Telegram-herald., 1890-12-22
THE MONEY MARKET
Henry Clews' Weekly Review Of
the Financial Question.
THE CRISIS Is SAFELY PASSED
Large Receipts of Gold Prom Abroad, but
Az is Not let iR CiFcniation-Au
Attempt 10 Consolidate
Railway Interests

NEw YORK, Dec. 20. The past week
in Wall street presents another page OF
dullness, though one also of gradual
recovery ia confidence. The incidents
connected with the late crisis are still
having their after-ehects, but no longer
contribute any new elements OF excite
mcnt, and the condition OF the market
is one of passive submission 10 the slow
process OF recovery and readiustment.
The principal factor OF the movement
is the meeting Of railroad presidents
and bankers to consider proposed ar
rzngements for uniting the railroads
west of Chicago and west OF ST Louis
in a compact that would put the fixing
of freight rates under the absolute con-
troll Of u board of managers chosen 10y
the companies concerned. 1t had been
expected that the plan would 90 far be-
yond the "gentlemen's agreement" or
any previous system of cooperative
control, in the scope of powers TO be
conferred upon the management, and
in the binding nature of the obligations
10 be imposed upon the several parties
10 the agreement. As this expected
str.ngency was deemed an improve
ment upon the laxity of previous SIM
| liar cOntrlvances, "street" opinion was
disposed TO regard the experiment as
worth al least a trial; and consequently
/ Mondays meeting of presidents was
/ looked TO with much interest, and as
possibly atfOrding a basis TOR increased
| confidence IN a large mass of railroad
/ securities, and also a stimulus 10 spec
/ ulative buying. Tne announced result
/ OF this meeting, however, produced a
I general disappointment, which was ex-
1 pressed IN a subsequent weak stock
! market. The nature OF the proposals
4 submitted TO the gathering seem to have
/ failed to command confidence among
/ Wall street men. Although the pro-
/ prosed surrender OF powers of manage
ment was broad, yet surprise IS felt tnat
/ there was no penalty, and no legal
/ force 20 bind the members OF the organ
] iMtlOn 90 good faith. 1t Is also regard
! ed as q weakness IN the scheme that no
! assurance is given 10 the weaker roads
I that their interests would not be sacrl-
/ feed TO those OF the stronger cOmpa-
MES. and That the members are not 90
I be bound TO q membership Tor period
/ exceeding SIX months ln advance.
Tins disappointment Is not unnatural
| for such q scheme Of control requires a
very grave surrender OF responsibility
and power on tue part OF each road;
perhaps greater than any corporation
. could bc properly expected 20 make or
be- really justified IN making. More
over, it's very questionable whether
amy set of RAILROADS can bc held, for any
I considerable time, u 0bevaDce 10 a
I voluntary arrangement winch called
I upon each ouu 90 sink IT'S own peculiar
and pccal advautage +. with no certain
assurance tBat the sacrifice was com
peusated by equivalent benefits.
De- money matters, there Is a decided
Improvement. botn as % actual Condt
tons and tone. Confidence d gaining
ground N credit circles, and the dinur
uUou n local ta lures SNOW that mcr
Grants arc getluE treer acc0mmoda
ton from tae banks. while the fact that
SOME oft the hanks are returning then
clearing house certificates. proves that
tae need tor such bcip is beginning o.
Disappear During the week thc hanks
havc lost about 81 $50. goo 0f currency
ou interior eKChsuge es-tnc bulk bayul
gone t0 View Orleans while they have
received about - 600 .0o0 from thc Sub
Treasury About 3 250. 300 0f gold na'
been received from abro3t. hsf o
+ winch has gone into the banks, but 81
late Iu tbe week as % make little show
in the averages of tOday's statement
some $1,000 600 more gold IS on tn
( Atlantic. bat tbatIs likely to be the iss
of receipts from abroad. as The rates 0
/ exchange no longer admit - mporta
tous ot specie. The Bank 81 England
though losing gold. keeps its rate o
q scount at : per cent. and money s.
easy q the opeu market ne London.
HrvRY CIFws.