New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1902-04-14
HIGH Low. April Apr $ ch'gs.l Sales,
'Ex interest
THE FINANCIAL SITUATION.

THE FINANCIAL SITUATION.
Stock market trading was active throughout
the list at generally advancing values Inc
operations Of powerful financial interests, espe-
cially in Louisville and Nashville stock, were
the conspicuous features of the weeks dealings
although quiet investment buying in stocks and
in bonds attracted considerable attention from
careful market observers. The dealings IN
Louisville and Nashville stock were not eX-
rlained by developments affecting the property
A contest for control, pure manipulation, may
have been responsible for the advance in this
stock but whatever the cause. the Improvement
was fully warranted by the actual worth OF tire
security II the Western speculative element
was the force behind Louisville, good judgment
was exhibited in operating in a stock OF sucn
intrinsic value. Louisville and NashVllle is
handling an enormous volume Of traffic. while
the prospects for business over its lines IN the
rest Of the year are exceedingly promising. The
companys physical condition shows the result
of the large expenditures on the property in the
last few wears and the road is now in position
TO meet a wear of depression without moving
out OF the dividend class.
The railways Of the United States have made
wonderful progress in the last few years. inns
fact is appreciated by the men who have re-
Gently been the heaviest buyers Of railroad Sc
,.rrities as instapced in the operations in Louis
vile and Nashville, Southern Railway. Rock
Island ST. Paul and the various southwestern
properties. The railroads in the South and
Southwest are making money. and companies
the shares of which We're q few years ago con-
s:dered worthless are building up a business
that means dividends for stockholders I'M
provement in the industrial position Of the
Southern States has come to stay, and operators
who are figuring on bear campaign because
they believe that railroad prosperity will not
endure making most unfortunate blunder-
There is no good reason TO believe that the
present wave Of railroad prosperity is nearing
the end. Indeed the general position of indus
tries in this country suggests that the present
situation is too strong to be upset. save by
most extraordinary and unusual developments.
AS recently mentioned in this column, this does
not mean that securities will advance without a
halt or that higher prices may be expected for
many of the issues that already selling at
quotations commensurate with their actual
worth. 1t does mean. however that investment
values are in no danger of collapse. The cheap
priced railway shares and the attractive indus
trials ought sell higher There are many
good Industrial issues backed by sound indus
trial enterprises and at remote period those
securities will be advanced to a level more in
keeping with their intrinsic worth.
General conditions affecting the actual worth
Of stocks and bonds are based on strong founda-
tions. and. barring widespread crop failures,
there should be no falling off in railway traffic
this year So far earnings have been extremely
gratifying In the country where the great corn
and wheat traffic is handled there is of course.
q hig decline in the shipments Of this class Of
freight but the general merchandise movement
IS heavy enough TO offset the effect of the light
grain movement influence on railroad
earnings The decline in grain traffic is reflected
in the country's domestic exports in the last
month Compared with the corresponding month
a wear ago there a decline in value of
SIS. 1eO 59l. of which SS95a:i24 was in bread
stuffs Exports of cotton were nearly Si.oeo,oo0
in value under the shipments OF March. 1901
From July ] domestic exports have declined in
value $50 S6S 19S from the same time last year,
while including general merchandise there has
also been decline as shown by official records.
The complete statement for March will be issued
to-rnorrow and comparison will he made with
a month in which with the exception of March.
1900 exports were larger than in any March on
record Exports Of general merchandise are
running well ahead Of imports, despite the in
crease in the latter. but there are so many lac
tors offsetting the favorable trade balance that
the country has not a heavy credit account
abroad The crop report, showing conditions of
April l. was under last years statement FOR the
same time but. as in 1901. there was bumper
winter wheat crop. a lighter yield will not be
OF adverse significance, unless all other crops
fail According TO the estimates based on the
oercentases Of conditions this years winter
wheat will reach 416o0o000 bushels. but II il
falls to 100000 600 bushels there will be no room
for fautfinding.
The local money market was firm, with cal!
rates averaging about 512 per cent. Lo1ns were
made in the week high per cent and as
low as 3 per cent the latter rate being reported
on Friday The improving tendency noted on
Friday foreshadowed. il was thought sood
bank statement and in this particular expac5a-
lions were fully borne out on Saturday, when
an increase of nearly 81 100000 in reserve above
legal requirements shown. Gold to the
amount of 50 100000 exported in the week
bat rates subsequently declined TO figures which
made further shipments of the metal improb-
able. Offerings of ninety day bills were quite
heavy in the week, bankers finding ii easier 10
borrow foreign capital than seek accommo-
dalton st home In London the Bank of Eng
land made change in its minimum discoun;
rate while open market discounts remained al
2s4 per cent. In Paris the open market rate was
2% per cent, and in Berlin and Frankfort l5sG
14 per cent.
BANK EXCHANGES; SALES RECORDED