The morning news. [volume] (Savannah, Ga.) 1887-1900, 1896-09-21
BANKER CLEws' VIEWS.
The Financial Outlook As Seen
From Wall Street.

brought even stronger evidence of the
coming overthrow of silver than came
with the Vermont election. The unprece-
denied republican majority in state
once strongly tainted with greenbackism
and suspected of being seriously infected
with the silver heresy, is something more
than was expected even by those most ia
miliar with the politics of the state. It's
foresha dowings are the more conclusive
because the verdict related to no mere
local issues but turned entirely upon the
silver question. So far therefore, as the
drltt OF national sentiment may be infer
red from the last elections in New Eng
land, the evidence from these two states
Is most decisivey in favor of a sweeping
triumph of the sound money cause at the
November election.
In business circles at large, this result
in Maine, confirming a like vote in Yer
mont has produced a marked relaxation
or the suspense in prospect of the cleo
ton, and the merchandise markets show
more confidence and the beginnings of a
revival in operationsM however,
TO what might have been expected, Wall
street showed no advance In prices. on
the contrary, the event has been follow
ed by a fall in stocks. This seemingly
inconsistent result is due to the fact that
spectators had generally anticipated a
large republican vote, and therefore had
bought stocks freely In advance which
they sold Immediately upon the first flush
of the news; and, in the absence of "out-
side speculative buying, prices fell where
under other circumstances they would
nave adVanced-a very common kind of
occurrence when the market Is in en-
tire control of professional Spectators
When the full effect Of the Maine decis-
ion Is realized, an important recovery in
a rod I'LL.
a strong bull factor in the present situe-
ton
Inc local money market, owing to the
large demand for currency from the inte-
rior, has been slower than was expected
in responding to the large receipts of gold
from Europe, and the rate for money has
been discouragingly unyielding The large
shipments of gold to the United States
and the consequent advance in the Bank
OF England discount rate have caused con-
siderable disturbances OF loans at Paris
and Berlin, which naturally unsettleS the
continental bourses generally, and pre-
cipitates realizing on speculative hold
ings; and the more so, in this case, be-
cause it is taken for granted that the
amount of gold yet to be sent here may
equal that already shipped The dangers
connected with the situation in Constan-
tinople, and the apparent possibility that
England may take Independent action in
connection with that situation, involving
danger to the European equilibrium, are
matters to which the European bourses
are extremely sensitive. Added to these
sources of caution is the prospective visit
of the car first to England and then to
France; for although it is natural to hope
good results from friendly in
terchanges between the heads of
governments, yet in the cars
visit to England matters of the
utmost importance and delicacy are
likely to be considered and whether with
pacific or disturbing results cannot be
foreseen. Still another source of uneasi-
ness at the foreign centers lies in the
fact that owing to recent loans Russia,
Japan and China have 1t in their power
to make large drafts on London and the
continental centers; and some solicftude
is felt lest such demands should be made
while the large Withdrawals of gold to the
United States are in process. China and
Japan would, of course, be paid in sill
ver but the silver would have to be inn
ported and paid for In gold. This con-
currence of circumstances suggests the
possibility of a departure from the excep-
tionally low rates of interest current in
Europe for the last two or three years,
and so far 1t indicates a possibility of
lower prices for home securities. These
conditions also constitute an obstacle to
the foreign markets for American securi-
ties responding to the assuring prospect
of the November election delivering the
country from the dangers of free silver
coinage.
There has been some abatement during
the week of the engagements for the i'm
portation of gold; nothing more, however,
than might have been expected as a tenn
porary effect of the advance Of the Bank
of England rate of discount. That ad-
vance was intended less to ave1t the drain
to the United States than to provide for
it by drawing gold from other centersi
for our demand, being due to entirely
commercial causes, must of necessity be
met, and only causes inducing a return
of our securities could check the move
ment. The August report of the bureau
of statistics affords ample explanation of
the large sums of gold now coming to us
from Europe, the balance of exports ana
imports for the last eight months, on the
items of merchandise, gold, silver and the
precious ores showing a balance of $780,
900 900 to the credit of this country. The
volume of exports of merchandise from
the United States in August was $6S 652, 667
and the volume for the eight months end
ing with August was $3.50 9s2, 453. The cor
responding figures for 1895 were $685. le
for August and $499, 1897, 4OS for the eight
months.
The imports during August last were
SIS. 1853 1926 and for the eight months end
ing with August, SAT-, 222. 434. The corre-
spending figures for 1896 were 81, III, 943
for August and 1886 737, $40 for eight
months. An excess of imports of 15,131,-
224 for the month and $3.50, 350,416 for eight
months last year was thus turned into an
excess of exports of $19,194,342 for the
month and s109, 760 019 for eight months of
this year. The net gold imports of Au-
gust last were $2,073,3 41, against net ex-
ports in 1895 of SIS, 175. A net excess
of exports of $27675. 734 for eight months
of 1895 has been reduced to a net export
balance of S24, 301 for the corresponding
months of this year. The exports of sill
yer coin and bullion showed an excess
during August Of $4,372,Ol2, against a like
excess last year of SO, 4SS021, carrying the
excess for eight months to $33, 1919, 459 this
year, against SN,065.745 last year. The
excess of imports Of silver ore amounted
to SS.OS3, 566 for eight months Of 1895,
against 81. 1888 1888 for the same months of
1885,