The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1901-07-04
WORLD OF FINANCE
WEEKLY REVIEW OF CONDITIONS
OBTAINING IN CIRCLES OFF
STOCK SPECULATION
D1srRUsr IN WALL STREET
Feeling of Uneasiness Caused by
Seventh National BHnk Failure
and Big Strike in
Steel Trade.

NEW YORK, July S.AThere was a gen.
eral hope and expectation among profess
| sional operators in stocks that there
would be some revival Of speculation this
week. but it has been totally disap
| pointed 1t is not unlikely that quite ia
Vorable developments would have proved
inadequate to overcome the repressive
influence in stock operations, as on every
form of human activity, of the terrible
heat of the weather. Business, with this
exception was of such small proportion
that the price changes offer little sig
nitcance. 1t is no unusual thing for
! money to continue tight after the pass
ing of half yearly dividend period oW-
ing to delays in the distribution of re-
sources accumulated in loans to the
channels of the money market again
but operators for the rise this week
had to face in addition the discour-
! agtngly small demand from investment
sources in anticipation of dividend dis
bursements 1t is not customary for
prospective recipients of profits to await
actual money In hard to reinvest when
there is a rising market before them
This year the anticipatory investment de-
mand was conspicuc usly absent There
has been an undertone Of uneasiness also
as an oUtgrowth Of the discussion and
criticism of affairs Of the Seventh Ma
tional bank and Marquand & Co, whose
failures were of very moderate effect on
the market last week. The surface of at
fairs while quiet, has reflected that a
process was going on Of the overhauling
Of collateral in loans and the operation
of credits lacked the perfect snoothness
and facility which have characterized
the money market since recuperation was
fairly established after the May panic.
Certiication of checks for the large
amounts employed by stock exchange
houses has been less ready. Conjecture
regarding the character of collateral for
bank loans in general was stimulated
by this condition and also by the close
Of two banks in Buffalo, not in them
selves Of Importance. In the public discus
sion which has been going on the ar
gument has been frankly advanced that
some of the methods Of the failed bank
which have been most criticized and
which are admittedly in contravention
OF the statutes, are really essential TO
the conduct of business in the Wall street
DISCREET, and are entirely in common
practice among New York city banks
There has been, as usual. a bear contin-
gent Of professional operators ready to
make use of all available means to work
a reaction They have had on their side
the currency of reports in London re-
fecting on the security of New York
bank loans. The feeling thus engendered
has had the effect of REFRESHING rather
than depressing speculation. The hot
weather of the week has caused anxiety
regarding the crops, especially the corn
crop, and corn carrying railroads have
naturally been chiefly affected The IN
auguration, of a strike by the Amalga-
mated Association of Iron, Steel and Tin
Workers has giVenl pause to Speculation
based on the prosperous and active, con-
dition OF these trades. The real scope of
the subject is little understood
The semi-annual settlements in Berlin
nave afforded relief to the money mar
kets of the whole world, and money
has cheapened so suddenly in London as
TO threaeen Withdrawals Of French can
ltai invested there, but this ease of money
is considered transitory and the needs
OF the early autumn are already consid
cred both in London and New York. With
heavy crop to move large demands
Tor money from the interior are looked
IoT' Notwithstanding the present large
Supply or interior capital Part of this
capltal has, in fact, been invested II, the
new YORK money market while rates wero,
ettractlYe here, and Is subject to with
uraWaI TO meet interior needs. In this
connection the decline in CHICAGO a.,
change on New York this week to 95c
discount, compared with 25c premium
last week, Is significant The ability ~
foreign markets to meet New York's de-
mand upon them for gold when the grain
export movement grows. is a factor in
the money problem Of the future. It is
not expected that the slow liquidation
IN Germany has been completed yet, and
the shortage of her grain crop threatens
ontihueo depression, pointing to ac-
emulation Of idle money at banl,in~
centers.
railroad bonds and United States bonds
were as much neglected as stocks and
have moved narrowly