The Washington times., 1901-07-12
Governrnent Bonds.

There is nothing cheerful in the market
situation. The crop outlook Is most dis
| courag ging, compared with what it was
/ month ago. II is still believed that the
wheat crop Will be a good one, but the
corn outlook is worse every day. with the
! possibility Of half a crop or even less If
/ there Is not "A heavy rain in very short
/ time. The cotton crop. too. is not doing
! wen. The financial situation is more a
! temporary affair, affecting New York
alone. bIt il is having bad effect on the
, stock market and may do much more
| harm before the situation is improved.
| Money was LOANED at ~ and ) per cent
| yesterday, but this seemed TO be a fcti-
! tiouS rate to a certain extent, as the banks
| are calling loans and insisting on smaller
/ loans on the granger and other railway
| securities. The bank statement bids fair
! TO be poor one again, and the in
! terror Is already calling for money there
Is little outlook for easy money during
the remainder of the summer and al
tumn- II looks now as if the interior were
| beginning its call for money to move the
crop earlier than usual, and this indi-
Gates that its demands will be large The
strike among the steel workers has not
been settled yet, and although there is
some hope of Il settlement. there is also
some chance that there WILDE none at
present, as was hoped yesterday morn
Ing The rate war may be settled quickly
this time, but, even as it is, it is not a
bullish argument.
Quite as much as these matters, how
ever, is the fact that prices in a vast
majority of railway and industrial Sc
curltieS arc far too high for the things
they represent They are prices that
discounted the finest Of crop conditions
in combination with a completion of the
community OF interests plan to the entire
satisfaction of Morgan and Hartman,
and a continuance of undisturbed pros
perity of the finest kind. II is needless
10 say that all these things are not likely
to come at one time and that therefore
prices have been far too high, from 10 to
50 points too high in fact.
Such being the situation. it was not to
be expected that there could be a con-
tinuancc of the recent record-breaking
prices for long. Careful people have been |
weeks, and in fact ever since the rally !
from the big break in May. The break !
has come. and il has been a bad one. |
almost as bad as the first, though it did /
little inducement to buy stocks. There |
are likely TO be rallies. as there was yes /
terday afternoon, but the chances seem |
TO favor stiU lower prices rather than any |
advance Of Importance. 1t may be that |
there win be a dull market with little of |
Importance in either direction for the
probably be downward Stocks should
not be bought except on the sharp de-
clines and then only for "a turn"
The grangers were the storm centre yes
terday. Rock Island was hammered ter
ribly and at one time sold as low as l33-
ST Paut went as low as los. AIcllSon
common dropped to 73, and the preferred
to 81 and a fraction The Pacific securi-
ties did little better. A heavy rain might
help these securities handsomely for a !
time and their friends are hoping for
news of this kind. On the whole, however
there Is little reason to believe that the
group viii get back to its recent highest |
level for a long time 10 come, If ever. The
prices Of the early part of 1901 in the
grangers may be the record for many
years. as those Of twenty years ago were.
md hnw To Ea b ferE NmGg
during the present prosperity movement
they may not come this year.