The morning news. [volume] (Savannah, Ga.) 1887-1900, 1892-11-07
BANKER CLEws' VIEWS.
The Financial Outlook as Seen From
Wall Street.


Wall Street.
NEW YORK, Nov. 5.-Affairs in Wall
street remain about stationary. Transac-
lions are confined mainly to the Industrial
stocks and TO those of the Reading, st. Paul,
New England and Northern Pacific rail-
roads, while the general list is neglected.
Ane DUH operations in certain industTials
nave indirectly helped to support the dor
mant railroad stocks, and prices, therefore
are generally kept steady; but there is a
IeeIlng, In some quarters, that when
the movement in the aforementioned
speclaltles is slackened, the now
neglected stocks may also suffer. Ii Is
Doubtful, however, whether this view takes
sufficient account of the elements of unusual
strength underlying the railroad list, which
nave not yet had adequate expression in an
ADVANCE IN their prices. The holders of
railroad stocks are generally men of large
means, who know what the roads are doug
ana appreciate the immense business that
Is In prospect for them during the next
twelve months; and although they may not
deem the present moment the most oppor-
tune Ior an active speculation in their re-
sspective specialties, they would not be
likely to sit quietly by while the "bears"
trihed with their interests
The Unexpectedly large increase in last
weeks surplus of the banks is taken as iu-
dlcatlng that the outflow of currency to the
interior has reached its climax, and that
the shipments to the south, soon TO be forth
coming, are likely to be provided for by a
retiux or money from the west The re-
serves of the city banks, however, are in a
low condttlon-muoh below what they were a
year ago and lower than has been expected
and while no real stringency is feared, vet
hrm rates for money are expected for the
remainder OF the year. The net export of
nf a..
portion OF the year, has caused a large de-
pletion OF the lawful money re-
sources Of the banks. Since February
last, their stock of gold and
legal tenders has been reduced from 1861
100000 to $4,000, 900; yet, with this loss Of
47,OOO,O0 of lawful money, the loans have
been reduced only 100000. Under these
circumstances the disgusting movements
at the foreign money centers are the more
closely watched, and there are exceptional
reasons for such vigilance. There has rarely
been period when the great national
banks of the world have shown such an
anxiety as at present exists to accumulate
gold. This boarding tendency is not due TO
any commercial wants either present or
prospective; for everywhere, except in the
United States. trade is depi essed and con-
tracted. 1t is due partly to conviction that
the critical position of silver may compel
an extensive resort to its substitution in
banking operations by gold, aud also to the
sprlngiug up of a significant unexplained
demand for gold from Russia. The FIRST
OF these causes naturally creates deep in
terest in the approaching monetary confer
ence at Brussels. The bare possibility that
something may be done at that gathering
to stay the discardment of silver seems,
however, to have the effect of holding this
boarding tendency in check for the time
being; but, should that hope be disap-
pointed, it is quite possible that the banking
clamor for gold may be revived early next
spring. The special importance of this to
the United States lies in the fact that this
country is looked TO as the chief source
from which the coveted supplies of gold
must be drawn. The result of the forth
coming conference has therefore a special
Importance for this country, apart from its
bearing upon our specific commitments to
the use of silver; and it is 10 be expected
that the course of our money market and to
some extent, the course of our stock market
may be influenced by this factor. The drain
OF gold to Russia is at present mystery
The cars government is understood to
have to its credit in England $4,000, 600
in Paris $4,000 900 and in Berlin "a 600, 900:
in all, el9,o0O,000 which it can draw upon
at pleasure. Russia is now drawing
check upon her continuing her
drafts is the danger that in so doing she
may obstruct the issuing of loan Of 600
100000 which she desires to negotiate in
Paris. Austro-Hungary is likely to conduct
her accommodating of gold with a like pru-
dence, for she also wants to contract loan
of 920, 000, 900 to enable her to resume gold
payments, and might easily defeat her pur-
pose by making gold scarce through ante
cedent purchases of that metal. 1t will
thus be seen that important operations are
impending tending TO drain gold from
quarters where it is most accessible into
more or less fixed and permanent boards:
and the constituencies, In prospect of these
operations, must be expected to increase
rather than diminish as the time for their
fulfllment approaches. No doubt, when
the time comes, we shall be found COM
petent to take care of our interests.
but anticipation will only contribute to such
preparedness, and, for the early future, our
bankers may be expected to maintain a con-
sentative position. Fortunately our credit
system and the general business of the
country are in an exceptionally sound posi-
ton; and the composure with which we last
year took some 100, 100000 Of securities. re-
turned from Europe within comparatively
few months, shows that we can Withstand
shocks that would stagger the strongest
European bourses. 1t has been expected
that the Bank of England would this week
further advance its rate Of discount to 81
or per cent, and the fact that IL has not
done so implies that, for the present at least,
these disQuieting elements in the European
situation are held in allegiance.
The dealings on the exchange during the
week have naturally been interfered with
by the near approach of the national eIec-
ton, which has occupied the attention of
many of the leading operators TO the ex-
clusion of Wall street affairs. The situation,
however, continues to be one of promise of
increased activity when the election is de-
cided. One reason why money continues
active is because it is profitablv employed
in legitimate business undertakings all over
the nation, which In itself 10 a healthy sign
aud indicates confidence in ell directions;
in fact, it may be said that there was scarcely
ever time when the outlook for the future
was brighter for healthy activity in trade
circles; in the benefits of which Wall street