The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1899-11-06

ket will keep thus hard is doubtful, be-
cause cheap loans always in the end
defeat d1scounterS-
Brokers say they are determined to
put three months rate of discount of
AZ per cent as the minimum, but they
are certain to fail unless loan money
can rise in the neighoorhoOd of 4 per
cent. 1t may do this, but hardly yet,
for the Bank of England has merely it's
own Dill case to depend on as a means
OF pressure, the Japanese money not
being under its control unless it is pre-
pared to pay interest upon it. The eS-
innate is that the bank still holds more
than 33,0O0.000 of bills, about one-third
OF winch Will be run on by the middle
or this month. So the market argu-
ments, that what with the absorption
of credits through maturing these bills,
the autumn demand in the provinces
and the generally increased pressure
upon making resources toward the end
OF the year, the price of credits must
advance. Doubtless this, is So and yet,
unless frightened about gold it is not
sure that loan rates will be maintaina-
bic near per cent between now and
the end of December.
Apart from the gold, all really de-
ponds upon the action of the govern
ment, and the market is still in the
dark about the amounts of treasury
bills likely to be offered. Estimates
range up to five millions, and e. 900 900
are offered for next Friday. But the
issue of treasury fOaterS were it ten
millions, by no means guarantees i'm
mediate higher charges for short cred
its. All depends on where the money
is spent, and the probability is that
more than half will be disbursed here,
in which case the increased treasury
outlay might mean a flooded money
market just when everybody is count
ing on high rates.
Thus reach the conclusion that
nothing in the domestic position war
rants the expectation of very dear
money this year, although quotations
are sure to be higher during the next
aTrrTa -ear,1rrr = Loot
Abroad the position remains uncom-
Portable everywhere, but calmer in
most places. All the Danubian states
are excessively hard UP and the sui
tan's provincial governors, it is alleged,
are disappointing the revenues
mOrtgaged to bondhOlderS. But the
monetary condition in south and east
ern Europe has only a remote influence
on London through the German and
Austrian markets, and is no factor in
determining our rate of discount. From
vances this week point not to ease, but
to a slackening of tension, although
neither France nor Germany is in
position to state that the banks are
better off. Still, no violent wrench of
rates is likely to originate in these cen
tiers, and we are less apprehensive
about them than about New York If
you draw gold from us, We must see
per cent bank rate, otherwise we shall
jog along perplexed very much where
we are.
One thing this war has effectually
done. It has stopped great speculative
operations in all markets and has
forced liquidation on many too dis
tended positions. This week the mar
kets have been swayed under the in
fluence of the war bulletins much less
than has been foreseen. On Tuesday,
when the news looked the blacklist,
prices dipped, but from inside pressure
alone. The public throughout has
either been buying or standing aloof;
but buying is much more in evidence
during the last three days. 1t is good
buying, too. There is a stream of small
orders of the kind that mean payment
on settling day, for the country abso-
lutely refuses to believe in defeat, and
by its gigantic expenditure the govern
ment is putting money in the pockets
of all classes. When no pretext was
offered to buy fora rise, we bought for
patriotism to show our public spirit.
The French spitefully sold the market
it is said, and we do not mean to allow
tactics of that sort to succeed. But
should Paris deliver the 18th instant,