The St. Louis Republic. [volume] (St. Louis, Mo.) 1888-1919, 1901-07-08
CONDITIONS IN WALL STREET
CALL FOR UNUSUAL CAUTION.
Marked Decrease in Banks Surplus Reserve and Extraordinary nha
ton of Loans Challenge the Attention of the Conservative
Business Man-Immense Sums Of Money Will Be Needed
to Move Crops-Morgan straightens Out Tangle

it stood at s5,0S2,475. with loans expanded
to $76 100000. At the present time the sur
plus reserve is $5.2ll 520. with loans swollen
to $SS9. .0O0 In each year the reserve
shows marked decrease and the loans
heavy imitation over the corresponding
periods Of the years Immediately preced-
ing.
Parallel Years Cited.
1t will thus be noted that the course OF
events, monetary and speculative, is
practically identical this year and in 1893.
1t will be highly regrettable II the colnci-
nee of events between 1893 and 1901. so
maryelously alike up to the present period.
should extend further. The flrst step would
be revival Of speculative activity, such as
occurred in July and August. 1892 II that
takes place in q marked degree it will not
be difficult to read the future. Prices are
higher than ever before at this season;
there Is the promise of a bo,!ateous harvest,
calling for unusual requirements: the foreign
monetary situation in several quarters IS
distinctly bad. and the Government refund
ing operations and ong-continued bond pur-
chases render assistance through the
Treasury Department more difficult than
before. On the other hand, there are Ger
tain favorble DEVELOPMENTS. The nodihca-
ton Of the internal revenue will check some
of the drain to the Government: there are
expectations Of gold from Alaska; the klon-
dixie, British Columbia and possibly South
Africa. It is not well. however. to count
on contingencies as against certain facts.
II experience teaches anything. the existing
conditions make 1t as plain as the manu-
writing on the wall that the present Is
period for more than usual caution.
Good Crops Looked For.
As to the crops. there is little doubt but
| that the country will produce a satisfactory
! harvest. This. however, is the season OF
! crop scares and doubtless before the grain
(, is garnered Wall street will be again and
| again in the throes Of doubt over the out
| come.
| For one thing Mr.. Morgan's return Is
probably already responsible. namely, the
tardy official announcement on Saturday,
i by Judge E. H. Gary OF the United States
Steel Corporation, that TIE declaration on
/, the common stock is a Quarterly dividend.
| In the absence of Mr.. Morgan the directors
| made fine middle of the dividend business
| through which by the decline OF the stock
! and the selling Of disappointed holders. the
/ company paid pretty price. The belated
! official statement says: Apparently some
! misunderstanding has arisen in the minds
/ of the holders of the shares Of stock Of the
f! United States Steel Corporation concerning
the term Intended to be governed by the
| dividends declared at the last meeting OF
! the Board of Directors. The dividends
were intended to be quarterly dividends,
covering the quarter ending June 30. 1901.
The reported earnings of subsidiary com.
panies for this quarter of course are in ex.
cess Of the amount OF these dividends"