The morning Astorian. [volume] (Astoria, Oregon) 1899-1930, 1900-05-29
LONDON MONEY MARKET,
Gold Shipments From This Country
Have Materially Eased Up
the Situation.

NEW YORK, May &.-The Times
London financial correspondent cables:
Since the beginning Of this month
the reserve in the banking department
OF the Bank OF England has been great
ly increased and therefore discount is
now weak at rs percent instead OF
strong at four per cent Loans for a
day or a week now cost no more than
per cent compared with S% and 4
per cent. The Russian gold turned the
scale, and since We obtained e1.O0O. 900
from that quarter. the India council
has released s5OO.OOO of the el,5OO. 900
it locked up here some time ago to
provide for contingencies. Added the
notes which have come back from cir
culation and free disbursements Of its
borrowed money by our government,
and all is explained.
Will this ease continue? 1t may for
few weeks. perhaps even into July.
but the market is restless and appre-
hensiYe. and therefore liable to fire.
quent happenings Of an unexpected
character Not a single banker in the
city looked for the depression now with
US. Most expected the bank rate to
go up Instead Of down. and yet here we
are fighting TO keep discount from sink
ing to 2ls per cent.
Abroad. Paris alone has a followed our
lead. and both bank and open market
there now discount at 3 per cent.
Floating balances. however. are not so
cheap nor so plentiful as in London.
and quite expect to see credits at to
per cent at monthly Boursa settle
ment al the end of this week In Ger
many money continues TO grow dearer.
and it is from that quarter that shrewd
bankers look for the next pun upon
our gold reserve.
No Continental rate of exchange,
however. is really moving in our favor.
The reverse is the case. and therefore
whatever supplies OF gold come into cur
market are mostly snapped up by for
eign buyers. Not only so, but the Bank
of England continually loses natal by
small driblets exported, and the India
councils parcels Of sovereigns alone
prevented The weekly return issued last
Thursday from showing a loss.
To give US good chance to turn
round ,nnpa,- r.,,,;ro, .. - ohoo,.o-
than it is, and TO look like continuing
cheap for months. At present the level
of loans inside the stock exchange is
not likely to be less than per cent on
tainted or highly volatilized classes of
securities, and very few of the best
houses can hope to borrow under per
cent OF what use is such rate to a
man carrying 'Khakis.' which pay less
than 3 per cent? one-half Of the
Khaki loan is probably held by deal
ers in the stock exchange at the pres
ent moment, for the small investor has
only paid Up about 2ls per cent Of it in
full.
With the scrip on hand. involving
calls every month. with colonial In
dian and domestic municipal railway
borrowings, looking over the rnarket
how is it to De expected that prices
can rally and advance? Enterprise
and initiative are alike paralyzed, and
your operators may as well give up The
hope Of Dersuading us to take hand
with them in manipulating quotations
for American railroad shares. Rather
let them count on US as sellers Of
every such share we still possess on
any favorable chance.
And over all stands the dread Of
what the Beers may do in the way Of