The times. [volume] (Washington [D.C.]) 1897-1901, 1900-08-13

Trade Continuing to Expand.
NEW YORK, Aug. l2.-The most i'm
portant and interesting matter Of discus
sion in the street during the past week
has been the fotation of the British EN-
chequer loan, coupled with the announce
ment-which set the bankers Of the Old
World by the ears-that S2S,0000 coo of the
bonds had been subscribed for in the
United States, and had already been
allotted before the actual terms Of the
loan had been made known in Lombard
Street. The bonds, from an investment
standpoint, were so attractive that the
British Government came in for much crit
icism at home for the deception it had
practiced upon its own bankers, who were
thus shut out from subscribing TO the en-
tire issue, a contingency which the Gov
eminent had sought TO avoid.
AS a matter of fact. the criticism has
not come from the leading banking in
terests Of London nor from its ab.est finan-
ciers, who were undoubtedly in the conf
dence of Sir Michael Hicks Beach, and
whose approval of the plan had teen
sought and obtained.
The CHATTER has been raised by set OF
persons whose patriotism is much greater
than their knowledge of financial matters
or of the present necessities of their Gov
eminent. Those who are at all familiar
with the condition of the Bank of England
readily concede the wisdom of the cXpe-
dent it has adopted II the loan had been
floated in a manner similar to that whlcn
was employed in the last issue Of Con-
soils, the condition Of the exchange market
is such that the money would have been
drawn from the domestic reserves of Great
Britain, and the Bank of England would
have been very much in the predicament
in which this country was during the
Cleveland Administration, when the end
less chain system was depicting the gold
reserve OF course there was the alter
native of raising the discount rate to
or 6 per cent, and forcing the expectation
of gold temporarily from New York, but
that would have afforded only momentary
relief. and it would have brought about
wholesale selling of securities and could
not have prevented the natural flow of
gold in this direction in October As 1t
was the balance Of trade is so heavily in
favor of the United States that the New
York syndicate who had taken the bonds
found themselves unable TO deliver the
goods except at a loss, and the Bank OF
England was forced to offer them an extra
intincement in the shape of advances On the
gold at 3 per cent interest in transit.
The position of the United States as the
worlds banker has been gained in the last
three years. Before that time it was a
borrowing nation. The balance Of trade,
despite huge expectations of grain and
cotton. was uniformly against America,
and was only kept within safe proportions
by the constant demand abroad for Ameri-
can interest-beaTing securities, whose re-
turns were at that time more remunerative
than those OF the Old World. The great
growth Of this country's exports within the
last three years. especially of manufactur-
ed goods. has turned the scales in its favor
Americas foreign trade, according to the
best authorities. is maintaining such
healthy growth that there is no longer
any doubt that it will not only retain the
financial prestige it has gained. but that it
will continue to make strides toward COM
mercial SUPREMACY which will open the
eyes Of the world still further to the great
ness of its resources. Germany has already
recognized what menace this country has
become TO the colonial trade of Europe,
which has heretofore been the main de-
pendence of the Old World, and her jeal
ousy OF America in the Philippines was un-
questionably inspired by a much deeper
motive than the laundering official envy
of Won Diederiehs.
While the tone OF the markets were
favorably influenced by the practical il
lustration which has been given TO the
financial world Of the high credit OF the
nation abroad and the promising financial
future which seems TO be in store for it,
stocks have made new records for inactivity
during the week. and the fluctuations have
been within unusually narrow limits. The
public has taken almost no part in the
making Of values. Securities, however. are
in strong hands. and while there is almost
10 buying demand. there is no disposition
TO sell out at present prices. Il seems TO
be the general impression among the
observers Of market movements tina; much
lower prices than those which have prevail
ed for. the past week can hardly be expect
ed. The discussion of campaign issues ap-
pears TO have been discounted. as far as
its influence bears upon values, though con-
hdence in McKinley's election seems to be
growing less as election day approaches.
Under the circumstances, the apathy Of
the business community. especially the
great corporations. as to sueh a contin-
gency is remarkable. At this stage Of the
campaign in 1896 all OF the great financial
institutions. the railroads and industrial
corporations. were carrying on a cam
paign of education among their own en-
ployes At this time there appears TO be
no effort of this character being made.
Great corporations appear to be utterly in
different to the views OF their employees,
many of whom unquestionably lean toward
the Democratic national ticket and its
platform.