The morning news. [volume] (Savannah, Ga.) 1887-1900, 1892-10-31
BANKER Gle VS., VIEWS.
The Financial Outlook as eeen From
Wall Street.


Wall Street.
New YoRK, Oct. 29-In Wall street the
tone Of business is healthy, but lacks any
special element of speculation. Many
factors in the condition OF business at large
are favorable to higher range Of prices,
which had been very generally expected to
appear at this stage Of the season; but
counter factors have appeared which are
holding speculative tendencies In check for
the time being. There is however, o very
healthy demand for railroad mortgages and
prime dividend paying shares, and that
fact encourages the "bulIn owners of stocks
to stick to their holdinga
The hardening tendency OF she money
markets, here and In Europe. naturally
holds speculative transactions La check, the
more SO as the drift has run farther than
has been generally expected. We have
been assured by Chicago banking authors
ties that that money center has 90 far
gained control of interior finances that the
great grain states would no longer be de-
pendent upon New York funds for moving
the crops Some people have believed this
boast, aud are consequently taken by sur
prise at the present condition of our banks;
but the fact has been that, since the end of
July, the surplus reserves Of the clearing
house tanks have fallen from ga
CO., 900 TO zero, and that $50, o00, 900 of
money has been sent from New York to the
interior. This is change so sweeping and
go unexpected that it necessarily becomes
serious element in Wall street operations,
as Its effects are apparent in stringency and
unusually high rates for loans and dis
counts.
A similar change has appeared in the
European money markets Not only has
toe Bank Of England advanced its rate of
discount from 2 to 3 per cent, but the
London open market has since that change
shown q still hardening tendency In the
rate for money. AT the other foreign cen
ters a like tendency is apparent. The
notable, not to sag ominous feature at all
points is the disposition OF the great hanks
TO keep their gold aud get more. This in
clination may be attributed ia part to the
continuous purchases of Austria Hungary,
and TO the boarding of the Russian govern
ment for some inscrutable purpose; but it
is no doubt also stimulated by the position
OF the silver question, which is brought into
unusual prominence by the forthcoming
monetary conference at Brussels. The very
fact of the authoritative discussion of the
question is calculated TO create sensi-
Jiveness, If not a certain degree
of precsution. Finsnciers have to
provide against the worst possible contin-
gencies IN any given situation; and Euro
pean bankere are asking: What * the con-
ference fails end all hope of restoring silver
has to be Abandoned" AS such result
would involve still further serious degra-
dation Of silver, the possibility Of its caus-
ing rush among the great banks for gold,
in order to put themselves more firmly on
the single standard basis. is too obvious to
he safely disregardsd. Besides this, it Is
not improbable that some of the nations
may deem it to their advantage to go into
Al . 10 rn1 h. .
being holders Of ample stocks of gold. In
brief, the whole situation arising out of the
fall of silver is one calculated to bring
about a precautionary boarding Of gold I;
and so long as such policy is in force il
must tend to disturb foreign exchanges
everywhere and to derange the regular
course Of the worlds money markets. To
us, this is matter Of special Importance;
not only because our large gold
stock is the most accessible
source Of supply to foreign hoarders,
but also because our foreign trade is now
taking course thatsuggests some probsbil
ity of more or less important adverse in
ternational balance. Contrary to what has
been expected as the result OF the new tariff,
our exports are declining while our imports
are increasing. For the month Of Septem-
Der our imports we're Si1, $780, 900 above
those Of last year and for the three months
July, August and September, the increase
was $27, 200, 600; while the exports for Sep
TENDER show adecrease Of $4,000, 900. Thus
the September movement is $3l 800, 900 less
favorable TO s than was that Of year ago.
The only feature u relief against this ad-
verse tendency the fact that speculation
seems 70 be reviying in London and that
some liberal amounts of securities are being
sent from, here 10 that market IL Is also in
cur favor that foreign bankers at this Gems
ter appear to have liberal balances for use
on time loans
But while the foregoing factors demand
attention and are discouraging to large OPP
creations ut the moment, yet it is to be re-
membered that we are now in stage OF
the year when the pressure on the money
market is usually at its maximum. The
western demand for currency may be ex-
pected to decline from this time forward,
and in another month we shall probably
see the reserves steadily recovering.
While, in view OF the factors above re-
ferred TO, 1t may be necessary TO slacken
pace somewhat for time in stock opera
tions, yet the general situation 10 strong
one. The business of the country at large
is sound and active and the nation Is proba-