Southwest-sentinel. [volume] (Silver City, N.M.) 1883-189?, 1893-07-04

che end Of last week the rate Of
exchange had fallen to a point
which rendered gold imports pos
sible in the near future, though
they can scarcely be considered
probable; the New York and Phil
adelphia clearing houses had pro-
vided against any bank failures by
arranging for clearing house GER
tifcates. April net railway earn
ings show a decided improvement
IN the tendency Of railroad bust
ness with a small improvement alb
soluteIy, and imports Of cotton and
cereals continue large beyond
past record or current expectation.
Encouraging as these changes are,
it still remains true that the great
financial strain continued in the
west and led 10 aggregate ship
ments of gold and currency from
New York Of 100000 by ex-
press, while shipments in the
course Of ordinary business reach
ed SIS, 600, 900 more. This demand
for currency exists all over the
country and is the natural con-
oomitant of distrust and failure,
for when credit money in all its
forms shrinks, there is an instant
demand for gold and currency.
Failures continue to be one half
more numerous than is usual at
this time, and the share of heavy
failures is thrice the general av-
erage.
The familiar movement of gold
TO any panic struck market sc-
counts for the sudden fall of ex-
change as we'll as the movement
of currency westward, foreign
bills having been drawn during
the past week, not against exports
but against foreign credits. In
other words, what has taken place
is not a balance of merchandise
exports which must be paid in
gold, but the existence of condi-
tons which offer more profitable
use for gold in New York than in
London, because the rate for mon
ey is higher IN the former place.
Precisely similar conditions led TO
the recent gold imports to Eng
land, and to those to this country
in June, 1884, after the Marine
Bank panic, the only year in
which gold has been imported in
June since 1880. The drift of
gold due to panic demands is, how
ever, transitory. Steadily increas-
ing merchandise exports, falling
prices and diminishing imports
render gold imports probable ear
her than the fall. Gold has been
imported in every August but two
in fifteen years, the first and last,
1878 and 1892. For three
weeks in June at New York inn
ports have been only S560,574
larger than last year, or practically
the same in amount. Wheat ex-
ports for three weeks from all
ports have been 10, 700, 900 bush
els. Last year they were 5000, 900
bushels, and in the previous years
averaged 100000. This is a
heavy increase but it must be re-
membered that the tendency for
several years has been to defer
wheat shipments until May and
June. So, for two weeks cotton
exports have been 95,437 bales,
against S6,54l bales in like weeks
last year. These r small exports
at best, but they indicate, as much
else does, that while imports are
checked, exports are increas-
ing.
The most important factor in
all this, of course, is the fall in
price. Wool again lost a cent a
pound, and after two years in
which receipts and sales in our
large wool markets were greater,
week by week, than the year be-
fore, they are now less. Woolens
are also decreasing in price, and
each month sees smaller imports,
so that in May, after nine months
in which imports had been larger
than the year before, the entries
OF woolens for May, 1893, were
but little over those in May, 1892
The fall in price of manufactures,
while it is inevitable at the pres
emit time, is having a disastrous
effect on the output and profits of
great trades. The weekly produc-
ton Of iron fell off 9,745 tons in
May aud the reduction still con-