The morning news. [volume] (Savannah, Ga.) 1887-1900, 1893-08-09
THE FINANCIAL SITUATION
Hopeful Features That Make the Out
look Better.

From the Financial Chronicle Aug. g.
There seems 20 be a turn toward a bet
ter condition of affairs this week. OF
course we do not mean towards a cure,
for that rests with congress alone; only
pauiatives can be hoped for now, and
these are being worked out and secured
through public and individual concessions
and distress. Prominent among the
more hopeful features are the gold en-
garments in London for the United States.
According to our private cable 81, S07 600
was taken from the Bank Of England in
the week ending Thursday for
this country, and probably there
is adoat from Great Britain today for
New York and other American cities
about Sl4, 600 COO in all. Another favOra-
BILE circumstance is the satisfactory result
of the action taken by the savings banks
in requiring the legal notice for the with
dTawal of deposits. Before that step was
taken a continuous fear was felt lest a run
on those banks should be begun; the New
York savings banks are sound, and in
that view had not so much at risk as the
money market had, and the general sltua-
ton. which would have been greatly dis
turbed If depositors had become nervous.
Now that a uniform notice has been fol-
lowed by the acquiescence of the people,
the affair has had q very quieting effect,
for it not only has put an end to the fear
and uncertainty which prevailed, but
also has served as a conspicuous evidence
of improving confidence and consequently
has impaired a degree of strength to the
financial machinery of the whole country.
Still another satisfactory circumstance
is that as the week closes our New York
banks are sending much less currency to
the interior. Some say this is not because
the demand has decreased but because of
the inability of our clearing house institu-
tions to respond to the demand. We are
inclined to the opinion from the informa-
ton we have gained that both conditions
have tended to lessen the moyeInent-that
the call from the interior is less urgent
and that the New York banks are less
free. But however brought about it was
a needful step for a time at least. Our
banks will be actually stronger with
the arrival of the gold now afoat,
in at once. Real strength is
also impaired to the situation by the daily
improving condition of the treasury. It's
gold reserve has now passed the 199-mil-
lion limit again, and that, added to the
better character Of the banks reserves
when reinstated by gold imports, is GER
tHinly reassuring Some movement, too,
has been in progress to buy bonds and
increase the bank note currency. That
Of course is measure of great use at the
moment in supplying customers, but it is
in the nature of a temporary expedient
and not likely to be adopted so generally
by the banks as some of the reports indi-
cate. 1t does not add to the stability Ofour
currency or improve credit in any i'm
portant degree, and hence such supplies
of notes quite quickly go out of sight
without accomplishing all the good ex-
pected of them. The movement, how
ever, is under the circumstances a favor
able feature A little incident of the
week typical of the times, has been the
effort TO establish a premium on small
note currency. We do not look upon the
effort as important; how far the transac-
tions have been made for effect and how
far they are real it would be difficult to
say.