The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1902-09-18
Average Circulation
T of
THE JOURNAL
for month of August
55,457
Western Financial Strength.

( The treasury departure at Washington
reports the receipt Of letters from western
bankers stating that they see no particu-
lar advantage which will accrue to them
by adopting Secretary Shaw's plan Of
sending in the bonds they have on hand,
as security for deposits of government
funds to meet demands for currency for
crop moving purposes, as the west has
pleuty of money to invest in any legitimate
channel and they have no need Of help
from the treasury. This statement is in
r. accordance with views of many bankers
fin the west hitherto expressed.
The secretary of the treasury has made
ample provision for any extraordinary call
from the interior for funds to move the
big crops Not only has he invited the
national banks to take out more circua-
Ition by borrowing bonds and depositing
them in the treasury, but he has deter
mined to anticipate the payment Of inter-
Test due on government bonds in October,
at once, and to increase government de-
pesits in national banks. The secretary
has even stated his Willingness to accept
municipal or state bonds security for
the deposit of such funds in the nationals
in order to expedite relief when the money
market needs it, as government bonds are
40 high that there is no profit in buying
them to use as security for government
deposits.
The pressure which, a few days ago,
sent money rates in New York to high
figure, has subsidized, and gold tmporta-
Etions are already moving toward New
York and San Francisco. The pressure
was not due to the demand for money for
crop moving purposes altogether. as would
appear from New York statements, but
largely to the demand for speculative op
erations which were rapidly tending to a
dangerous bull activity in stocks, which
would probably have occasioned sharp in
convenience to the legitimate business
world, but the conservative New York
bankers put the brakes on by showing up
money rates and keeping money to loan
for legitimate business purposes. The
country Is SO unprecedentedly prosperous
that legitimate business requires all the
available money it can get. The active
demand naturally attracts gold from
abroad, as there Is better profit in loanine
! funds here than in Europe under present
! conditions. &E -, --. - fz
~ The purchasing power of the people OF
e this country is enormous, and has natu-
u rally affected prices, which always rise
IS on an extraordinary consumptive demand
e. as at present. The fact that savings de-
u posts have, during the past five years, in
creased by $s60,0O0,000 is sufficient proof
s$ of the peryasive character of the present
r term of prosperity, which has excited the
IN wonder Of Europe and led some Of oul
u Jealous critics across the water to assert
4 that our Doom will terminate in a few
months. The fact is, there is not the
slightest ground for such a statement. The
credit OF the United States is of the frs
class and second to that of no nation OF
the face of the earth. We are CONSTANT.
acquiring new wealth. The census show!
that, in the decade 1S9O-1900, the increase
in the total valuation of the country wa!
about $50, 900, 10000 and it has doubled
during the last twenty years. The fac
that the New York bank reserves hav,
been pulled down to a comparatively Low
figure est, 362, 100 last weelk) is only a sign
that capital Is In large demand for bust