The times. [volume] (Washington [D.C.]) 1897-1901, 1900-08-20

| the report.
With the loss in cash loans increased
! S6.SS7,4Q while deposits decreased s3,C91.-
600. This was explained by authorities as
| being the result of heavy borrowing by
| interests who received allotments Of
British war bonds and who used the pro-
| ceeds of their loans to buy gold from the
/ Government for expectation. Thus, while
4 the banks were heavy lenders they did
not as usual, receive back what they
loaned in the form of deposits. The Gov
eInneuts figures show it to have been
! the hereditary of the loan expansion.
On account Of the reduction of deposits
| reserve requirements were cut down by
I Sff2,900. and the decrease in SUI plus re-
serve was therefore S7.56S. 800. The sGr-
plus is now SO, ISL, O50, which compares
with SIS, 0S2 $50 at this date In 1899 and
SIS, SSs. $50 IN 1898.
1t is evident that the banks net loss Of
cash would have been greater had it not
been for the Governments redemption of
the old per cent bends. Disbursement
on this account are expected TO be quite
heavy this coming week. The ub-Treas-
ury paid out s1.5G0. goo Saturday, and it is
thought that between $780, 0G0 and Si,-
coO,oGo more will go out today and to-
morrow.
The Brooklyn Rapid Transit report con-
tiDues TO be the subject of much comment
AS stated heretofore the more conserva-
tive financial and market people consider
it fairly satisfactory report, as I'M
doubtedly showing an increase in business
and surplus over operating expenses
and fixed charges. 1t is not TO be denied,
however, that there is much TO be desire
in the matter OF clearness in the state
ment, and much chance for misconception
and wrong conclusions. This is shown in
a striking way in the fact that both the
bulls and the bears are able to argue,
with show of reason, that it is favorable 10
them. 1t is to be hoped that the more
extended statement to follow these pre-
hminary" figures will be more intelligs Bile.
Henry Clews has this to say regarding
Americas foreign commerce in his weekly
letter:
Our foreign trade continues to show
eminentiy satisfactory tendencies. In July
our exports of merchandise amounted to
500, .50l, probably the largest July ex-
ports on record. They were s., 500, 600 larg-
er than last year and s27 800 coo larger
than in July, 1898. Our imports in July
were also large, S63, $50, 253, indicating a
free consumption of foreign luxuries and
raw materials. The excess of exports over
imports during the month amounted to
$50, S77 600. compared with S34, S24, 600 the
same time last year. This steady contin-
uanee of large trade balances is something
phenomenal and could not have been an
ticipated even two or three years ago.
Nevertheless, il is one more manifestation
of the wonderful development of the United |
States. Steam. electricity, and machinery I
have so perfected our means of communi- /
cation and production that we are in a 4
pre-eminent position for competing in the /
worlds markets. More and more We man
ufaeture first for ourselves and then for /
others. the products we have been accus- |
toned TO buy from abroad; our exports of I
manufactures have already become an i'm /
p0rtant factor in the total shipments and |
largely accounting for the present fsvora-
bic trade balance. As this feature of eui /
development-the export of manufactured ]
products-is likely to continue it seems |
reasonable to expect that We shall be able (
TO maintain our new position as credi- I
tor nation for some time to come, If not |
Europe certainly cannot de-
crease her purchases of American food pro-
ducts 20 any considerable extent: and there /
being little prospect of our again import
ing many Of the articles we have displae>
ed, We seem to have entered a period Of
continued favorable trade balances. Low
er prices here would only stimulate ex-
ports and check imports, so there is little
chance of business depression changing the
current This great alteration in our Tela-
tons with Europe has been quietly pro-
ceeding for months and years; it is not
new; IL is only when some striking trans
action occurs, such as the placing of $2s,-
900, 600 of British Government: bonds in this
market, that the change is really appre-
ciated That transaction was the natural
sequence Of conditions which have been
in force for two or three years. and which
as they seem destined 10 continue, will
work still greater changes in our financial
machinery. They will gradually strength
en- that ascendsncy of New York In the
money markets Of the world which has
been ambitiously looked forward to-.