The Greenville times. [volume] (Greenville, Miss.) 1868-1917, 1900-02-10
A VIEW OF THE
MONEY MARKET.
Approved by Russell Sage.

" THE financial situation in America,
said Mr.. Sage. was never more legiti
mate and sound than ii is to-day, Tn
only cloud on the horizon Is the pres
ent war between Great Britain ant
manship International trouble is avert.
ed, there is no reason why good bust
ness should not have plain sailing in
, the United States for long time. II
the war should be confined exclusively
to themselves, the effect would not be
disastrous in any way to American fl
nances. for now, after the first shock.
our affairs here will run on smoothly
and normally, and considerable slim
ulation in the prices of our products
will ensue. The great danger is that
as one spark may put city in flames,
so war comparatively Insignificant
In itself may involve several of the
frst-class powers The keenest states
men cannot foresee the results.
The money question here has dis
turbed public sentiment for thirty or
forty days. The great demand upon the
city banks for loans has come from all
parts or the country, as well as from
large dealers who are making applica-
mess purposes. That the country at
large is in very prosperous condition
commercially is indicated by the de-
mand upon New York banks from Chi
cago, St Louis, Minneapolis, ST. Paul,
and in fact from almost all the big
cities of the United States
That business men are preparing for
greatly increased volume of business
in the immediate future is shown by
the fact that they are willing to pay
full rates and a premium for money IN
order to be in readiness for any tax
which new enterprises may put upon
their financial resources. There is lit
tie chance of any relaxation in the
price of money in the near future, as it
is now loaning at full rates and a pre-
plum of from one to one and a half per
cent. for thirty days, three or six
months. This is the strongest kind of
an indication of the way in which bus
mess men regard money prospects.
The offer of the Government to an
ticipate interest on bonds will help to
ease the money situation temporarily,
but high prices of money are legiti-
mately due in consequence of vastly in
creased demands for industrial pur-
poses Our cotton and wheat have a
great market, and at high prices will
bring vast sums of money from abroad
For we are spreading out and develop
ng markets all over the world, many
If which are greater than we can sup
bly, at present. OF course, all of this is
great stimulus to money. On the
'ther hand, the very high price of iron
as retarded the entering into contracts
or the building of steam roads, troll
ey lines, bridges, and the great build
ngs which are to-day constructed SO
argely of iron and steel. This has had
he effect of restricting to limited ex-
ent the employment of labor.
Apart from this question of war and
is many complications and uncertain- !
les, the business prospects of the :
United States are infinitely brighter
han ever before in the history of the :,
ountrY, as any one with a keen eye T.
nd good digestion can see. C
"Industrials have got to take a back a
eat, that is. most of them. There have 1
cen forced upon an ill-advised public ?
reat amounts of stock of over-capital- v
led concerns of this character, OF r
purse, have no reference to first-cass @,
roperties. There was a time during n
he recent advance in prices all along o.
10 line when many industrials of ques- p
enable value were advanced in price n,
officially in sympathy with the gen a.
al market. The banks were prevailed W
pom to loan money on some of these ~
curities, and | was afraid that this g,
discretion might lead to a panic. But r,
at danger is happily passed A high
tie is now demanded for money ad- g,
need on the majority of industrials, 4.
Id even then it is insisted that they ~
put in at low prices. The rejection h,
these stocks by the banks of late has ~
nded to increase public confidence In GO
e integrity of our financial institu- K
ms. -
Naturally, high rates for money will 81
use the holders of gilt-edged securi- hf
IS that pay small dividends to sell tr
t and loan their money at higher h,