New-York tribune., 1902-12-15
MONEY AND BUSINESS.
support.

Instead OF the dull. waiting market lnat was
generally expected during the closing weeks OF
the year. the combination of tight money and
| uneasiness over the Venezuelan outbreak pro-
duced a season of liquidation that carried sales
above a million shares daily, and depressed the
average of the active railways to about S1O2,
which compares with SIG q at the high record
established in September. Margined accounts
| We're wiped out in great number. and large
blocks of bonds were sold in order to protect
other imperilled holdings Declines in bonds
were less striking than In the other depart
ment. a moderate investment demand ap-
peared to support the leading issues. Trading
was heaviest in the Rock Island bonds,
Union Pacific convertibles and Wabash debent-
ures which have all been sem-speculatiye in
character. The situation in every way
abnormal, as intrinsic values have not fallen,
and those who were able to purchase stocks out
right will secure large profits early next year,
unless some unforeseen disaster occurs. Full
statements of earnings during the month of
November show splendid gains over the cor
responding month in any preceding year.
Heavy calling of loans Stock Exchange
collateral was necesstated by the effort of
banks to establish themselves upon frmer
footing. The recent disparity between loans
and deposits in the weekly report of the asso-
ciated banks has generated a desire to contract
accommodation, especially in connection with
speculation. Rates for money have been ad-
vanced, especially for short time loans. Even
six months money has been put on a g per cent
basis. and call rates reached 10 per cent. While
this contraction has been general on Stock EX-
change accommodation. commercial paper is
readily accepted the banks meeting all demands
OF mercantile customers. Transfers to the In
terror have continued, and It was announced
from Washington that shipments during De-
cember would probably equal those of the two
preceding years, or about S5,ooO.OOo. In addi-
ton there was another consignment of S10OoOoo
to Argentina, although the position OF foreign
exchange did not threaten any engagements for
Europe. Heavy imports OF merchandise made
a steady withdrawal into the Sub-Treasury for
customs, and the gross gold in government
vaults attained a new high record at S613, ,992,-
495
Domestic trade In all the leading staple lines
has reached large proportions. the arrival of
seasonable temperature and snow acceferating
purchases of winter clothing, footwear and kim
dred lines. This business frequently exceeded
facilities, and the fact again made evident
that despite the marvellous growth of transport
ing lines and terminals the development has
been utterly inadequate. Reports from all the
leading cities unanimous regarding the rec
ord breaking demand for holiday goods OF all
kinds, and 1t is again conspicuous that the
better classes Of goods sell most freely. This
situation also noticed last year and. as at
that time, bears testimony to the unusually
well employed condition Of abor A few small
controversies are reported at interior cities. but
taking the country whole there is very
little idleness while 1T is a matter Of general
comment that work on the new tunnel will pro-
vide a demand for worknen in this vicinity
that may be difficult to fill
While speculative activity In the great staples
is less of feature just now, partly because OF
money market influences. there is a notably lib
eral cash demand. and foreign orders are con-
spicuously heavy. Even at the high level of
prices, corn is moving abroad much more freely
than year ago. while the inquiry for wheat
and -four is large scale both at the Pacific
and Atlantic coasts This outward movement.
in connection with numerous reductions of
foreign crop estimates, has caused sharp
advance in prices, and producers eager to
sell, but frequently find transporting facilities
inadequate to reach desired markets. Despite
the large crop, oats are also commanding re-
munerative prices. The outlook is most favor
able for large current winter wheat yield, the
department placing the acreage at 100000
acres, while the condition is over &c. exceeding
even the good figure of two years ago. While
it is obviously much too early to ascertain any
thing definite regarding the final crop indi-
cations much better than heretofore at the
corresponding date Frost throughout the
Southern States has ended the work on planta-
tions. and some authorities are inclined slightly
to reduce estimates that the yield will reach
eleven million bales.
Textile mills have large orders hand and
find no difficulty in disposing of their product,
while distant deliveries Of overcoatings and
other wooens for next fall are advanced above
the prices at which similar lines were opened
year ago. Cottons comparatively quiet,
buyers holding to the hope that better terms
may be secured. AS this is dependent upon
cheaper raw cotton, the situation is somewhat
uncertain. Shoe shipments from the East are
smaller than year ago. but interior shops are
producing more freely, and. most manufacturers
have orders for several months While the hide
market has again declined sharply the season
able deterioration of quality is prominent feat
ure, and leather is not responding, except in
isolated cases In the heavy lines of manufact
ured iron there is continuance of activity roll
Ing mills and machine shops being worked to
the limit OF their capacity, except when IT is
impossible to obtain material This factor ia
still disturbing. although blast furnaces are pro
dLcing more freely and imports still arrive
B,llets are also coming from abroad while the
, level of prices is easily maintained Several
large buildings and bridges call for an abun
dance of structural steel, and there seems no
! limit to the quantity of rails. cars and other