The morning call., 1893-07-26
WHEAT AND WAR.
How Siam Might Affect
California.
A HEAVY CROP Is EXPECTED
Money Difficulties in the Way of
the Grain Grower Being Stead
lily Overcome.

The farmers of this country and others
interested in the prosperity of the back.
bone industry" will scan the newspaper
columns Of war intelligence for some time
to come.
The possibility of trouble between
France and Siam may affect the wheat
markets of the world at any time, and in
fact it is believed to have been this proba-
bility which caused the Chicago wheat
market to Jump" two cents on Monday
last.
1t is acknowledged that there is no mar
ket which is so sensitive to wars and
rumors of wars" as that of grain. A large
supply has at once 10 be secured by the
forces 10 be put in operation; the future
needs of the commissariat have To be fore
stalled, and Immediately prices stIffen In
marked degree. in proportion to the PROB
able seriousness If the npleasantness.
Should the present complications with
Siam terminate in an open declaration OF
hostilities, in which England. emma. Rus-
STA and other nations should be involved.
the effect on the wheat market would OF
course be worldwide and profound. Al
present it looks as if the most serious EN-
brogio would be averted, out stlli the pos
sibilities may be faced.
As far as California is concerned the
news sf a war. even of a great war. would
be cheerful news for the farmer. tie eX-
pets a fair crop, and the prospect OIL an
advance in prices fer his wheat might then
seem tolerabie certainty.
Things, anyhow, are looking easier for
the California farmer He is beginning TO
see how lie is to get in his crop. and pretty
soon all he will want is good price. Al
least he is harvesting, and the money In
the country has begun TO move.
This is big step according to the tlnan-
cia authorities. and one which will go Tar
to restore a threatening LACK Of con-
fideDce."
a prominent local grain-dealer said yes
terday: The farmers have been un load
ing immense quantities on the whsat mar
ket in the last fortnight because In former
years when wheat got down low to, say,
81 20 and 81 22h they put their wheat in
the levators anu drew on their warehouse
receints. The last few years the banks
have refused to loan more than 81 on this
stored wheat. This year. however. tie
banks in m st cases refused to loan any
thing, though after July some advanced
60 cents on the GENITAL to customers. HE
farmers, not being able to obtain any >nffi-
cient advance, were compelled to sncE fee.
THE result has been a brisk inquiry
for tonnage to move this cheap wheat. and
the market has advanced to 27s Cd, with a
prOportionate advance in freights. This
is the present condition, with no eypsessa-
ton of rise. the general belief being
against war being declared.
A. Montpellier, managSro of the Graneers'
Bank of California. ,Sshich does most IF its
business with ting farmers throughout the
State, spoke very hopefully Of the wheat
crop north and south.
DE az United that along with the other
oanksfhe Changers had been helping its
h TO- 1,kx
ard bags for marketing the crop. But be
main tanned that the crop was heavier. on
the whole. than last year, and constituted
tho most magnificent security for prudent
Investments.
wheat is as good as cash. is MIR. Mont
pellier's dictum. and so he has always
proved it in his long experience.
He says that most of the farmers, by
selling a small portion of their crop in ad-
vance. have been able to provide means to
harvest the whole. It Is comparatively
small matter if a farmer has to lose or
only make small profit on. say, 100 acres
if by so doing he can obtain funds suffi-
Gent to place the growth of 1000 acres on
the market. Most farmers have all the
necessary implements. animals. ETC., and
only require cash for labor and bags.
Mr.. Montpelier stated that the asricul-
tural condition of California was magnIf-
cent and such as TO justify the most coni-
plete financial confidence. he understood
that petition to the San Francisco panks
had been prepared by certain interior grain
men and had produced beneficial results.
The chief of these was that while money
was not available for outside purposes the
hanks were generally helping their Gus
TONERS. The result was that money was
moving in the country and the most press
ing stringeDcy was relaxing,
A dispatch from ST. Paul tells of the
serious damage done to the crops in that
section through excessive heat. In some
rarts of Minnesota the wheat was still in
the milk, and thu temperature ranging
from 81 to Jos degrees has practically
ruined great portion OF IT, the farmers
figuring only on 40 to 60 per cent OF crop.
In North Dakota the situation is reported
even worse than in Minnesota, the average
yield not being expected to 90 over eight
bushels an acre. While the California
farmer will OF rejoice in the misfortune
of his Dakota and Minnesota brother or
speculate Oh the fortunes Of of bloody war
still he knows the irresistible law of SUD-
ply and demand and how all such condi-
tions inevitably affect the prices of a COM
modify with which he promises to be well
supplied this year.