New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-08-07
MnNEY ND RnSLNESS

In the stock market there has been a great
recovery the past week. The same railrOad
stocks which averaged Sal II ON Monday at the
lowest point averaged SO 90 at the close of the
week rise of 81 22 per share. and the sam"
trust stocks which sold at Si9 % on Monday
, closed al $40 30 an average rise Of 81 OF per
share This extraordinary rise came in spite OF
tight money. the failure Of many banks and
firms some Of them important. the complete dis
organization Of exchanges between principal con-
mcrcial cities, and more general closing Of
manufacturing establishments than has been wit
messed for mary years. \ great rise in stocks
under such circumstances could only occur if
the mar,ct was heavily oycrsold. and mat WIS
plainly It's condition Perhaps never has cam
paign against shorts hern more urgently invited
But even in that condition such rise could hardly
have started but for the extraordinary imports
of gold Shrewd men realize that III" advance in
some stocks has been more than enough already
10 cause new realizing sales. 81 that the market
will get overloaded still further With business
shrinking ard mills closing. there always mlny
who wait for rally only TO sell.
But the campaign against shorts was we'll dit
rectcd and successful II liz whispered about the
Street that more than halt the gold on the way
said To be 81, 100000 or more, was really Dor
rowcd for sixty ninety days on securities used
az collateral In support il IL said that imports
exceeded exports OF merchandise in July, and
American securities sold by foreigners exceeded
securities bought, that the gold sent must
have been borrowed in some form But Kind
of borrowing always takes place when crops are
beginning 10 NOV" freely; bills for large amounts
are drawn against products yet 10 b. forw rded
The sharp rise III freight rates indicates that
the quantity OF products contracted to bc shipped
-. l.
large and il il prcsrmnble that bill, drawn against
such products have been corrcspondincy large.
Whatever the cause of gold imports, the move
ment has powerfully affected the temper Of specua
tion perhaps than the actual gold will
affect the actual money markets About lolns
on call there has been little trouble, but com
merciaI loans are hard to get ~ ever. partcu-
larry ia such borrowers mostly want tangible
currency and not mere bink credits, anl. though
~ much as = per cent has been paid IN som"
ease. for blk, many employers Of Labor al"
unable to get them.
It il asserted that the Treasury is doing all
that IT can to supply currency 10 those VINO heel
IT, Vet on Saturday the secretary reported
SIl.2os2s5 legal-tcndcr notes o. hand IN en-
cess Of currency certificates outstanding, am IL
is plain enough that if notes had been pail
through clearing houses, instead Of gold, fol some
time mast the Treasury would hold less IN legal
tenders and there would he less lack Of notes III
c;rculation Tie banks here hold only about
S.3. 600 go legal tenders and as there are In
circulation somewhere about S5S00O,OO0 of
~ O0o. $500 and 500 notes, not availabl"
far ordinary purposes, il il easy 10 imagine that
of the notes most needed the banks may have but
few. With the Treasury keeping notes. and the
savings banks all over the country holding them
and the millions Of drpositors who have drawn
deposits boarding them, the scarcity In not sur
prisinc The emergency has even brought about
some increase in the use Of Standard silver
dollars.
Larger exports have been wonderfully helped
nv the forced liquidation of gigantic speculatons
which Chicago banks have been carrying 50 long
At ,,l, cost Of the wh,lr West, that many began
10 imagine the spectators must own the banks
The smash in wheat comes just in timr to make
a bad market for Western producers who have
nc,y grain 10 SELL and the lowest prices ever
known were made both here and nj Chicago.
Then followed the smash of the pork RIM with
four or five failures supposed to bc for n million
or more cach and the fall Of a. per cent in hog
nroducts brought out foreign buying which
would have helped the country much more months
ago Here the fall was not ~ great and sub-c-
ouent recovery leaves wheat AMI corn little
higher than week ago. with pork - per barrel
lower lard ' cents PER 90 pounds and drcs cd hogs
"a cents lower Cotton fell over tlipc-,iNtecntlis,
hut visible stocks of American hey. and abroad
have decreased since June less than In either Of