The morning news. [volume] (Savannah, Ga.) 1887-1900, 1897-01-25
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BANKER CLEWS' VIEWS.
The Financial Outlook as Seen From
Wall Street.

Wall street.
New York, Jan. 23.-The gradual return
towards ease in the European money mar
kets has induced a more active movement
in securities across the Atlantic, which
sympathetically affect business in our own
market favorably. In London, this change
has developed return of speculation in
American stocks, and during the week the
purchases here for that market have been
larger than for many months, indicating
some restoration of confidence in our in
vestments. The remarkable financial
strength recently developed a this center.
and so strikingly expressed in our ability
to lend TO Europe through the holding
back of export bills, (now estimated at
nearly $4,000, 600 is naturally having a
good effect upon the status of our credit
abroad. Our large accumulation of loan
able capital and the consequent low rates
Of interest here are construed abroad as
inevitably tending towards a more active
movement on our stock exchange and a
higher range Of prices; and, with this in
view, London shows a disposition to avail
itself of the chances OF a higher market
The influential public movement in favor
of reforms in our currency and evidences
in congress of a disposition to respond to
that sentiment, appear to have encour-
aged, in England at least more hopeful
view as to the future of our currency ar
engagements. There is, therefore some
reason for anticipating a more active
speculation, if not also Investment, in our
securities at London than we have wit
messed for the last three or four wears.
This probability is strengthened by the
Bank of Englands reduction of it's rate
of discount to S1z per cent, and by the fact
that about 5000 shares of stock have been
m hxy u s.x l. 80
These underlying foreign factors are of
more Importance than may appear at first
sight. One Of the greatest aggravations
of the unfortunate financial troubles of
the last four years has arisen from the
profound distrust they have excited
among the bankers and capitalistic classes
on the other side OF the Atlantic. After
sending home their securities and with
drawing less permanent forms of loan to
the combined extent of probably hundreds
OF millions of dollars. they are now sur
prised, l may almost say astounded. to
find US in no real sense weakened, but
competent to lend them large amounts of
capital, TO defer payment of $50,C000O0 of
gold which 1t is within our power 10 draw
hither. and to thus afford great relief 20
very stringent condition of the Euro
pean money enthusiastically exhibiting
a potency in International finance whic h
we have never heretofore possessed.
These are facts which must tell for some.
thing in the future foreign status of
American credit
The official statement of our foreign
trade for 1895 has taken Wall street by
surprise. The merchandise movement
shows an excess of exports over imports
amounting to S75,S00 00O-a movement un-
paralleled in the history OF our commerce.
As an offset against this balance. the stat
istcans figure that we must reckon net
imports of gold amounting to $4,000 coo: Sc
curities returned after the election 500 COO
600; and Sl500O0OO0 for interest PAYMENTS
and travellers credits, etc; making a to-
tai of $2l6,000 600; which. still leaves a
creditor balance of sl59. 900 Against
this, must be offset $50.OC0OOO of export
bills held in this city for future collec-
ton; and the remainder OF $l09, 900. 900 is to
be regarded as covered by our liduidating
various temperament loans and ad-
vances in the course of the year of ex-
element and distfust.
The currency question is receiving more
attention as a practical issue Among
other changes deserving attention. the
national bank act certainly requires
amending to provide for the changed con-
ditions since its enactment. One impor-
tant amendment should be to admit of the
issue of notes up to the par value of the
United States bonds given as security
therefor. This would increase the ma
tional currency about $20.OO0000. and
would induce the banks to take out at
least 900 additional notes. as well AZ
encourage the creation of new banks in
localities where they would be servicea BILE
in popularizing the system. The agitation