The Atlanta constitution., 1903-09-14
DEMANDS OF THE CROPS;
BANKS WELL PREP AIRED

~~ HE annual crop moving period,
which by reason of our Inadequate
j currency system Is looked forward
TO with dread months b afore it is due,
promises to pass this year without Sc
tiously disturbing the monetary situa-
ton. There has been no time in recent
years that the hanks have been 50 we'll
prepared for the harvesting demands as
they are this autumn, thanks 10 tha
lethergy existing IL the securities mar
ket and the ample preparations that have
been made to avert n possible money
Ianic. September is ushered in with call
money at the nominal rate Of per cent.
u sufficient supply Of funds for long time
leans and with a surplus of more than
$40, 90 600 in the reserve Of the New York
associated banks.
Furthermore, the possibility OF 4 sud
den congestion in the money market has
been discounted by the action Of Secre-
tary shaw in the matter of the seErega-
ton Of internal revenue receipts. Advlces
II n Washington state that the secre-
tary IA IS already commenced the distil-
butim of public moneys among TIE ma
tiona banks in pursuance of his plan for
putting out $40 Q0oo00. 1t was expected
that he would not increase the deposits
IN lll4CldI }dit- Qc1LSi tOIl rs bi4eii il4tNi-
est rates had gone 40 beyond tho normal
leve but one OF the last things he d.J
befo,e leaving Washington on his present
trip was to designate five banks as Uni
ted states repositories. They have bean
gives deposits, Dut the amounts were
not arge in any individual case. Other
banls that have made applications are
exering influence to have their appIica
civ fn,-pr9 bi.A rTSiiprq-
ton
Tia fact that Secretary Shaw has al
reaoy commenced to distribute new de-
posts seems to Indicate that he win not
wait for q monetary stringency Lefofe
putting his special emergency fund Of
S40,00000 INTO circulation, but Nc VIII
prof. bly, prevent a stringency before the
squeeze for currency becomes severe.
Nam of the banks now applying repre-
sent that there is at present an active
dem I'D for currency in their localities for
movns the crops ana that II they can
have a share OF the governments deposits
q stingency ana abnornally nigh rates
of iterest can be ayoiGed.
II he present month should follow tho
precedent of September in otner years
the surplus reserve Will be considerably
reduced by October l. This is but the
natu.al result of the heavy Withdrawals
AANNNN~'NNNN~
the harvesting needs.
In The last six years September has
seen only two gains in the surplus Of
local banks. They occurred in 1901 and
1898. That Of 1898 is, however, hardly
WORT mentioning, as the gain then was
only 1896 100 Loans ought also to IAN
off considerably, 1900 and 1891 being the
only years in the past six when eXpan
sion was reported during September. IA
the anne years cash holdings have not
once Increased.
In September, 1902, loans contracted
S45, 81 ,20U but as cash holdings also lei.
S6,50tl50. Although cash holdings de
cline $3,544 800 in September, 1901, th7
surpls rose 81 81, 100, due to contrac-
ton # $27, 900 in the loan account. In
1900 oans increased only Sj21.b00, ana a.
cash holdings contracted $lSS30,90U, the
surplis fell off $14, 1875. .S75. Like 1902, Sep
enbr 1S99 witnessed declines of $39,-
1890 in loans. $2S 81, 200 in cash and
$7,466}00 in the surplus. Ia 1898 loans
conthcted SS6 100, which caused an IN
creas, of 1896 100 in the surplus, although
cash holdings fell $12.2 500 September
1897 had a decrease of SIS, ,563, 100 in the
surphs, due to a decline of $24 l65,S00 in
cash, and an increase of 81 702, POO in loans
IN ecent years September has been
gold IMPORT month Last September COLO
impos amounted to s5,000000 in lS0l
S11 30 900; in 1900 $7.S00000: in 1899. $4,000,
600. We may therefore look for a period of
gold IMPORTS during the next thirty days
The lew cotton crop will begin coming
IN frely the last part OF this month.
and he indications are that a large part