New-York tribune., 1900-08-13
THE WEEK IN WAN srREEr.

THE WEEK IN WALL STREET.
Transactions In stocks the last week were on
an extremely small scale. but prices were well
maintained In some instances substantial gains
were recorded. II usually is the case that stag
nation IN stocks is accompanied by a shrinkage
IN values. The expectation Of gold was without
apparent effect. Ordinarily the departure Of
gold results In sales Of stocks and a fall in
prices There were really no signs Of yielding
tn stocks until the bank statement appeared on
s6eturday and disclosed a loss In cash and a
reduction in the surplus reserve. The time is
not far Of when money VIII begin to move to
gthe West and South in connection with the
marketing Of the grain and cotton crops. The
crops turning out better than anticipated
and, as high prices are prevailing for the prod
: ucts, more funds than was at first counted on
VIII be employed Ia the handling Of them. Taken
with the outgo Of gold to Europe, this calls at
tention directly 70 the situation in money.
At the moment money is easy, but It Is not
reasonable 70 expect the current rates to con-
finue indefinitely. The flow Of money from this
centre must inevitably In due course be followed
by an advance n rates No squeeze in money Is
probable, but borrowers must prepare to pay
more for accommodation and must also look to
see lenders somewhat more eXacting as to COL
lateral When money Hghtens the banks dis
criminate or less in the securities they will
accept In pledge for loans The presumption is
that their custom viii not be departed from this
fall when tension appears IN money. There are
several things which VIII contribute to keep
money from becoming unduly stringent The
volume Of speculation Is light and the needs of
Wall Street are vastly diminished The whole
sale fotation Of new corporations has been IN
terrupted and there are few reorganizations of
consequence that have not been completed. The
country at large is much better supplied with
money than ever before. This is particularly
true Of the West and South, which have been
enriched by a series Of abundant crops. In
truth the people in all sections are free from
debt and are literally supplied with money. The
demand upon the banks and other institutions
that meet the bulk Of the requirements for
money viii therefore not be so large nor so
pressing as in many former years. Yet the mis-
lake should not be made Of thinking that the
demand Will not come at all or that It will not
attain considerable proportions
The extent Of the expectation Of gold has not
been determined. At time it looked as If 1t
would be small, but conditions attending the
shipment Of gold have changed. The placing in
this country of more than one-half OF the latest
issue Of British Exchequer notes was for the
purpose Of procuring gold here to repIenish the
depleted stock in the Bank Of England When
it was found that owing to the state of the for
eign exchange market the notes were likelv TO
be paid for in large part by the use Of the
immense trade credit abroad Of the United
States, the Bank Of England employed extraor-
dinary measures 10 secure gold here. It re-
hnltted interest on consignments Of gold while
IN transit from New-York to London and this
step not proving sufficiently efhcactous # raised
los buying price for American eagles Then the
gold went forward more readily. ShouId +bA
necessity arise, the Bank may again raise tts
price Tor gold The Bank Of England Is under
severe strain. This is the season when gold
moves 70 the interior Of the United Kingdom
ana furthermore. the tendency Of gold to flow
ron London TO the Continent is strong. There
hoI much doubt that the gold that is going
frorn New-York to Paris is diverted from Lon
don. Sterling exchange in Paris IS az 49,
which calls for the transfer Of gold from rondor
10 Paris A less Injurious influence is exerted
IN the British financial position by letting the
gold go from New-York than from London
Whue this country continues the chesnes+
money market IN the world It VIII be called
upon 70 hnance the needs OF Great Britain. and.
incidentally, the needs OF other European cour'
'f-es' II may not keep on doing so for any ex
TENDED period by forwarding gold scross +ba
pcean, but it may by further Increasing the IN
fernatonal trade balance in its favor. In Other
WORDS II may ship grain. cotton provisions ana
manufactured articles 10 Europe and defer col
lection for them. When the time finally arrives
for settlement there Will be only one wav in
Which the obligations can be discharged. and
mat VIII be by sending gold to this country
Europe VIII be able TO pay it's great 6ebt -
America py returning American stocks and
bonds II has sent back about all the Arnericar
issues II possessed except those held for perma-
hent investment So long as Europe Da,s roora
IN interest on its Indebtedness than the none,
would bring here so long will the indebtedness
be allowed TO stand. Accordingly. a eouartre 90
international accounts is probably not very near
hand
The outlook for the crops is by no means so
dismal as reports earlier in the year made ont
The Government monthly report which was
Issued on Friday. indicates reasonably salts
factory outcome. Winter wheat is harvested
and the indication for spring wheat shows that
the total yield VIII be only 333O7OOO bushels
below that in 1899 AS for corn, the nrorn,se
is for crop 1126460O0 bushels greater than in
1889, when bumper crop was raised. The con-
dition Of cotton is below that OF year ago.