The San Francisco call., 1898-06-06
TIE STATE OF TRADE.

I is curious fact that in May, the first month of
 the war, commercial failures smaller than for May, 1897, when the country at peace. It is another curious fact that the longer the goes on the less is heard about 1t in commercial circles. One might easily fancy from the general indifference regarding it, that the natural condition of the country Except in Wall street. there is positively no visible effect general trade At the outset few
 lines disturbed but they quickly became adapted to their conditions and business is peaceful and humdrum as usual.
 The pivot which everything is now swinging is contained in the single word, Crops One hears nothing ese either here in the East From all of the great grain producing sections of the land except California come reports of brilliant crop outlooks, and if they realized the yield for 1898 will be u- precedented This prospect, with the termination of the May deal in wheat at Chicago, has caused sharp decline in wheat, though at the close frmness is apparent and reaction is not improbable Other grains have sympathized more or less, and several have gone down. too, but is higher under heavy demand for export.
 Possibly the brilliant showing of the wheat crop has stimulated business but at any reports from all over the country indicate fine wholesale and retail trade and the present influx of fall orders leads to the opinion that the fall trade will be the best seen for years. All lines Of merchandise participating in this demand, which shows that the inquiry for goods IS legitimate and popular, and therefore indication of an increased purchasing capacity the part of the public. This Is borne out by the continued gain in bank clearngs those for the whole country last week being 3o.3 per cent than for the same week in 1897 The failures also smaller being 222 for the week, against 24I for the corresponding week last year The continued decrease in these failures is one of the most gratifying signs of the times.
 The great staples which fnanciers watch with vigi- lance, exhibiting increased activity, and the ten dency in prices is upward rather than downward Cotton and wool, which have been the dules of all
 lines for some months, are the most conspicuous ex- amples of this gain, and both frm though busi- in the latter is still light Wheat leads the export
 list, the foreign shipments for the week aggregatng 5,248oS6 bushels, against 43ooooo bushels last week, 100000 bushels in this week year ago, 3,2ooooo bushels in ISo6 2oo1 ooo bushels in 1895 and bushels in 1894. The demand for iron continues phenomenal, the monthly consumption of pigiron amounting to 100000 tons. The demand is largely for agricultural implements, showing a prosperous condition of the farming community, though struc- tura work, for building operations, comes in for a good share.
 There are indications that the public is drifting back into Wall street, being attracted by the recent inn provement in prices, though the professional ma npulators still hold the major part of the market A pronounced victory at Santiago de Cuba would prob ably add further stimulus to this great trading mart and draw back still more of the public As it is there has been marked improvement in Government and railroad bonds, with increased buying by London.
 Locally there is little new to report Throughout the whole Pacific Coast there were only ten failures last week, against seventeen for the week last year. last weeks record being almost unprecedented The grain markets continue quiet, and beyond the decline in wheat show particular change. Mer- chandise is going off we'll and quotations exhibit few fluctuations. The hay, grain and fruit crops are now coming forward, and the prices received are rather above those of last year rule, while the quantity and quality of all three superior the indications of month ago, thanks to the late rains Still the output of the State is far below the normal this year. and there will be little if any wheat for export