The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1899-03-13
ENGLAND HARD UP.
Scarcity of Money Being Felt in
London.

New York, March 13.-The Times
London financial correspondent cables:
THE past week has been an unsatis-
factory one Money has grown less
abundant and the Bank of England has
again lost some gold, while all the fresh
arrivals of the precious metal have been
bought by Germany. This alone has
caused spectators to hang back and to
fear the fortnightly stock exchange set
tlement. Consequently dealings have
been limited and the movements of pri-
ces spasmodic. We have got over that
account all right. There has been a
scramble for credits and discount
houses in particular have been driven
to Bank of England for large amounts
to supply the place of money taken
from them to carry stock exchange ac-
counts. But the rate charged there has
been only 3 per cent and we should per-
haps have been ready buyers again but
for politics and the shadow of the COM
ing budget deficit.
China is again bothering us, or rather,
Russia in China, and it is astonishing
how heavy the loads of spectators for
a rise become the moment hint of war
reaches them.
AS regards the deficit in the budget, I
estimate it at 100000 pounds at the
very least and enterprise and specula-
ton of all kinds will be more or less
timid until we see where the govern
ment is going to find money. My feel
ing is that we will take the easiest way
and suspend the redemption of our ma
necessary. But no one can be sure and
therefore we expect troubled and SenSi-
tive markets here for some weeks to
come.
We shall be hard up all this month in
any case, for the government balances
are piling up It the bank and are now
1880 900 pounds, or within about 2,OOO,-
600 pounds of last years total. This
means that the market will be poorer
than it normally is by about 100000
pounds and when we consider that
trade is good and expanding and that
our bankers never, even at the best
times, keep any balance idle that they
can use it becomes plain enough why
speculation should be hampered- So
delicate, in short, in the position, that
1 am not sure of lively markets even
when April does come.
Mere bank figures do not indicate
situation materially different from that
of last year, but the money market mas
a great deal more to carry and more,
over the continental markets are all
the more heavily burdened.
Paris is wrestling bravely with its
Spa nish rubbish heaps, but it's success,
purchased at an exhausting price and
an added dearness of money at each
succeeding bourse settlement, must one
day bear the inevitable fruit.
For such reasons as these, and be-
cause the politics of this unwieldy en-
pire of ours is always giving rise to
sqUabbles at some point, think you
must not count upon US just yet as
great buyers of your securities. Our dis
position was decidedly getting faVora BILE
until your own market hattened before
the dearer money. Perhaps if you did
not scare US with prospects of ship
ments of gold to New York and kept
your stock market on the up grade for
a week or two after April comes, we
might begin to nibble again. At present
we rather want to sell both what we
have and what we have not. Also we
look askance on your great industrial
and railroad mbineS, both actual and
projected. The copper combination has
never been believed in here, but it is
affording company promoters a nice
chance to float off more dubious copper
properties.
AS for the proposed coal combination.
IL there is really anything in it we shall
first welcome it solely as giving US an
opportunity to sell. What we may do
should a great unificatiOn of interests
of that kind come about and stand, I
could not say but at first every coal
security we have would be poured in
upon you by the shipload. Your finan-
ciers are, I presume, prepared for that.
AS yet we do not believe the stories all
so impossible does such a scheme appear
to us from a practical business point of
view.
The sum of the matter is that we are
a little out of heart and inflicted with
financial indigestion. The professional
fortune grabbers, great and small, went
ahead too fast in January and now
groan under the packs they carry-not
of your securities, although they have
a good many of them-but of home in
dustrial shares and mines and home and
South American railway securities. So
much Is this the case that loans that
the out colonies have emitted since the
new year are still in great part un-
placed. The investing public can not
afford to buy them nor the speculator
either.
Save Your Neck