Jamestown weekly alert. [volume] (Jamestown, Stutsman County, D.T. [N.D.]) 1882-1925, 1897-06-10
NO SPECULATION
Complaints Made In Eastern
Circles Business at q
Standstill.
Reason Wall Street Gives Is
That Agitation Continues
Idle Money.
Accumulation of Deposits In
Banks and No Expansion
Of Loans.

Of Loans.
Reviewing the business situation in
Nov York and elsewhere for the week
the Ch,esgo Record says:
With decided improvement in foreign
markets, caused BY the cessstion OF hoe.
tilitiss in tho east and the more paci6c
prospect Of European politics, American
exchanges show practically no change.
Speculation ie ct sssndstill and money
10 stsgnant. Tho extreme timldity OF
capital prevents expansion and until
there 10 demonstrated . more definite
and favorable attitude of the people
toward corporations there 10 not likely
to be any movement which shall encour-
age enterprise and influence activity in
industrial lines, promoting that material
prosperity predicted last fall by the
advocates OF the gold standard.
The continual sttaoks upon vested
rights, the interference Of state aud
national governments in the afiairs Of
trade combinations with no effect except
to hafass them and force fluctuations in
market prices has made tho public sus-
Spicious OF investments in those enter-
prises the welfare Of which 10 tho CON-
mercial welfare uf the nation. Within
the last week the senate has unsettled
business BY Cuban agitation, which,
recurring from month to month, keeps
commercial and financial markets IN .
fermsnt that preoludes growth. The in
cessant menace OF the tariff also prevents
the assertion OF the most potential and
favorable influences. And above al
these considerations comes that OF tho
monetary question. There 10 . reason
able doubt whether the present admins
tratlon, having entered into the tarin
fight and marked party lines more
sharply, will be able to ful6ll it, first
pledgs to reform the currency system OF
the United States. This 10 tho drst and
grsatest problem Of our politics and the
Foundation upon which commercial 3D.
vancement must be laid.
The most remarkable feature OF the
American financial situstion 10 the I'M
mense accumulation Of idle money.
The reports OF the national banks issued
last week forcibly emphasize the extent
OF this accretion. In every part OF the
United States interest rates are abnorm-
ally low, with practically no demand for
funds. Money verywhere is unProduct-
i've. There ls no avenue for it's profitable
employment. General business IS stag
snsnt and industry awaits the tariff decis-
ION. The statements Of Chicago national
banks May IA showed thst these institu-
tlons held fully 50 per cent Of deposits
"a cash, in some instances banks holding
a much AZ IS per cent in reserve. The
aggregate Of deposits was $l37,5
40, an increase OF 3l5OOO.OOO since
March 8, and gain Of over $4,000 900
siuce the statement Of Dot. 9, 1896, made
during the presidential campaign. The
total loans May II were 9S2, ,163, All.
seainst $84, ,O75, 1884 last October, loss
of $4,000, 600 in loans in period dnring
which deposits increased s2S.OOO,OO.
The exhibit made by state banks May
II is equally interesting. Coming go 90
closely together the reports express ao'
curately the condition Of the local money
market. The aggregate of deposits in
national and state banks 1T Chicago IN
the second week OF May was $225, ,03O, ,56S,
which camparee with $Nl,l46,ol5 10
March. 1897, sls6.947 800 in Decem ber,
1896, S2l5, ,l42,445 IN July, 1895, S2O1,-
i99S7 1915 in July, 1884, Sl6s, leo, 1856 In July
1a9S. S2l2,755,525 in July 1892, and sl66,-
1GA.375 in July 1891. Tie loans aud
discounts OF all national and state banks
81 Chicago in May, 1897, were $l3S,929,-
go. aoa1nst sl31, ,55O,529 in March last,
sl56.27l,O57 in July, 1896, before the
,5sllyer scarce caused severe contraction.
A,s,ge proportion Of the increased de-
puslts 81 ae.;pnsl banks came from In
stltutlons Of the rural west and north
west, local banks paying per cent on
suoh balances, while New York tanks
some time ago reduced this rate 70 ~
per cent. At meeting Of the Chicago
clearing house last week it wss decided
10 red uce the local allowance to ~ per
cent on June /. The present drain 90
earnipp is great, for with only ~ per
cent of deposits employed and loans
commanding only 311aa per cont, 1t 70 not
possible 70 pay 90 high return on osl-
me-. The same conditlons whloh pre-.
vail hsre rule 10 every money 0entel OF
the country. The New York. Philadel;.
mia and Boston banks show unusual
gains in deposits, with no commensurate
eYpansiou il loana tho savings institu-
t,ona Of the east discussing the question
~ reducing interest on depoeits.
rhe Currency Commission.