New-York tribune., 1891-05-25
MONEY AND BUSINESS.

Belief that the tide Of gold exports will now
turn has caused vigorous rally in stocks. Prices
rose for the sixty most active stocks, not includ-
ing the trusts, 81 63 from Thursday to Satur-
days close, making the advance 81 81 for the
week; but those are in error who suppose that
prices are near the highest of the year, for they
are still So OF per share below those Of the last
week of April. The remarkable advance last
week occurred in spite of exports of S7,550,0OO
and about S25,56s,71s gold during the twenty
three days of May Rose-colored statements by
foreign bankers helped no doubt, but the main up
lifting force was the reduction Of half penny in
the premium for gold by the Bank of England 1t
was inferred that the Bank must have in sight
all the gold it was 1a Fly to need, and that the
demand from this cc'Itry had therefore ceased
substantially if not absolutely The fact that
$3.50 900 Of the gold ordsred for export Saturday
was not sent tended TO strengthen this impression.
Yet it is still as uncertain as it was at any time
how much gold Russia will demand, or when, and
the conditions in South America or Portugal are
not more favorable than before. Those may vet
be disappointed who reckon that gold exports
have ceased. In June and July Of last year the
excess of merchandise imports over exports was
over S32 0OO, 900, and the exports Of gold nearly
S22, ,000, 900.
Imports at New-York in three weeks of May
have been $32,l7G, ,000 against $31 ,109, ,042 last
year, an increase of ST. 000, ,000 while exports here
have decreased $l,3OO,OO0 compared with last
year. The latter comparison is deceptive unless
this years extraordinary movement of cotton is
taken into account, with the fact that it is mainly
through other ports. In three weeks ending with
May 22 exports of cotton from New-York have
been "A, ,03j bales, against 3l,7o9 for the cor
responding week last year, increase of $500 900,
L..
come. But from other ports there have gone in
the same weeks this year 119,11l bales, against
81 ,420 for the same weeks last year, an increase
Of about $4,O00,000 in value, and the total ex-
ports ior the entire month from other ports and
New-York were but S2s, 100000 last year The
price has risen sixteenth during the week. though
futures are unchanged, and European stocks are
already 100000 bales larger than a year ago.
which must make difference in the movement
hereafter. The excess Of imports over exports
may therefore be not quite as large in this month
as the Sl2, 100000 of May last. But il is enough
to call for heavy exports of gold, and a similar
excess is to be expected in each of the next two
months.
II is q wholesome fact that the produce mar
kets have yielded materially wheat declining a
cents during the week, corn = cents, and oats
cents, pork 81 per barrel lard an eighth, hogs
q quarter, and butter l cent. These changes
promise more free exports of wheat, which have
been from both coasts for three weeks 760 900
bushels greater than year ago, with a decrease
Of more than 100000 bushels in corn The
legitimate effect of large gold shipments is TO
force down prices of exportablc products to such
point that the surplus can 60 abroad instead
of specie and thus to break the speculative rings
which have been arresting the shipments Of
products and causing the loss Of gold. The level
of prices of commodities has declined nearly
per cent since the beginning OF May, but there
was a similar fall at this season last year. before
the extent of injury TO crops was known, and
the lowest price of the year was reached about
the end of May The level is 1916 per cent
higher than it was year ago, and was 1872
per cent higher at the beginning of the month,
so that at least 1 per cent more money is needed
TO transact the same business
The volume OF business in quantities is much
lower than IL was last year, Clearing House ex.
changes having shown decline in May thus far
Of $4,000, 900, or about per cent. Adding al
lowancc for prices it will he seen that the busi-
ness done in quantity must he at least 10 per
cent smaller than a year ago. Part Of this is
due TO the smaller movement Of breadstuffs, for,
though Western receipts of wheat continue larger
than last year. the decrease III other products Is