The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1891-09-09
The Upward Movement on the New
York Stock Market Temporar-
lily Checked.
Comparison OF the Crops Of the
Country Last Year With
Those Of 1891.
We Have Over III Million BuAhels Of
Cereals More Than In 1890 to Sup
ply Europe's Deficiency.

Wow of the market, under date of Sept. 5,
have this to say:
The upward movement which started in
so theoretically several weeks ago continued
to hold full sway during the early part of
tho present week, the result being another
sharp advance in nearly all the prominent
sharee; but at this iuncturs the long looked
for reaction made it's appearance, and the
most successful bull campaign seen for many
q day was brought temporarily to 4 halt,
and the bears for the first time in fve weeks
were allowed to take an inning. When it
is taken into consideration the enormous
advance which has taken place in such stocks
as O., II. d. c., r. l., Lake Shore, Mo. Pacific,
Northern Pacific preferred. and in fact all
tho prominent shares actively traded in,
it il not surprising that the market should
. receive a setback; but on the other hand, to
have been able to stand the strain of moving
in one direction for such a long period,
Notwithstanding free realizings from time
to time. clearly demonstrates tho good
quality of the market and the improved
condition Of affairs brought about by the
wonderful crops with which this country
has been blessed. With the almost famine
crops which are reported in nearly every
other country than the United States, it is
interesting to compare tho figures of our
last years crops with the estimated figures
for this years yield:
Corn...... 1883. $40, 900 900, 10000 J5o, O3O,N COO
Wheat -. s sss ~ s3,SoS r = 8 Soo aoS 1 1ss 's s$s SS {,
isss ' za.1fo,SoS 'o os.Veo,,oSo ~ 1.s sss.So9
The result is highly gratifying. We have
-, ~1r~.l --roh,,, %oI,,, Al, o,ro,Is oon,-
bined, 914, 900, 900 bushels more than last
year; this gives us an exportable surplus of
225. 600, 900 bushels of wheat, and, in addi-
ton, a large quantity of corn. Now turn
to Europe and observe the conditions
there. With the exception OF England (and
she lis obliged to import lao, 000, OC0 bushels
annually more Than abe grows) every wheat
producing country there is largely deficient
in its harvest, and it is estimated that at
least $50, 900, 900 bushels of wheat will be
required to cover the shortage. Last year
the European rye Drop (upon which
the poorer classes in Russia, Ger
many and Austria subsist) amounted
to 1,o4o, 600. GOO, while this year the yield will
not be over $40, 600, 900. That the def
~oiencies abroad exist as stated above, there
seems to be no reasonable doubt, and as
America is tie only country with a large
surplus OF wheat, Eut must turn to us.
Europeans Lave not been educated to eat
our corn, and it has been a matter of COM
1nent that our government has never takcn
sny xctivs steps to bring about that result.
However, with the large existing shortages
abroad. corn will hay to be accepted for
food, and once tbs experiment ~ tried, it Is
not likely to be r~elinqulshed, as corn il
much more nutritious tnan either wheat or
rye.
The movement of grain at interior points
has been very heavy, the receipts showing
IN increase of G5 per cent over last year.
TN immediate effect of this is seen IN the
increased Awnings of several railroads,
whose statements have lately been pub
lished, and suggests some idea of what
may be expected in the future, when the
movement becomes more general. Another
promising feature, in fact the most en-
couraging sign That has yet Appeared, is
the announcement that a consignment of
S2,50O,00O in gold has been engaged for
shipment to this country from the con-
tinent. II is understood that these are
special" transactions, as the rates of e1-
change are not yet low enough to admit of
gold being imported at a profit. 1t
will be remember ed that 4. great part OF the
gold recently shipped from this country was
taken from rs under what Was te, med
special" transactions. 1t is highly graft
flying, therefore, that the first c~onsignments
of ths return flow should come back to us
under the same heading. These ''speclal'
transactions will probably favor us from
now on, and it il expected that the move
,nent to this aide will receive u fresh i'm
petus soon, as foreign exchange is becom-
Ing heavier each day, and, if continued,
will soon be at the gold importing point.
Under these circumstances it il not reason
able to expect that, if not on the whole, at
least the greater part of tbs precious metal
which was takan away from US will soon
lind its way back again to its natural rest
ing place. The money market during the
past week hss shown signs of working
u little closer, the rates for demand
loans one day having advanced to six
per cent. while time loans command the
full legal rates for nearly all dates. This
is but natural at this time OF the year, as
the Gu, reucy movement is always against
this center, owing to the urgent demand
for money to move the crops. Still, there
seems to be no grounds for uneasiness on
his score, as the imports of gold, which
ure expected to continue, will be apt to
check any tendency towards %stringehcy in
money. Tbs rates this year are in marked
contrast to the high rates which ruled q
year ago, when call money was quoted ut q
premium of one-half of one per cent. per
diem and interest-equivalent TO 1873 per
cent. per annum. Secretary Fosters pet
scheme of extending the four and one-half
per cent. bonds Mt two per cent. has not
been entirely successful, as the holders of
only about 1924, 600, 900 have signitied their
intention of taking the new bonds. There
is no alternative, therefore, for the govern
msnt but to redeem the other $27, 900. 900,
which will increase the circulation to that
extent.
Taking the situation CO a whole, 1t is GER
tainly favorable to an ultimately higher
range of values; but there are several things
on the surface which NAV retard for the