The San Francisco call., 1899-10-15

movement Of prices sufficient to take profits
| lative liquidation is all that has afforded such
relaxation in the money rate as has occurred
and renewal OF the money stringenoy would
be likely to quickly follow any speculative
activity. The state of war which has de-
VeIoped between England and the South Afri-
can republic was OF very little effect and seems
to have been thoroughly discounted that
the markets OF the whole world have adjusted
themselves to the conditions There was re-
coVsry IN prices when the announcement was
made that the Treasury Department had de-
cided to pay in advance interest for the whole
Itsca4 year on government bonds, but fur
ther study OF the plan brought conviction that
1t offered no assurance OF actual ease of money
such as Wall street wants for a speculative
campaign. The very merit of the plan from
the standpoint of its protector, that is that II
insures a general distribution OF the RELIEF
through the money market centers of the whole
country, initiates against it from Wall street's s
ny have had money to lend in New York thus
lar, when the call loan rate scared to 20 and
oI,t ttLu ~ per celt, a large part or the total
customs ana internal revenue payments are
made through New York banks and the direct
drain thus made upon their resources will
be only tndifferently relieved by the anticipated
interest payments at other points in the coun-
try Besides the large amounts of govern
ments held elsewhere than in New York It
is believed that some very LARGE holders in
New York itself will not be disposed to give
up the required rebate of Government interests
and take the risk Of replacing the money at
advantage. This is notably true OF savings
banks, which are restricted TO high grade
return. The insurance companies and trust
companies are also unlikely to avail them
selves of the privilege. If the general con-
ditlon OF the money market in the country at
large were as stringent as in New York doubt
less the prOffered relief would be more generally
taken advantage of. The. Treasury Depart
ment, however, has given It to be understood
that It is not disposed to take special meas
ures for relieving the peculiar distress in stock
market circles, so long as money is to be had
Tor commercial purposes at per cent. Bank
ers in New York view the condition with
equanimity. They are satisfied to see a good
stin money rate based on healthy business
activity and are not sorry to be able to dis
securities and thus check unsound speculative
initiation With the activity and prosperity
In all lines Of business # is not feared that real
values Will suffer on account OF the discrIrni-
nation in extending credits.
The course of the foreign exchanges makes
It evident that relaxation OF the money rate
here would be followed by an outgo of gold
Credits have been over-eXtended in the active
Industrial expansion IN Russia and Germany,
and. judging from the weeks developments
IN that country, initial. The trade is active
vail cuts off the source to which London has
looked for regular repenishment Of It's gold
supply. With a universal scramble among the
great credit institutions of the world toward
Tecuperation of reserves. no point of relief from
high money rates is discernable.
The tendency of prices Of bonds has been
uniformly downward. Business has been
fairly active and we'll distributed.
United States IS advanced Il and old As reg
istered Il. The IS declined Il in the bid price
NEW YORK STOCK LIST.