Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1903-10-07
MAINLAND FINANCES
MONEY IN PLENTY FOR
LEGITIMATE ENTERPRISES
REVIEW BY HENRY cLEWs-AGRI
CuLTURlSTS IN GOOD FOR.
REAoJUSTMENT
PERIOD.


New York date of September 10, says:
The events of the week have not
been OF a particularly encouraging
character. Damage to crops in the
Northwest, and fears that the Balkan
crisis might cause disturbing COmpiiCa-
tions in Europe started a fresh selling
movement, checking a revival OF con-
fidence and precipitating partial re-
turn of recent liquidation. A portion
of the selling was attributed to the
closing out of accounts which were
tided over the last heavy break; while
the bear attacks were further stimulat-
ed by unfavorable developments con-
trials, also the lower prices for iron
which those pessimistiCally inclined
profess to believe are indicative of bus
mess reaction. These are the only new
developments in an otherwise sound
situation. and to them alone is due
the Irregularities of the week just end
ed
Reports of crop damage seem to have
been exaggerated as usual. Injuries,
however. were chiefly local. and anoth-
er week of freedom from general frost
will put corn and cotton out Of danger.
Very likely some reports of damage
may be forthComing.. but the great
bulk Of the crops are already safe. and
each day materially lessons the posi-
bility of injury. Although the crops
are late, II must be remembered that
the last few weeks have been almost
ideal crop weather. unusually so for
september, and railroad managers as
Il rule are confident that the crops are
now safe IRON any important danger.
Having repeatedly dwelt upon the i'm
pOrtant benefits of satisfactory har-
vest to the country at large as well as
to Wall Street, 1t Is unnecessary to
further enlarge upon this issue. Suf-
flee 1t to say that agriculture is still
the backbone Of the country, and pros
perity to the farmers of the West and
the South combined will accomplish
more towards maintaining our national
prosperity for another year than any
other single influence. 1t would be
hiblN SObh lOl lult IMAM Nbhlu Dt Itd-
sonably expected TO have an encourage
Ing reports from the industrial world
Us we have from agricultural interests
| Indications of reaction in industry are
multiplying. They are not numerous.
nor are they at all serious. As rule
they are generally nothing more than
| q return from excessive activity and
excessive prices to mere normal con
| ditiOns. In the iron trade, for in
stance, there Is no serious cessation of
IaCtivity, and the decline in pig iron
only diminishcs an already large mar
gin of profit. The mon trade is still in
Il very prosperous condition compared
with ordinary times, and it Is only
when the boom period Is used as u
standard that present conditions com
pare Enthusiastically As a matter of
fact, the iron trade Is in safer con-
dition today than twelve months ago:
and, as soon as finished products show
& decline corresponding to the drop in
raw materials, more settled conditions
Twin appear and orders now held baCl;
Twill. be forthcoming. Nevertheless, the
! turn from the most remarkable boom
he world ever Witnessed has arrived,
land REIMBURSEMENT in values Is impor-
Iut!yo. In the opinion of some that re-
adjustment has gone far enough, while
others differ and the situation Is com
pIicated by the financial operations
connected with the enormous mass OF
securities newly created in the iron
trade.
No change can be detected In the
monetary situation. Crop demands are
beginning to assert themselves and
bank reserves to decline in COnse-
quenCe. Loans continue at high level
In spite of stock market liquidation,
but this appears to cause no concern
among bankers because of the strength
and character of their principal borrow
ers. The fall is usually a period of
stringenCy in the money market, and
the last two years have witnessed rates
as high as 10 to 20 per cent in the
first half of September; but this season
there have been no flurrics of COnse-
quence so far though temporary high
ler rates would cause no surprise No
extreme stringency, however, seems 10
be anticipated in spite Of unsatisfactory
features for the reason that specula'
tive demands are small and will not be
encouraged, and the knowledge that the
Treasury will liberate $iOOO0O0O OF
cash If necessary effectuaIly wards of
unnecessary concern. one thing is GER
tain, that the money market is AIDE
quate to all legitimate requirements
and that demands of questionable ma.
ture will receive scant consideration
Very soon we shall be importing golC
.rom Europe, the drop in sterling
Lhrlnginr MS nnarnr the mnNlnp nnlnL