New-York tribune., 1902-05-19
MONEY AND BUSINESS.


market though not without many evidences OF
impatience. Investors showed no disposition to
sacrifice securities. but among the spectators
there less selling, both of long
stock and for the short account. One week Of
declining quotations, eliminating Monday
aroused many pessimistic comments, and it be-
came the mission of many writer's to predict
disaster. Most Of these gloomy forebOdings ap-
peared late in the week, after the situation had
distinctly begun to improve. AS a matter OF
fact, the week brought forth nothing new OF
unfavOrabe nature. The coal strike had been
considered possible. If not probable. for some
time. and in other respects the labor atmosphere
was more clear. Despite extremely cold weather
in some sections the crop situation also showed
Improvement while full statements of railway
earnings for the year thus far exhibit a gain
OF fair size the unprecedented year 1901.
1t is not easy to see any indications of approach
ing disaster. The former element OF overcapi-
talzation is still evident to many industrial
stocks. but harm from this direction is minim-
ized by the discrimination OF investors and the
banks. The stock market has undoubtedly been
dull. and It is surprising that severe decline
in quotations occurred, for lack OF buying Is
usually attended by more less forced selling,
with proportionate depression In values
With surplus reserves OF the associated banks
down much closer TO the danger line than is
considered desirable, IL natural that last
week should open with call loans high and the
banks anxious 10 strengthen their position Re
duction of commitments and some return o;
funds from the interior produced more ease.
the rate for call money working down from 10
per cent to about 8. while commercial and
other time borrowers postponed arrange
ments far possible, in expectation OF stih
more favorable terms. One recent reason for
oh he Of arising
from the abnormal position of sterling exchange
here and the weakening tendency Of exchange
on London at Paris This factor has become
less significant during the last week. owing 10
the fall in sterling exchange at New-York and
a rise in the rate at Paris, practically remOv-
ing for the present all danger Of gold shipments
on the triangular plan. NewYork has un-
doubtedly been borrowing heavily both I'm Lon
don and Berlin OF late. and when these inter
national obligations mature II Will be impos-
sible to prevent exports Of the yellow metal
In the mean time however. there viii be COM
pensating credits merchandise account 10
deduct. while new gold will be coming from
Alaska, and the removal OF the tax will
diminish the absorption by the Treasury which
has recently established such unprecedented
holdings Of gold in government vaults.
In the great staples there was more irregu-
larty. Cotton showed symptoms OF weakness
!
ulative market, and some unsatisfactory de-
velopments In regard TO expectation OF the
finished product. Low record prices of silver
naturally weakened the purchasing power OF
Far Eastern nations upon which this coun-
( try and Great Britain rely for much Of their
export trade In cotton goods Consequently the
foreign demand for raw material is smaller and
domestic mills also spinning less vigorous
! ly. Owing to the scanty supplies at interior
g,,1,G, oh.
progress of work plantations prices do not
react very sharply. Reduced acreage and the
official report of lower condition in winter wheat
States caused some advance in prices but the
marked improvement in weather since the date
| OF the government return would hardly seem
! to warrant much influence by that statement
A more reasonable explanation OF strength Is
! found in the large shipments abroad. where
! the many poor crop reports stimulated pur-
| Chases Domestic millers complain Of the poor
| demand for -four, but 1t is noticed that the
| Minneapolis production continues close to the
| figures Of output year ago. Corn held its
| remarkably high position with few reactions
| light stocks still preventing any aggressive
| operations for the short account, although prep
| arations being made for an enormous
! acreage this year. Exports insignificant
| from this country, amounting to but 3 or 4
| per cent of the movement in the same week
| VI lHe pTtttulHB year
| Although many sections report too low tenn
| pera ture for a full volume of retail sales in
| seasOnable lines particularly drygoods cloth
ing and millinery, there is no diminution In the
| jobbng trade, and wholesalers continue to
| make preparation for normal business. Re
ports OF slow trade and collections still
the exception. most leading centres doing full
amount of transactions and finding payments
| satisfactorily prompt Last years short corn
| crop might not unreasonably have been ex-
| pected to affect business adversely in the
| Northwest and other localities essentially agri-
cultural. but, on the contrary. those regions
make the most gratifying exhibits. Omitting
| the large Eastern cities, where bank exchanges
a year ago were swelled by abnormal specuIa-
! tion, the country's Clearings indicate that SOL
vent payments for the last week were much
! larger than In the corresponding period of anv
preceding year. Prospects for trade In the i'm
mediate future are not bright in the anthracite
during previous labor controversies will nrob
| ably put their business cash basis
/ AT textile mills the labor situation Is moro
| encouraging, many looms having resumed and
weavers are constantly returning TO work. Both
woollen and cotton goods find a ready market
| the absence of burdensome stocks SUSTAINING
the markets. Though shipments Of footwear
from Boston are about % per cent less than
q year ago, 1t must not be forgotten that last