The Helena independent. [volume] (Helena, Mont.) 1875-1943, 1893-03-15
THE FINANCIAL REVIEW.
Additional Evidence of Improve.
4Hsat in the Money Market
at New York.
Stocks, Bonds and Pro-
ducts Again In Demand for
European Markets.
The Period of Violont Disturbance Has
Passed tho Climax - Some Factors
Yet to lie Developed,

Passed tho Climax - Some Factors
Yet to lie Developed,
Special to Tho independent.
NEw York, March H.-Thc last circular
issued by tho banking house OF Henry
Clews g. Co.. II. Is and Is Broad street, and
10 Wall street. says: In our last weekly
review Of tho situation in Wall street, we
indicated an Improvement In symptoms
and tendency towards a camer feeling.
This drift has bean without Interruptions,
however, which shows that the recovery ia
not yet com plete. Our relations with for
eign markets exhibit a very distinct i'm
provement. There 10 less desire ON the
part of European banks to force remit
taaces Of gold from this country. irrespeot.
I've of what may be required by the COM
msrcial movement. The Bank of France
seems to have satisfied its desire to ac-
cumulate gold: and nothing further 10 heard
of efforts by the Austrian government to
augment its supply of that metal. This
indicates an abatemont, IL not a suspen-
sion. 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 import
ant amounts of stocks and bonds to the
London market. This ia to be welcomed
not merely for the sake of its increasing
supply Of bills in London, but still moro as
evidence that the failure of congress to re-
peal the Sherman silver act has not SO much
disturbed confidence in our investments as
had been feared. No doubt the bulk OF
these purchases have been of aold-bearing
SECURITIES: but that discrimination implies
that the misgivings among foreign invest
o:s apply principally to obligations that
might. under certain circumstances con-
neoted with silver. become payable in that
metal. We cannot expect foreigners to
tnke freely the latter class of investments
until the country has protected itself
against the possibility of mourning fur
ther commitments of the silver danger;
but it is something to have these evidences
of Willingness to take securities legally
payable in gold; for. after all, the bulk Of
our corporate mortgages are made OK
pressly payable in that form of money. To
this extent. we are protected against inor-
market and are assured of an outlet for
them in periods of dep ession or disturb
anos on this side the Atlantic.
Another point of imp! ovement 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
tho liQhtness of the exports of produce since
January !. That decrease. however, has
not been due to any lack Of surplus commo-
dities for shipment; on the contrary. the
visible supply" of wheat and corn excseds
that we held ut the same seaaou following
the unprecedented Drops OF 1891. The ac-
cumulation 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. It is only
question of time when speculative holders
must be compelled to accept the European
range of values; and the stringency in
money and the caution among lenders may
be expected to amply that compulsion at no
distant day. While. therefore. it must be
expected that for the next few weeks we
shall stand exposed to tbs export of more
gold. yet it seems reasonable to expect that
such shipments will be materially lessened
by exports from this extraordinary surplus
OF products. Under all the circumstances.
therefore. it Is likely to turn out that the
unusual exports of specie dur ing the last two
months were in large measure antioipa.
tory 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 prin oipally to the cessa-
tion of the direct and special demand from |
France. to the export of securities to Lon
con, to the revival OF the shipments of pro-
duce, and to the advancing rates Of inter
est on this market having made it moro
profitable to employ foreign balances here |
than to send them home. |
All tho aforementioned factors show that |
the period OF violent disturbance has passed |
its climax, and that n reaction has act in |
toWardS moro normal conditions; and these |
changes will soon warrant ths recovery in |
tone OF business al the stock exchange. |
There are. however,. factors yet undeter-
mined which mRy 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 !
session before tho regular period to deal !
with certain specially Urgent questions,
and the absence from President Cleve-
lands inaugural address of any detinits
intlmations as to what measures he |
would favor or condemn in respect to |
silver. bank currency. tho treasury gold re-
servo and tho tariff. IL may be presumed |
erences ns suitable for an address to con-
Gress rnther than in n declaration to the
people at large; but it is ueyerthslog some-
thing OF disappointment that no light has
como from tho chief magistrate as to what
form Of legislation may be hoped for under
the present disordercd condition of largo
material inter ests.
The current FREQ et1lux OF currency TO the
not BET gsnet ally expected, and
causes some uneasiness among large specu-
lntive holders of stocks. Tho current rates
of exchange ut the west show that the out.
flow 10 duo to legitimate trade causes, how
ever unusual for tho season; and the in
o. ease in the export OF grain on account of
interior owners may in part account for tho
while the remittancss to Boston
are probably due TO large trausfers OF New
Englnn securitics In connection with cur.
tent ~ road deals. 1t oan hardly be OK
pecta4 uowever, that these regular move-
ments "l,l be long continued. For imme-
diate future, however, We may not expect