng,
and the consumption presses so closely upon the
supply that the price of all except the lower
grades has distinctly advanced. The works pro-
ducing structural and plate iron are crowded with
orders for months ahead and even the bar-iron
business shows more strength. This immense
consumption is the more positive evidence of
general activity in business because the
consumption Of iron in new railroad
building has been about 40 per cent
less than last year "The Railroad Ga
zette' makes the new mileage for nine months
only 3,1l1 in the United States against 504}
for the same months last year; and if only $50
tons Of iron in track and equipment go into each
mile OF new road, the decrease in demand for that
purpose alone would be 100000 tons thus far.
Nevertheless, the price of rails has at last been
generally advanced to about s31 at Eastern mills
the orders of many great companies for rails
needed in renewals having been placed during
the past ten days. crowding the mills and swelling
the recorded sales to over 100000 tons for that
period
A change in pubic knowledge Of the situa-
ton is at times as effective a change in the
situation itself. The October report OF the Agri-
cultural Department recorded change in official
knowledge, rather than change in facts, but
the official assurance that the yield of wheat
prt baby 405. 900, 900 bushels instead Of 1885,
600, 900 he'd a marked effect. Cheap wheat and
cheap bread for the millions are assured for an
other year. and when the millions get required
food for less money they have more to spend for
clothing rent and comforts of all sorts. The
Departments report to cotton is 1-2 points
higher than at the same date last year. with
a larger acreage and The Financial Chronicle
finds in its independent inquiries reason for saying
that the yield will be very heavy" something
like 10000 bales would seem TO be the present
prospect The corn crop is 81 III against %
year ago, with larger acreage indicating some
thing over 2,00O,00O,000 bushels yield. This
means not only more liberal use for human food,
but more liberal feeding to animals and more
abundant and cheaper meat.
Speculation in products has naturally tended
toward lower prices during the week, and wheat
is about cent lower, with corn and oats frac-
ton lower. The exports Of wheat improved
little but including -four, still for the first
reported week Of October about 230, 600 bushels
below last year. 1t is fact of Importance in
the grain market that corn exports continue
10 exceed last years by about 80 per cent and
last year they were almost unprecedented. The
exports of cotton have also continued heavy;
in two weeks, $780, 900 bales, against $4,000
last year. But receipts also large and the
spot price has declined an eighth Pork products
have been but moderately active, and in gro
cerics the peculiar situation of sugar and coffee
still retards transactions. Sugar has again de-
clined TO 3 3-s for fair refining and 7-S for
crushed Coffee is dull and has declined a quarter.
The Shoe and Leather Reporter notes
lorp and active trade, with prices of shoes
lower thnn ever before, and leather prices the
lowest for thirty-fve years. consolidation of
window-glass companies is in process of formation
ot pittsburg. which is declared TO be not in
tended 10 control the price. But the trade has
bcan excellent and prices have been steady
Notbng new, except more hopeful reports can be
s,en in the minor metals trade, and those prod
nets are affected as is usual after an artificial
combination has for the time completely de-
stroyed natural relations of supply and demand
The stagnation in coal bears somewhat the same
character. the quoted and the actual prices be-
inc strangers but under threats of cancellation
If past contracts the recent movement has been
more free
Tn brief the commercial outlook is on the whole
decidedly encouraging, with the single reserva-
,ion that foreign demands for money may yet
cause some disturbance in this country