Belding banner. (Belding, Mich.) 1889-1918, 1897-07-22
SPECIAL MARKET LETTER

f1NN1s
nished us by MCLAIN Bios. h Co.,
Commission Merchants, Rialto Build
ing, Chicago
There has been but little news Of an
Interesting character relating To com
mercial or financial affairs during the
past week to chronicle. except that
which has referred To the status OF the
coal miners strike, or the pending
tariff legislation; the former is daily
assuming larger proportions, and Is
causing considerable uneasiness since
the proposed arbitration plans have
been rejected. and the prospects for
prolonged struggle have become more
pronounced. The stock and bond mar
ket has ruled decidedly firm, notwith-
standing the unfavorable aspect of the
contest. indicating that the major por-
ton OF holdings are controlled by
strong capitalists, and not by widely
scattered long interest which would be
likely to sell out on the first symptoms
of break in values. The continued
natterlng crop prospects, which are
daily heralded from nearly all sections
OF the country, reassure investors and
inspire hopes of good dividends for the
ensuing year. There is still danger of
a freight war, and there are frequent
rumors of cuts in grain rates from the
west. Abundant crops do not neces-
sarily assure paving dividends, and
unless remunerative prices for them
can be secured, railways may be com
PEELED to haul large amount of freight
at unsatisfactory rates.
The most important occurrence to
note, and one which will crafty pro-
ducers and business men throughout
the country, is the advance i'm wheat,
which, If maintained, will materially
Increase the purchasing power of farm
ers over vast area. The advance
which at first was slow and moderate
increased with its momentum until its
acceleratiOn became great enough TO
brighten a multitude of shorts, and to
induce the larger holders to accept ac-
crued profits. It's inspiration came
chiefly from abroad, and foreigners
during its earlier stages were the most
liberal buyers. Liverpool led i'm the
upward movement, there evidently
being large unprovided for short in
terest in the July option in that mar
ket as well as in ours.
The foreign advices suddenly became
very bullish, among the items being
tiV lCibtldJlOll vi huSSldU anu lJlD-
ubian crop damage, the statements
that Bulgarian authorities were con
templating the prohibition of exports.
that there was talk of the removal of
French import duties, that Austrian
dealers were buying German wheat,
and that Russian interior offerings
were light. To this was added the re-
port that l20, 900 bu of wheat had been
bought in New York for shipment to
Argentina. Such an array of bull news
was too much for the equanimity of
many shorts and general rush to GOV.
Ell followed.
The movement was rendered COM
paratvely easy through the hardness
OF the new wheat movement which.
although IT promises to become large
in the near future, has been too light
for the comfort of shorts. From near
ly all quarters come reports of yields
exceeding expectations and of quality
unsurpassed.
With the assurance of an urgent eX-
port demand at least fair prices may
be anticipated, and any speculative re-
action VIII doubtless be followed by
substantial recovery. The market is
now undoubtedly nearer even than it
has been for some time, the major por-
ton OF the long and short interest hay-
ing been eliminated on the swell the
suddenneSS with which iU came pre-
vented the pyrimidal accumulation of
scattered long interest and i'm cOnse-
quence there is but little long wheat to
be involuntarily sold on any reaction
airy break. Anything more than nat
ural reactions must come through the
pressure of heavy receipts or free short
selling, and the creation of a liberal
short interest will be the best assur.
ance of another advance.
Receipts of new wheat at the south
west are rapidly increasing and the
movement at the northwest is becom-
ing larger The first movement of the
new crop has been directed to the Gulf
Coast, a large amount having been sold
for direct export via the Gulf route.
Railways traversing the southwest
are making strenuous efforts to supply
transportation facilities, but anticipate
a car famine despite their diligence.
Millers are liberal buyers and will re-
quire large amount to replenish ex-
hausted stocks
The furry in wheat absorbed the in
tereSt OF so many traders that the corn
market was neglected and the trading
confned TO comparatively few opera
tors. The increasing receipts, due to
the free selling to arrive on the recent
bulge, and the prospects of cut in
freight rates tended TO depress prices,
but the liberal exports in measure
counteract the bearish tendency. Farm
ers do not seem inclined to sell freely on
the weak spots, preferring to await new
crop developments before parting with
their corn at unremunerative prices.
The visible supply of gram IN the
United States and Canada shows the
following changes for the week Wheat
decreased ,2S5, 900 bu corn decreased
295, 900 bu and oats increased "a 900 bu