The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1896-01-18
THE BUSINESS OUTLOOK.
Eron B. G. Dun & Co.'s Weekly Re.
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The situation could hardly be more perplex-
ing for business men. Practical merchants,
manufacturers, or bankers can have little
sympathy for those who minimize their diff
cuities. None doubt that the government will
raise money to meet obligations, but how far
the money market will be disturbed or the
Treasury reserve first diminished none can
say. The business world cannot know as yet
how far foreign questions may upset calcu-
iations, though there seems every reason to
expect peaceful settlement. 1t cannot know
what may be the duties on any important
class of imports a month hence. whether i'm
ports are likely to exceed exports and draw
away gold, whether the deficit of revenue will
continue, or what other taxation viii be levied.
Failure Of the Senate thus far to take any
action upon financial measures proposed by
the President or those passed by the House
affects unfavorably all branches of business.
Under such adverse circumstances 1t is actually
encouraging that @shrinkage in transactions
and resulting commercial disasters have not
been greater. But four large failures within
a day or two indicate that the same condition
cannot continue without much Embarrassment
The Morgan syndicate has dissolved the
proposed loan being practically underwritten,
but considerable gold has already been drawn
from the Treasury by intending purchasers,
and as high as IA premium has been paid,
though at the close only VI to X per cont. To
some 1t seems incomprehensible that 50. 400, 00e
gold has been exported during the week and
S~s.20o,o0o gold imported the same week, with
apparent advantage to both parties. Ex-
change stands firmly above the point at
which exports are profitable. But the pre-
MUM paid in order to purchase bonds sufices
to cause some imports. The commercial loan
market was active for some days, but be-
came hard later, with difficulty in placing
even the best commercial paper, ard most
loans were made at 8 per cent. Payments
here. of Western corpGations which had bor-
rowed to meet interest and dividends Janu-
ary 1 caused part Of the movement from that
section. but commercial settlements and close
money already cause numerous failures, and
maturities within the next fortnight are known
to be large. To lessen pressure the Treasury
has allowed further time for payments on
bonds.
Domestic trade, shown by clearing house
payments, is SIS per cent. larger than last
year, but e1s per cent. less than in lsas. and
Railroad earnings for the first week Of Janu-
ary were 81 per cent. larger than lin January,
1895. but 1875 per cent. less than In 1893. De-
cember showing a gain of 81 over 1885 and
a decrease of IL compared with 1S9a, Stocks
steadily advanced until Friday, but the fail
ures brought a more cautious feeling. After
rising on the average $1,51 per share, rail-
roads closed s1.so higher for the week.
Trom Bradstreet's state Of Trade.'l
While general trade has not shown q wide
spread tendency to revive from the holiday
depression, there are favorable features in a
revival In iron and steel prices and continued
heavy cereal exports.
Except at Baltimore. New Orleans. Buffalo
and Ia certain lines at Chicago. st. Louis, st.
Paul and Minneapolis, jobbers in staple lines
report business slow. Travellers are on the
instances indicating the usual volume Of orr
ders for spring delivery. Relatively greatest
Improvement Is shown In the request for dry
goods. clothing, hats and shoes. Prints and
ginghams are only fairly active. with the
mills at work In spite Of the reduced de.
nand. In Rhode Island, WOODEN goods manu-
f~aeturers in some instances are keeping their
machinery employed at a loss rather than
have 1t idle. Cotton goods makers report
having shaded prices Of some goods on hand,
hut hold quotations Arm on orders Tor future
Etlptfyefft the advance In raw cotton still being