The morning news. [volume] (Savannah, Ga.) 1887-1900, 1897-10-18
BANKER CLEws' VIEWS.
The Financial Outlook as Seen From
Wall Street


New York, Oct 16.-Wan street has not
yet recovered its equilibrium after the re-
cent radical process of liquidation The
realizings of large holders have deprived
the market of it's most important element
of strength, and the minor operators are
left to meet the shock of vigorous bear at
tacks as best they may. The pessimists
have been doing the work of the prudent
optimists who have sold out and want to
get in again, by putting down prices to
point at which the latter will buy. How
much further this process may run it is
not easy to say. As yet, it has not reached
a point at which the bears" have lost
their daring; but there are indications that
the new level of prices is bringing out
gradually increasing volume of buying.
When the daily tally of business rises from
300 600 shares to 0,OO0 without any break
in prices, it is rather an evidence of cour-
ageous buying than of bear sales. It is to
be assumed that the Influential operators
who are waiting their opportunity 10 buy
in for a fresh rise would have some re-
gard to maintaining the "bull' temper of
the market 1t can hardly be to their ad-
vantage to keep the market exposed TO the
raVages of the bears until the specula-
tive spirit IS crushed; for in such case, af-
ter having undertaken a fresh campaign
they would have no active cooperation
from the outside element and might have
to unwilingly take from them consider
able amount of stock
At the moment, three influences are af-
fecting the market unfavorably-the yell
low fever, the election excitement and the
oh, g ~ I,44
is not calculated to precipitate any imme-
date action on the part of our govern
ment. The promises of the new Spanish
administration suggest a possibility that
something may be effected towards the
Cancellation of Cuba; the latest symptoms
from Washington are favorable; and on
that account our government may be ex-
pected to refrain at least from any imme-
date interposition; in brief, the new sit
uation means poStpoLement. The yellow
fever begins to show some abatement; it
is now we'll under quarantine regulation
and the needless interference of shotgun
methods of protection is being so con-
trolled as TO prevent unnecessary interfer-
ence with trade and transportation, which
has run into ineXcusable excuses. Really,
at present there is no serious quarantine
embargo upon the traffic of any impor-
tant railroads. The interference with the
market arising from the city election can
vass is, after ALL chiefly matter of senti-
ment and has no direct relation to the
value of the properties represented on the
stock exchange. The bears" eXaggerate
this factor by magnlfying the chances of
candidates whose election would be least
conducive to the interests of the city, but
they do not succeed in concealing from
Wall street that the local interests of
Greater New York are not the interests
of the United States
No ftiY.t her iran gementS have been made
for the Importation of gold. Last weeks
engagements, amounting to $6,000000, have
induced efforts in London to check the
outflow, which for the moment have d.
minished the movement; and on Thursday
the Bank of England put up its rate
from 21k to per cent. Drawers here, how
ever, have reduced their rates and fur
Their engagements for bringing gold from
London or Paris may be expected; unless
sterling bills should be bought up here as
a temporary investment. This Is not en-
tirely improbable, as the banks will soon
be receiving back large amounts
of the currency sent to the
interior for moving the crops
and do not care to indefinitely in
crease their stocks of idle specie. The eff
feet of such an arrangement would be to
strengthen the local rate of interest, to
ease the London money market and bridge
over foreign debts to this country for two
TO three months and then to offset balances
against the United States, and thereby
prevent exports of gold which otherwise
we should in the usual course have TO
make. year ago transactions of this
kind were done to the amount of some
s85. 100000; and at present it locke likely
that the operations may be repeated. This
method of adjusting International bal
ances is wholesome, inasmuch as IL tends
TO keep the money market on both sides
the Atlantic stable and prevents the cost
and Inconvenience of exchanging large
amounts of gold between the two CONT
nents.
The advance in the Bank of England
rate to per cent. is what 1 foreshadowed
some time ago, and from appearances it
is more than likely to go to 4 per cent. at
least very soon. The bank reserve now
is $50, 100000 lower than It has been for
similar period since 1893; while It's loans
are 100000 larger than for any October
month IN eight years. The immediate fu-
ture moves of the Bank of England will
be important factors at all the great mon
ey centers, and operators on this side
will have to Keep a watch thereon for
their guidance.