The daily morning journal and courier., 1902-08-19

going to show that the expanding needs of the circulation are making increas-
 ing threads upon banking reserves.
 The continued transfer of credits to
 foreign lenders through the medium of
 the exchange market mitigated the
 anxiety over the money outlook with
 out entirely curing it. The response of
 the London discount market to the
 American borrowing demand gives
 warning that the process may be
 checked by bringing the interest rates
 of the two centers to parity. In the
 local money market the banks very
 generally marked up their rates for call
 loans to 41a per cent, and the rate
 touched , per cent. during the morning.
 There was less demand for commercial
 paper, and the rates for time loans were
 firmly held at per cent. for all periods.
 Reports from interior monetary centers
 were of a firm tone to the money mar
 ket, and large demand from smaller
 town and country places for currency,
 indicating the nearer approach of the
 demand upon New York reserves. New
 York exchange at Chicago continued to
 droop and was quoted at 10 cents dis
 count, compared with 20 cents premium early last week. The New York sub treasury is contributing slightly to the local money market by reason of the full tide in the monthly pension pay
 ment.
 But the recent daily deficit reported by the treasury at Washington gave
 place to-day to a surplus of several hundred thousand dollars for the first ! day during the current month. This recalls the course of the government
 revenues last month, the deficit having reached nearly $13.0o0,0O0 about the
 middle of the month, but falling to SI,- 800 900 by the end of the month. Sat urday's treasury statement showed deficit for the month to date of S2,15l,- 327 compared with a surplus of more than half a million for the correspond ing period last year. The decrease in ESN6Huc tuuo AcAA SAAtS
 by reason of the repeal of the war taxes has reached $2,401S44 compared Wlth last year. while the customs receipts this month are $2,5S6,324 greater than
 last year, and the total treasury re- ceipts have expanded this month $l,222,- 195 over last year.
 It is only, therefore, by reason Of an increased months expenditures by the government of $4530,000 that the money market has experienced any relief from the drain caused last year by the gov ernment's surplus. Whether the in- l creased rate of expenditure of the gov ernment is likely to be kept up is a 1 problem much discussed in Wall street, owing to the approaching depletion of | banking reserves.
 Besides the local money situation the | market was depressed by selling of | stocks for London account, owing to | hardening money rates there.
 | The net earnings of railroads for June | reported showed some decline in the southwest, owing to shortage in the corn movement. and intimatiof1s were given of probably similar results for July The coming retirement of the | president of the United States Steel corporation had some influence in the
 general market, although the stocks of that corporation were but little affect ed. Offsetting factors in the heaviness of the market were the strength Of Louisville and Nashville on supposed progress in the financial readjustment. ! in Toledo, St. Louis and Western on
 rumors of Vanderbilt control, in Texas and Pacific on the alleged seeking of control by St. Louis and San Francisco, I in Chicago Terminal stocks on rumored
 plans of new tenants, and in a number
 of minor specialties. The closing tone
 was dull and heavy.
 The reduction in the yearly interest disbursement on the Central of Georgia | first incomes weakened that group of
 stocks and had some sympathetic effect | elsewhere. Total sales, par value, $1,- 7700O0.
 United States refunding twos advanc-
 ed E and the new fours A per cent. on the last call.