The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1903-02-15
THE EDITORS VIEW
a Review of the Weeks Treding by the
New Yok Evening" Post.

r.
Especial to The Times Dlspatch.)
NEW YORK, February 15.-The Even
ing Post, in its weekly review. says:
Expension of bank loans this week,
as reported in to-days return, follow the
usual precedent of the season.
They increase $l1,274,oO0, which is fair
" close to the average of this week in
other recent years.
Since January opened. the loan account
has increased some $G3, 900, 600.
& In the same six weeks of 1902 they in
creased $50, 100000. in 1901 $1,000, 600;
which merely shows that, although we
are not now running in credit expansion
the pace of what Wall Street calls the
.'big year." we are doing pretty we'll.
The fact that the seasons loans, this
year and last, are so far below those Of
dulness' Which the Stock Exchangle de-
plores.
Had four millions shares changed hands
On the SIX past weeks, as they did two
any surplus reserve left on February
Very probably. part of this weeks in
crease in loans represents no actual
change in outstanding credits.
&, When money rates fall to this weeks
low figures, institutions outside the clear
Ing. house are apt to cease lending for
their own account, and to turn the pro-
ceeds into their clearing house deposit
tories. This increases deposits in the
pan pank , return as It does today, and, since
credits. 1t also increases loans.
To-days showing as to cash holdings
IS worse worse than the market had generally
at this period Therefore, although the
surplus reserve dclins three million dol
lars Il nevertheless is left at higher
IlsIre than that of the present week
last year: or year before.
Ga Neither the bank returns. nor any other
development In the news, affected the
Price Fsc OF stocks g. Trading on the Stock
whole, the market held reasonably firm,
'I l, with very trifling changes
Eaie snages. ior example which made
ket and which led in the movement in
prices. were dull like the rest, and closed
1t unchanged prices.
The fact that foreign exchange this
week. has passed beyond the high fig
are. Of the autumn and winter season.
suggests the question, what will really
Probably nothing sensational. We ship
BED $sG000G gold last February, $500
20 January Of 1901, and S.O0OOO0 in the
two months combined. the year before,
and no very startling consequences fol-
\ lowed.
The eve OF those shipments, as at the
present time the really significant phe.
to &c. but that the balance of interna-
tlonal debt stood so heavily against us
as to make the shipment profitable.
Regarded from one point of view, the
4 manoeuyres. which have for three months
past deferred such exports, when they
Y were really imminent. resemble London's
protective operations.
~ Ahes foreign exchange moves against
1,ondon. but London does not like to give
~ gold, the Bank of England tghtens
The money market.
TIC purpose OF that move is simply,
~ the higher bid, 10 draw capital from
foreign markets,
II France, for instance. lends to Lon
g CON norrowers, drafts on Paris are sold
AZ lombard Street, foreign exchange do.
cllnes ana gold exports are averted
Here In New York nobody raised the
discount rate; In fact, the Treasury and
Y tile Western banks labored TO lower IL
a But precisely MS English bankers ponted
out, after the bank rate rose on Oc-
3 tober "a thai the Continent was once
+ mora putting out loans In London. So
At has been the obvious fact with us
that New York was borrowing again from,
Europe. -
This same result appeared In the one
u caan as In the other. Each undortnkinp
4 ysas, however. sure TO be defeated, IL the
home money market dropped persstentjy
below the foreign rate. as has now han.
pened here. This Is why drafts on Lon.
q aon rise, the English capital. borrowed
CONTINUED on Thirteenth PageI