The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1891-05-14
WEEKLY FINANCIAL REVIEW.
Result of Three Weeks of the Bul Cam
paign.
BANKING HOUSE OF
IT ~ O ~

pANhlNb llotoI II
HENRY CLEws & Co.,
II, Is AND Is BROAD ST. AND 50 WALL ST.
tspecial Correspondence of TIE INDEPENDENT.)
NEW York, May 9.-The "bull' campaign
has now had three weeks of trial. The re-
suit proves that it has been based upon
natural conditions and has rested apo q
sound foundation. During the last tour
weeks we have exported about $19,OOO.O0o
of gold, which has 20 that extent depleted
the reserves OF the banks; and this has been
not only a severe but also a more or less
unexpected test of the strength OF the
stock market. Under an ordinary state OF
things such a drain would have sufiiced to
cause important selling OF long stocks and
a big decline in prices; but, IN tins present
condition of things, while it has encour-
aged active selling by the bear" operators,
Ii has not prevented a material rise in
prices and has simply acted as a preventive
of a still further advance. 1t ID another
evidence of the intrinsic strength of the
market that not only has the upward move
ment had little or no support from the
London and continental markets, but 1t
has actually had to contend with the re-
turn of securities from those sources.
A crisis at any of the European money
centsrs might easily increase our shipments
of gold and send home American securl-
ties; and such q crisis is far from being be
yond the range of possibility; there are, in
deed, those who think such an event prob
able. Until the probabilities OF such dis
turbances are dissipated, the present range
of prices, is safer than a higher range would
be; and the most prudent operators appear
to hold hat view.
A few weeks later. not only will the Eu-
ropean demand for gold have been satisfied.
but the situation arising from the results
of the worlds haryests will necessitate a
material re1ux of gold to this country.
The latest advices from the other leading
wheat growing counties afford little i'm
provement on the unfavorabls prospects of
their harvest; and we have, therefore,. still
a reasonable promise OF an extraordinary
export of this cereal ut much above average
prices. This alone is sufficient to insure a
course of the foreign exchanges that will
contribute largely towards meeting the IN
terror demand for currency during the fall
months. In the meantime, the reserves OF
the New York banks are not suffering any
actual reduction, the Withdrawals of GOLD
for export, since the beginning of April
having been set off by the return of cur
rency from this interior and the exchange!
with the subtreasury.
The serious labor disturbances in Europe
on the LIST OF MAY have been an unsettllns
factor on the foreign markets during thu
week, with which business here has in eom'
measure sympathized; but, on the othe
hand. this has been Offset by the abatemen
of war gossip at the continental capitals
Here laDof Gay mas passed. WIN less aGl
tation of the eight hours question and les
display of the socialistic agitation than ha'
been expected, which is a valuable contri
button towards confidence and enterpris
in business at large. The spirit of trad
throughout the country is steadily gainin
in confidence; and neither the labor marke
nor the capital market shows any lack c
wholesome employment. Should the ant
cipated abundant harvest be realized, til
resulting prosperity of the farming interes
will tend to create q fall business of III
usual activity, with a season of unusuG
earnings for the railroads.
HENRY CLEws.