The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1899-08-14
FINANCIAL FACTS.
ARAlFs on Wall Street NOnsensical
Talk Concerning the Future of the
HF,,.,- 1F,-y,.e

AftAiFS on Wall StFeet-HOnscnsicai
Talk Concerning the Future Of the
Money Marker.
Special Correspondents Of Intelllgeneer.
NEW YORK. August l2.-Much nom
sensleal talk Is heard concerning the
future OF the money market. Firm rates
are both probable and desirable for
some weeks to come; they are the nat
tai sequence of business activity, and
win exert a wholesome restraint upon
foolish ventures. Of which there IS
mass ready for launching upon a guilt
bic public. Six months ago the surplus
reserve Of the associated banks stood at
nearly E4O,OOO,OOO: to-day It is scarcely
&i0.0OOOOO but there is nothing alarm
ing in this reduction. particularly as It
has been due to legitimate and not
speculative causes. Speculation. rela-.
lively speaking. is dormant Just now;
while trade demands on the other hand
are particularly urgent, and the treas
ury finds It difficult to meet the demand
for small notes for retailers.
There are two interests anxious for
high money rates; one the lenders and
the other bear traders. As already
stated, however, while good rates for
money seem probable, there are no good
reasons for anticipating q money scare.
Crop demands will be little II any
larger than usual, and the west Is much
better prepared for these demands than
ordinarily. Bank reserves at Interior
cities are much higher than a year ago,
and Chicago, st. Louis. Boston and
other centres have recently been liberal
lenders In this market. Mercantile de-
mRnds, II Is worth considering, are not
likely to increase in proportion to bus
lness activity, many merchants not be-
ing in need OF any but limited borrow
ing. Industrial activity suggests the
Offering Of large amounts OF manufac-
turers' paper; yet the big trusts and
combinations have ample funds Of their
own and are not borrowers to any I'm"
portant extent; so the money market
will be relieved to this extent OF de-
mRnds that ordinarily 1t would have to
meet.
Some faith is put upon gold Imports
as a means Of relief; hut this source Is
rather prohlemRtlca;. We seem assured
of another season Of large exports, for
Europe must depend largely upon US
prices, too, than last year. She may
also buy our securities more freely,
though this Is far from certain. Pros
perlty here, however, Will stimulate Inn
ports and thus reduce the trade bal
ance, while Europe, IN View OF the de-
pleted reserves Of the great banks over
there, will certainly resist any impor-
tant flow OF gold in this direction. Ber-
lin is point Of weakness that Will bear
watching, speculation there having
reached limits that will not endure
much pressure. 1t Is hardly prudent,
therefore, to build great expectations
upon our ability to draw gold from Eu-
rope in important amounts. In spite OF
the few authorities that believe that
because OF the strength OF conditions
here we can force imports.
We are in no need Of gold; the treas
ury Is surfelted with Il: gold is coming
Into our Golfers from other parts OF the
world; our production this year the d.
rector OF the mint estimates Will In
crease 100000 to $10,0O00O0, and that
OF the entire world over $5O,O0OOO0. EV-
Identity there will be no scarcity OF
gold and no great scarcity OF money
save the inconvenience that may arise
from the inelasticity Of our currency
system. Congress can do nothing more
than to rive the nation the long expect
ed and genuine currency reform prom
ised in 1897.
The stock market is still dominated
by money rates and by railroad and
Industrial prosperity. The two latter
Influences are especially noticeable and
show no symptoms OF abatement. Hold
ers cannot be frightened into selling
while they continue. Many of the bet
ter classes of bonds are held at such
high figures that buyers cannot be
found in u and per cent. money mar
ket. The same is true OF the best rail-
road shares, except HnerS Increased
dividends can be reasonably expected.
and these later may continue the ad-
vance In the next bull market. The low
priced railroad shares are now attract
ing attention, simply because they
have advanced relatively little, al
though their prospects have often Inn
proved correspoudlnGly with others.
The industrlals, especially those con-
nected with the Iron trade. are likely
to receive more attention, the wonder
full activity in that branch OF Industry
rendering an active speculation inevita-
BILE. The excellent prospects Of dtvi-
dends on many Of these properties are
likely to prove Irresistible TO the aver
age Spectator: but the risk viii be
great and they will be the first to suffer
when reaction comes. Before very long
the entire market must show Increased
activity. Uncertainty as to the future
OF the crops and money will then be re-
moved. II developments In these quar-
tiers prove favorable an active and
higher market wiz surely follow as soon
as money becomes easier. The big men
OF the street believe In higher prices,
and when they and their followers re-
turn from vacations more Interesting
HENRY cLEws.