The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1891-06-24
WEEKLY FINANCIAL REVIEW.
10 Outlook Has Cleared and Is More
Assuring.
BANKING HOUSE OF
HENRY CLEws g. Co.,
IahNINI tWS u CO.,
IL, 13. Is Broad St., 80 Wall st.

EN- SlhhS q va
II, 10. Is Broad St., 80 Wall st.
Especial Correspondence of THE INDEPENDENT.
New YORK, June 20.-The most significant
event Of the week was the reduction of the
Bank of England rata of discount from
four to three Per cent. For months past
London has been tho objective point of in
terest, the storm center, SO to speak, Of the
financial world: and the clouds of 6istrust
which had gathered in from all parts of the
world threatened to burst with renewed
fury over those intrepid racers on the sea of
finance VINO had been carrying an over
press of sail in South American waters.
The danger signal, however, has been
lowered; the outlook is brighter. and now
should naturally follow. Enterprise of all
kinds has been held in check for some time
past by fears of tight money. Conserya-
tlsm appeared imperative in manufacturing
as we'll as commercial and financial circles;
and no wise manager cared to incur oblica-
tions extend ng into the fall
months, which n tight money mar
kst might interfere With. The result
has heel a wholesome restraint in nj di-
rsctions: which, though pinching severely
IN sons quarters, has let general trade IN
q scunder condition than before in spite Of
the common complaints OF Guilnats. The
reduction Of the Bank of ENGLAND rate
means that the tension in Europe is abnt-
Ing; that londol Is prepared for all Rus.
sian demands for gold, and has no imtns-
diate apprehension about sending gold back
to the United States during the fall months
in return for such grain and otter produce
as Europe will be obliged to buy.
ColpcIdsnt with the removal of fears
about the foreign monetary situation, tie
home outlook has also cleared and proves
more assuring. The treasury is exoected
TO meet all obligations his fall: so that un-
moo -, tlpt -.-. 40 :. - 49,
western bank reserves are larger than usual.
and each year the west giowa more indie
pendent of eastern aid. Then, too. the
money now III circulation in the United
States stands at about 81, 504. 600. COZ, a
larger sum than ever before at this season.
and larger also than Mt the times of heaviest
crop demands. In 1888, tho year of big
crops, the total circulation was S1.37l. NO@-
600, while now the amount in circulation
is 81 ,5O4. 00O, 600; a showing of Sl33, eco 600
in favor OF this year. Further evidence Of
con aeEce iii the future OF money il shown
by fieer oneflhgs IN time money, extending
from sixty days to eight months. Aerchap-
disc imports, though smaller than a wear
ago. are still running in excess of exports.
creating an adverse balance; but the proba-
biity is that this will be settled later on in
other ways than by gold shipments; though.
should further amounts leave, no concern
need be felt unless they reach much larger
figures than now ssem possible. In the
event of additional shipments OF the pre-
oious metal, it will be aua to the fact that
We have, as usual, but little else 10 sand
forward MT this season of the year. IL IA
the leriod between hay and grasn, as il
were, in our croFG.
The wheat and corn crops are far the
most important of any single influence af-
fectlnq the future of stocks, Indications
suggest the possibility of the largest wheat
crop on record, estimates varying from 300
600 600 to $500 10 ,00Obushel3. These fEurss
should leave a ulplus OF about $50, $50 O
to 200, geo, Geo bushels for EXPORT. II prices
only afford a reasonable profit to proyers.
and the shortage in Eusope rsuders il
likely that they will, it is easy to ses the
effect of such Il harvest, not only upon the
interior, but upon the trade, railroad and
financial interests of the whole county.
Europe will have TO take our wheat and
pay as in gold. Our securities will become
lntrlnsically better in the opinion Of both
home and foreign holders. In short,
should present hopes concerning the har-
vest be Realised, it would impart u degree
of prosperity such as hRs not been seen for
several years past. However, it will not dc
to discount such hopes too rapidly. The
crops are not yet beyond danger. Pruden,
men will therefore keep close watch on
crop news for the next few
weeks and act accordingly. There will be
nothing to fear in the foreign situation fol
some months to come. July Disbursements
are close at hand, and an Investment de-