Staunton spectator. [volume] (Staunton, Va.) 1849-1896, 1891-08-12
Stauntot. Spectator.
WEDNESDAY. AUGUST 18th. 1891.
Col. J. Lewis Peyton on the Situation,

Col. J. Lewis Peyt0n Oh the Situation.
The distinguished historian Of Augusta,
Col J. LeUis Peyton, who has been spend
ing a short summer outing in New York
city, and on the Hudson, returned last
week with his family to Steephill. While
in New York he mixed much with bust
ness men, such as Latham, Alexander q
Co., of Wall street, E. George & Co., OF
South street, and others Of prominence in
financial circles, all of whom seemed much
interested in the South, and the develop
ment going on there-especially in Vir-
ginia. From such sources he gathered
the conclusions that the present dullness in
money and the markets is due primarily to
the embarrassments of Barring Brothers of
London, and the suspension of the River
Plate Bank. The troubles of both grew
out of their efforts to uphold the credit Of
the Argentine Confederacy. The stringency
in the money market which has caused
weakening in prices in many cases and ex-
treme dullness in others, is regarded by
him as only temporary-an adverse in
fuence which is offset by the belief that
the demands of Europe and America for
grain will be extraordinary, and for all
other American commodities large, in
Guiding coal oil, for which there is an in
creasing demand. AS the harvest is over
and the crop has everywhere turned out
fully equal to expectation and the Western
and Southern granaries are OVERLOOKING,
the time will soon come, said Col. Peyton,
when the distribution of the grain-crop and
of the toba eco and cotton of the South
through all the Oh annels of transportation
will give not only animation but revived
prosperity to every industrial interest.
Our reporter asked:-Is wheat already
coming in iu large quantities?
Col. Peyton replied:-The forward move
ment in wheat has fairly commenced and
France has already ordered from the Balti~
more market 100000 bushels, and New
York options maturing during the next 60
days amount to 100000. The crops is
coming to the coast as rapidly as freight
accommodations are obtainable, the effect
of which will be to cause flow back of the
gold we have recently exported to Europe
and many millions in excess of what we
have exported.
Repr.-What is likely to be the extent Of
the foreign demand ?
Col. P.-The deficit in Russia is over
$4,000, 900 bushels of wheat. A shortage of
about 25 per cent. in Russia meaus &c.
0OO,0OO of bushels, and a shortage of 60
per cent. in the rye crop, and rye con-
stitutes the chief support of the Russian
peasantry, or a deficiency in that Empire
alone of $50, 600, 600 bushels. The situation
is aggravated by late harvest in England
and the prospect of famine in India
While this will cause distress, suffering and
death to many in those Inflated countries,
it means prosperity to American farmers,
and this is already reflected in the booming
market in Chicago for grain taken for ex.
port.
Repr.-What is the condition of the
New York money marketP
Col. Peyton.-Money is abundant in
New York, but the business situation as
to the future, for the causes have enume.
rated and others, is such that acccmmoda-
tons or discounts are obtained with diff
culty-dealers in commercial paper cona-
plain that notwithstanding the large bank
reserves. paper cannot be sold freely in the
city, and the country banks buy little
owing to the home demand for discounts,
which absorbs their funds. During my
weeks scjourn in New York the bank de-
posts increased over $4,000, 000-while
this was the fact railroad, municipal bonds
and other public securities were dublin.
yestors holding back for lower prices, OF
this, of course, is regarded asa discouraging
feature, as all boarding cripples trade, but
as it cuts off profits also it is not likely to
continue long.
Repr.-Was any interest expressed as to
the South and her present condition and
future prospects?
Col. Peyton.-Theie is great deal said
about the South, her minerals and other
resources, her increasing enterprises and
prosperity, and it ia not all talk. There is
a strong tendency on part of many to come
South and in others to invest here, and un-
less all signs fail, the next IL months will |
see considerable flow of Northern people
and capital to this region-more especially
to Virginia, which is regarded more favor
ably than other Southern points
LIST. Because she is considered the most
backward in development of the Southern
States-an almost unoccupied region.
2ad. Because her iron and other ores
are proved to be of superior character; |
some Of her iron being really Bessamer
ores, and hersupply of water ample, which
makes steam az q motor for raising and
washing ores unnecessary.
Sid. Because of the healthy climate !
where destructive droughts do not occur
droughts which devastate annually some of
the Western States and have caused some
of the copper mines of Michigan to close
labor and moderate means of living.
4sh. Because Of the high character of |
the Virginia people for truth, honor, and
conservatism, and the hearty welcome al
ways extended by them to strangers; and |
lastly because of our nearness to the great
markets of the North and of Europe. 1t is |
said that the G. & o. Railroad will soon |
have in operation transatlantic line of |
steamers from New Port News to England |
"a matter of growing Importance at this
time when France has rescinded her pro-
hibition of American pork. Portugal has
reduced her import duty on wheat per |
cent, and other foreign countries are fol- |
lowing suit. In this connection it is
proper. said Colonel Peyton, to remark
that the settlement of our State debt is |