The morning news. [volume] (Savannah, Ga.) 1887-1900, 1896-09-14
BANKER CLEws' VIEWS.
The Financial Outlook As Seen
From wall Street.

Tho Financial Outlook As Seen
From wall Street.
New York. Sept. 12.-The various inter
ests centering at Wall street continue to
show the symptoms of recovery OF con-
fidence which have become steadily more
apparent for two or three weeks past. on
the other hand, the conviction has gained
ground that an unnecessary intensity Oh
alarm has been encouraged by taking the
gravest possibilities of the situation at
their worst and making insufficient allow
ance for the contradictions and preven-
tions which a great public danger always
begets; and ON the other, the Shaping ana
drift of political forces are construed as
so directly in favor of the ascendancy OF
A sound money policy that the election Is
looked to as ending the dangers of the sill
yer mania and introducing a new era OF
confidence and of national prosperity
Concurrently with these assuring tenden-
cies has come an influx of gold from Eu-
rope which has enabled the banks TO vol
unfairly increase the gold in the treasury
and at the same time, has Warded OH
threatened stringency in money from
which serious results were, two or three
weeks ago, apprehended. The amount OF
gold already imported and on the way is
about $27, 100000; and, although large ana
sudden movements of this kind are always
attended with temporary checks ana reac-
tons. those best situated to judge antici-
pate that the gold imports will reach $40
900 900 or S50,OOO,O 900 before. they cease. As
this amounts to an important augmenta-
ton of the reserves of the banks, the APP
prehensions of stringency are virtually re-
moved. and the loan market is working
steadily towards a condition of ease.
The banks consequently are showing
more disposition to lend; and the distress
caused in commercial circles through the
difficulty in procuring discounts is stead
iIy abating. One gratifying feature in the
discount market Is the comparative ABB
sence of any distrust among the banks
about the commercial situation. The fact
that merchants have so well withstood
the strain upon credit for so long period
is regarded as evidence of the general
soundness of the mercantile situation; and
where any curtailment of discounts is ap-
pal emit it is more due to the banks not
having vet been able to restore their re-
duced reserves than to any misgivings
abou. the safety of borrowers. AS the
gold imports increase, this cause of re-
st..sction of credit must, however, disap-
pear
These are all solid improvements in the
situation They imply a. real change IN
TIE Iuhhc estimate of the chances Of an
ext motion of the silver danger. They
show that judgment and calm discretion
have gained the ascendency over an I'M
discriminating public fright. They are ev-
licences that a point has been reached al
which people understand that while free
catastrophe beyond all estimate,
yet the thing is an impossi-
bility to the practical common
sense, the honor and the native conserva-
tism Of a majority of the American peo-
PIE Thus financial opinion and the opi1-
ion of business interests at large stand
upon distinctly higher and more trust
worthy basis than a few weeks ago; ana
that change has been taken with de-
liberation and a strictness of caution
which will save 1t against any relapse.
II is under these circumstances that the
market for securities has shown such a
marked recovery in values and that Eur
rope also exhibits a material recovery OF
confidence in our investments.
There Is however a limit to the extent
to which this Improvement may be safely
trusted to go within the next few weeks.
There is naturally a disposition to defer
large buying operations until the outcome
of the elections is finally ascertained, and
until the money market has settled into
the easier condition that attends the re-
fux Of currency sent to the interior dur
ing the fall months. Notwithstanding
the extraordinary largeness of the past
steady Accommodations of gold on the
other side Of the Atlantic, the banks
there are unwilling to part with any con-
siderable amount of the metal. AL
though the Bank Of England has to-day
about s5.OO0.OOO more gold than at the
same date of 1895 and s15,OO0.0O0 more than
in 1894, yet on Thursday II advanced its
rate Of discount to 2iz per cent This is
no doubt partly due to London being
drawn upon to compensate for our with
ra walls from other centers. and partly
also to the demands from Austria and
Russia for the purpose Of advancing their
currency reforms; but It nevertheless has
a tendency for the moment to check ship
ments to the United States.
The demand from our side has the ad'
vantage that II rests purely upon bona
fde conditioi of the commercial exchange.
and therefore must be satisfied: while
the wants OF Austria and Russia are ex-
traneous tc the trade movement, AMI
Il erefore may encounter the obstacle 0.
higher rates thar the Vienna and st. Pc.
tersbnrg banks are willing 70 pay. It.
therefore. Lay result that those purchas
ers will have TO moderate their transac
hack some Of the gold we are now I'm.
of the large export movement IN our chief
staples. nor OF the curtaiment in import
OF mer ,handise. and the prospec. siill re.
mains good that the current IMPORTS OF
gold will De continued until they reach : O..
OaO 900 TO sl5 90 CO...
Present conditions and the prospects,