The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1896-10-19

W., st. L.. & +. preI..'.--- ia f4 HA la
Western Union .....".".. So S312 50 s.
Tobacco pref ............. -. -. -. "a
u. s. Fours, reg......... -. -. $50. l06A
| u. s. Fours. new, reg. =. =. -. 114s4
u. S. Fours, new. COUP =. =. 49, ZIG
HENRY CLEWS'S WEEKLY LETTER.
In reviewing the financial situation
Henry Clews, the New York banker, says:
"Since our advices of last week we have
had another upward squirt in the market
for securities, with an advance of 2 to 3
points. Partly, it has been the result of
the active revival of gold imports. The
amount now on the Atlantic, though not
exactly known, is estimated to be at least
eight millions, and among foreign bankers
it is expected that next week arrangements
will be made for the shipment of eight
millions more; which would make the total
sum received and to be received, from the
time the movement set in, about seventy
millions. At what figure the movement
may end it is not easy to estimate; opinion
inclines to the probability of eighty mil
lions. and some entertain more Sangulne
expectations. So far there is no sign of
any abatement in the supply of export
bills. This September exports of merchan-
disc from all ports, including silver and its
ores, show an increase over last year of
$32, 400, 900, while the imports are less by
Sl4, 800. 900, which makes the trade balance
for last month SAG, 800, 900 more in our favor
than it was a year ago, and, including the
silver movement, gives an excess of eX-
ports over imports amounting to SIS, 600, coo.
These figures. following a similar condition
of the trade balance during the two pre-
ceding months, sufficiently explain the
large influx of the yellow metal.
Much surprise was felt at the Bank of
England not advancing its rate of discount
to 3a or 4 per cent, as had been confident
~ expected both here and in London; the
more SO as the Bank lost 81, 900, 900 of its
gold during the week, and is presumably
aware that $40, 000, 900 more gold is likely to
be sent hither next week. 1t seems as
though the managers were willing to let
the pressure of the specie drain have its
full effect, in order to produce an impress
sion on the London market that may tend
to check the gold outflow and force relief
remarkable, however, that SO far no relief
has come to the London pressure through
the return of our securities. From the be-
ginning of the large drain London has been
quite as much a buyer of our stocks as
a seller. 1t has responded closely to the
successive recoveries in prices on this mar
ket and, like our own people, seems to have
confidence in the outcome of the election
and in the choice of Mr.. Mckinley intro
ducing an era of higher prices. This conf
dence is natural enough when it is con-
sidered that the amount of American stock
hoat1ng on the London market is now ex-
ceptionally low and that a great rise in our
Investments is expected to follow the over
throw of the silver agitation.
The local market for securities still re-
talns its great caution in refraining from
sanguine operations in anticipation of the
November election. Confidence grows daily
in the overthrow of silverism and anti
federal politics, and in the common esti-
nate the possibility of anything less than
the overwhelming election of Mckinley is
hardly dreamed of; and this conviction
has found repeated expression in upward
spurs G /, z or 3 points: but so COM
pletely has the experience of many months
OF disappointment and depression cooled
the ardor of the speculative element and
intensified the caution of investors that the
outbursts of hope soon moderate, and the
general feeling still is to hold back action
for the accomplished result. Whilst. there
fore. there may be further improvements
between now and the day of election. the
main inspiration and effect of the expected
deliverance is likely to be deferred until
after the election reioicings arrive.
In the meantime. the course of our
gree encouraging. Sterling exchange is at
49, for sixty-day bills. and the Bank of
check the consequent outflow of gold to
this country by advancing its rate of in
terest. Export orders for our food products
are greater than we can provide freight
room for from now up to next March. The
estimated deficiency OF 100. 600. 900 bushels in
the worlds wheat. crop will have to be
supplied largely from this country, and the
consequent rapid advance in the price of
wheat is causing an extraordinary demand
for our Indian corn-a demand which is
likely to be hereafter continued when it has
thus been extensively used by European
win take all the food supplies you can send
US. but while your money basis is in doubt.
we don't want anything you print" We are
expecting to give to our foreign critics as
surances on this point which. within twen-
ty days, will compel their congratulations
as well as command their confidence. SO
that they will not only buy our food staples
but invest in our enterprises.
'ThiS showing does not furnish much
ground for alarm. All that is now wanted
is the election of Mckinley to put this
country again on a p~henomenauy prosper
GUS basis. as was the case in the years
1879-s0 through the resumption of specie
payments. There was also a similar period
in the year 1892. the last year of President
Harrison's administration. when the high
est point of prosperity was reached in the
country's history. | do not hesitate to
predict that that same notch will be passed
in the year 1897 if the St. Louis conven-
TONS platform is adopted overwhelming>
~ by the votes of the people on Nov. 8.
On the other hand, if the Chicago platform
should be adopted then these elements of
prosperity viii prove to be absolutely re-
period of four years with such uncertain
ties as will dishearten employers and en-
should overtake the country. instead of
the prosperity indicated. from which the
labor classes would derive the most bene-
fit, the condition of trade would become so
deplorable from one end of this Nation
to the other that the largest export that
this country would have would be that OF
wage earners, as it would not be possible
Atlantic.
than might be expected from the impend-
ing possibilities of higher prices following
the election. The reasons for this do not
need nuch explanation In the first place.
owing TO the past severe depression of bust
ress and the condition OF the money mar !
ket. there are few outsiders who have the |
means for buying on speculation. In tre
next place the hard and perilous times
crushed the speculative spirit and
made men unusually conservative and |
timid. Again. many of those who have
both the courage and the means 10 seek
fortune under the present extraordinary |
have already laid up ali re
stock il is at present convenient or pru, |
der I TO carry. and are content to wait With |
their present load until after the election. |
Again. there is in Wall street, as e,se- |
where, q singular uniformity OF feeling to
defer operations until after the 81 OF No |
vember. And perhaps as important as All |
these causes put together. the terms for
time loans on stock collateral are almost |
prohibitory. which obstructs operations in |
stocks which contemplate the possibility |
of carrNIu.c The Securities Tor wncks 81.