New-York tribune., 1901-09-09
MONEY AND BUSINESS.

MONEY AND BUSINESS.
grateful people. rejoicing in the hope that
national calamity has been averted, can view
with equanimty the decline in prices of secur-
tiles. Investors in railway properties know that
intrinsic values are unchanged and enormous
earnings assure continuance of dividends de-
spite the setback which occurred during the
short session on Saturday. There was the Gus
tomary scramble to dispose of poorly protected
stocks, while many were ready to assume obli-
cations the short side Of the market. Such
calculations were almost frustrated by the
strong support given by public spirited citizens
but when the recovery was making distinct
progress the weekly bank statement appeared
and proved too much for agitated traders
Final prices showed decline of So 50 share
for the average Of sixty most active railways
So 81 for industrials and S. AZ for city gas and
traction properties. Changes from the previous
nights closing smaller than many feared
and emphasize the strong basis upon which the
market has become established. Had the shoot
ing occurred during business hours. a serious
panic would have been probable, but the oppor-
tunity for calm deliberation by the public and
careful plans by leading bankers prevented a
wholesale slaughter of prices and many in
solvencies.
Representations regarding averages of the
loss of S1OOOOOO0 in cash and half as much in
surplus reserve exceeding the worst estimates.
Shipments to the interior and Treasury absorp-
ton assured a moderate balance against local
institutions, but transfers of gold received on
the Pacific Coast were counted upon to mitigate
the evil. A striking similarity is noticed in the
bank statement Of the same week in 1899. Yet
how different the financial situation! Strin-
gency was probable two years ago because for
eign banks in no condition to stand a
drain Hostilites about to suspend gold
mining in the Transvaal. whereas it is now
about to resume. All the leading banks of the
world, except those of Russia, hold much great
er reserves. In two years the trade balance on
merchandise account has made this nation
$1,2000O0,000 better off in it's International
financial relations. and it would be easy to draw
from abroad the trifing S30.000,00 customarily
required for crop moving. Gold in the United
States Treasury exceeds S520,000,000 for the
first time record. and the money in circula-
tion is only few cents per capita below the
top record. touched seven months ago.
According to The Financial Chronicle
1O425,141 bales of cotton were picked during
the season just ended. This increase of about
million bales over the preceding crop is much
more than was indicated by widely circulated
reports of injury when the crop year was young
and should be lesson to those who are inclined
to anticipate a shortage this year. The last
yield was only 100000 bales less than the
phenomenal production in 1899, and so far in
excess of requirements that the visible supply
of American cotton at the end of the year was
10000 bales greater than at the beginning
Northern spinners purchased less raw material
than in either of the two preceding years.
Southern consumption greater, but this is
by no means an encouraging fact as supplies
Statistics of spindles not helpful; an in
crease of 1,279,32O at the South merely showing
an unprecedented expansion of capacity far
outstripping the demand. The industry is con-
sequently handicapped by the increase in ma
chinery to 20S69S35 spndles that cannot be
fully employed, Notwithstanding improvement
at Fall River and higher prices for print cloths.
Gains in other textile industries have been
more pronounced, the woollen division showing
greater animation each week. Few idle wheels
are reported at any of the great manufacturing
centres and fundamental conditions are espe-
cially favorable as raw material has of late
been at the lowest point for four years. Re
v1va in the goods market now secure a
start with better prospect OF profitable opera
ton a heavy clip is being marketed, but
much is in the hands of dealers who have great
faith in the future and reject bids at the cur
rent level. Another week intervenes before the
London sale can affect domestic markets. For
many weeks conditions have been prosperous
al shoe shops and reports of no change all
that can be desired In materials there is a
steady hardening, hides commanding the best
prices of the year and leather averaging higher
than at any time since March. Every day idle
capacity at steel mills decreases.
An abrupt fall in exports of wheat and flour
was not surprising in the light OF record
breaking shipments during August holiday
helned curtaf the movement. while IL is still
impossible to secure a normal outgo from the
Pacific Coast. Liberal interior receipts and an
increase in the visible supply were calculated to
depress quotations. especially crop news was
most encouraging for the current YIELD and
preparations for planting the next winter wheat
crop proceed favorably. Holders of grain look
forward to a demand that will absorb even the
unparalleled supply. and with prospects that
stocks will not be heavily swelled at the end OF
the year there is inclination TO let the mar
ket sag. Compared with the general range of
staple commodities. II is obvious that the lead
ing food product is by 10 means high. As TO
corn the situation is widely different Though
the decrease in yield is less than early estimates.
there is a curtailment which promises to reduce