The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-03-13
BANKER CLEws' VIEWS.
The Financial OutlooK as Seen From
Wall Street.


Wall Street.
NEw YoRK, March 11-Iu our last
weekly review OF the situation In Wall
street, we indicated an Improvement in
symptoms and tendency toward a calmer
feeling. This drift has been without inter
ruptions, however, which shows that the
recovery is not yet complete Our relations
with foreign markets exhibit a very distinct
improvement. There is less desire on the
part of European banks to force remit
tances of gold from this country irrespect-
i've of what may be required by the COM
merCial movement The Bank Of France
seems to have satisfied fits desire to accumu-
late gold and nothing further Is heard of
efforts bv the Austrian government to aug
ment its supply of that metal. This indi-
Gates an abatement, If not a suspension, of
one important cause of the last two months
drain upon our stock of gold, which
amounts TO an important relief of the local
situation.
Another evidence of Improvement has
appeared in the shipment Of quite impor-
tant amounts of stocks and bonds to the
London market. This is 10 be welcomed
not merely for the sake of It's increasing the
supply of bills in London, but still more as
evidence that the failure of congress TO re-
peal the Sherman silver act has not so
much disturbed foreign confidence In our
investments as had been feared. No doubt
the bulk OF these purchases have been Of
gold-bearing securities; but that discrimi-
nation implies that the misgivings among
foreign investors apply principally to
obligations that might, under certain
circumstances connected with silver, be-
come payable in that metal. We cannot
expect foreigners to take freely the latter
class Of investments until the country has
protected itself against the possibility Of in
curing further commitments to the silver
danger but 1t is something to have these
evidences of a willingness TO take securities
legally payable in gold; for, after all, the
bulk of our corporate mortgages are made
expressly payable Ia that form of money.
To this extent, we are protected against in
ordinate returns of securities TO the home
market and are assured Of an outlet for
them in periods Of depression or disturb
ance on this side the Atlantic.
Another point of improvement in the Sit
uation has arisen from an increase in the
exports OF products. The late large ship
ments of gold have been largely caused by
the lghtness of the exports of produce
since Jan. l. The decrease however, has
not been due Co any lack Of surplus COM
modities for shipment; ON the contrary, the
visible SUPPLY of wheat and corn exceeds
that we held at the same season following
the unprecedented crops of 1891. The ao-
emulation of grain is due to our market
being held by speculation above the Euro
pean level. The export of cotton has been
restrained by similar causes. 1t is only a
question Of time When speculative holders
must be compelled 20 accept the European
range of values; and the stringency in
money and the caution among lenders may
be expected TO apply that oompulsion at no
distant day. While, therefore,, il
must be expected that for the
next few weeks we shall stand
exposed to the export OF more gold, yet 1t
seems reasonable to expect that such ship
meuts will be materially lessened by ex.
ports from this extraordinary surplus OF
products. Under all the circumstances.
therefore, it Is likely to turn out that the
unusual exports of specie during the last
two months were in a large measure an
ticipatory of what invariably takes place In
the spring months. The marked falling off
in the export of gold during the last two
weeks has been due principally to the oessa-
tion of the direct and special demand from
France, TO the export of securities to Ions
don, to the revival of the shipments of
produce, and to the advancing rates of IN
terest on this market having made it more
profitable to employ foreign balances here
than to send them home.
All the aforementioned factors show that
its climax and that a reaction has set In
toward more normal conditions and these
changes will soon warrant the recovery In
the tone of the business at the stock ex-
change. There are, however, factors yet un-
determined which may be expected to hold
the improving tendency in restraint more or
less for an indefinite period. Among these
we may mention the uncertainty as TO
whether congress will be convened in extra
ion he, FInv- 4
with certain specially urgent questions, and
the absence from President Cleveland's in
augural address of any definite intimations
as to what measures he would favor or con-
denim in respect to silver, bank currency
the treasury gold reserve and the tariff 10
may be presumed that the President deemed
such specific references as suitable for an
address to congress rather than in declara-
tion to the people at large; but it is never
theless something of a disappointment that
no light he's come from the chief magistrate
as TO what form of legislation may be hoped
for under the present disordered condition
of large material interests
The current free eiiuK of currency to the
interior has not been generally expected,
and causes some uneasiness among large
speculative holders Of stocks. The current
rates of exchange at the west show that the
outflow is due to legitimate trade causes,
however. unusual for the season; and the
increase in the export Of grain on account
of interior owners may in part account for
the change; while remtttances to Boston
are probably due to large transfers Of New
England securities in connection with cur-
rent railroad deals. Ii can hardly be ex-
pected, however, that these Irregular
movements will be long continued For
the immediate future, however, we NAV
not expect an easy money market.