Telegram-herald., 1891-09-07

fz1nEN rom time 10 sihe' si0
ly demonstrates the good quality OF
the market aud the improved eondi-
tfon OF affairs brought about by the
wonderful crops with which this conn-
try has been blessed. With the almost
famine crops which are reported In
nearly every country other than the
United States, IL Ii interesting TO COM
pare the figures OF our last years
crops with the estimated figures for
this years yield:
Corn. isss.r6.cn aoso.ooooos ssoe:1.i6oo %
S.ss MasaI % ssssMoS sSSoS.SoS i7s.sisooO
Rye 27.iseOoo 23.0ooW Ls0ot@
The result Is highly gratifying. We
have In round numbers. taking the
cereals combined. Ola million bushels
more than last year; this gives us an
exportable surplus OF 22o million
bushels Of wheat, and, In addition. a
large quantity OF corn. Now turn 10
Europe and observe the conditions
fhere. With the exception oil Eng
land land she Is obliged to import
14O million bushels OF wheat annual
ly more than she grows) every wneat
producing country there is Largely
deficient in :ts harvest, and II Is es-
timated that Mt least 2oO million
buenels OF wheat will be required 10
cover the shortage. Last year the
European rye crop upon whicn inc
poorer classes in such countries as
Russia. Germany and Austria SUB
sist) amounted TO 1 ,040 millions, while
this year the yield will not be over
$40 millions. That the deficiencies
abroad exist as stated above, there
seems 10 be no reasonable doubt, and
as America is the only country with
a large surplus OF wheat, Europe must
turn to us. Europeans have not been
educated to eat our corn, ana 1t mas
been q matter OF comment that our
Government has never taken any
active steps to bring about that re-
suit. However, with the large ex.
isting shortages abroad, corn Will
have to be accepted for food, and once
the experiment Is tried, it Is not Ike
" 60 be relinquished, as corn is much
more nutritious than either wheat or
rye.
The money market, during the past
week, has shown signs OF working
little closer. the rates for demand
loans one day having advanced to
Der cent, while time loans command
the full legal rate for nearly all dates.
This Is but natural at the time OF the
year. as the currency movement is al
ways against this center, owing TO
the urgent demand for M oney 20 move
the crops. Still, there seems TO be TO
grounds for uneas;ness on this score,
as the imports of gold, which are cx-
pected to continue, will be apt to
check any tendency towards string
emcy in money The rates this year
are in marked contrast to the high
rates which ruled n year ago, when
call money was quoted ut a premium
Of 1-c OF 1 per cent. per diem and In
terest-equivalent to 1SS per cent.
per annum. Secretary Fosters pet
scheme OF extending the 1-2 per cent.
bonds lat per cent. has not been en-
tgrely successful. as the holders OF only
about "a millions have signified their
Intention o! taking the new bonds
There is TO alternative, therefore, for
the Government but to redeem the
other % millions, which will increase
the circulation to that extent.
Taking the situation as n whole,
II IA ccrta inly favo abl, to an nj im ate
ly higher range OF values; but there
arc several things on the surface
which may retard for the time being
any further pronounced upward move
ment. and which 1t viii be well not to
lose sight Of Another thing to be
watched "a tho statements issued by
the Bank OF England as having
bearing on the future condition ri
affairs across the water. This weeks
- n
oi reserve to liability has declined from
45.77 last week TO 452S this week.
and that the decrease In the reserve
for that period amounted tos39o,Ooo.
These figures in themselves have no
especial significance. as the reserve Is
sti,I slightly above last year: but l.
sould not b. forgotten that the old
country will soon he called upon 70
dssrorge a large amount OF the gold
which she 50 ruthlssslv took from us,
and when that happens her reserves
naturally decrease. In view of this,
the Bank OF EngIand's governors are
likely 10 advance their rate ~ discount
so6r. which will naturally have the
effect OF making money dearer abroad.
and consequently more difficult for
the foreigners TO carry our stocks
which AZ present they have n good
supply .of. The factor, however, OF
more importance than any other at
the present. time. as II is the ono cal
culated to do the most mischief II de-
veloped. IL the cold weather In the
Northwest, which seems to ne NOV
ing in several direction and which may
vet do serious injury to some portions
Of the corn crop. as 1t win he two or
three weeks before all corn will he out
Of danger from frost AZ before stated.
the situation as a whole has prom
fsive look For the future. But while
these somewhat uncertain factors are
lowering over the market it viii he
we'll TO move cautiously. snd when
good profits make their appearance
II will be advisable TO secure them.
The market is likely N show more
activity from now on. especially as
the leading bear" viii soon he home
~ take hand In the game. Good
opportunities. therefore. will be at.