New-York tribune., 1903-07-06
MONEY AND BUSINESS.

| produces more or less advance in quotations.
| Sometimes the liberal purchases in anticipation
of this event bring the accelerated activity ana
! strength in June. discounting the investment
! buying in a speculative manner. This year.
however. the market has felt little stimulus on
this account Two explanations account for the
apparent inertia. Primarily the extreme con-
servatism of fnanciers prevents any sympa-
thetic buying of stocks and delays permanent
investments in the hope of more attractive
terms, and even more potent is the large sum
that has been absorbed by the new issue OF
Pennsylvania stock. The general commence IN
the permanent value OF this property, combined
with the low price at which the stock was IS
sued made it a very attractive propositioh'
Violent fluctuations in Hooking Valley provided
the only other feature of the last week Mucn
of the recent liquidation of Pennsylvania STOCK
estimated by experts at $2O,OOOOOO, was in the
nature Of short selling against whlch the ne"
stock will be delivered.
OF late the money market has presented many
unioue and interesting features. Early in the
year gold exports We're much smaller than III
1902, but recently the difference was more than
made up. The outgo has been checked Abruptly
by foreign buying Of American railways remit
tances in connection with subscriptions 10 the
new Pennsylvania stock and the higher rates
| for money. The last named factor has been less
| iOeN4-S
averaging less than 4 per cent for the week.
against AZ per cent last year and 6i2 per cent
two years ago. While the associated banks are
still in fairly satisfactory position, latest de-
velopments indicate that Canada and tho in
terror have drawn heavily on New-York. while
| Sub-Treasury operations were also against the
banks During June alone the government sur
plus on regular operations was about $13,7O0OOO,
in addition to nearly $400000O0 excess of re-
ceipts over expenditures during the preceding
eleven months Of the fiscal year.
Semi-annual dividend and interest payments
surpassed all previous records, with the single
exception of 1901, when the Steel dividends were
included. but have since been changed. so that
on a similar basis of comparison the returns to
investors are greater than in any preceding July.
How far the manipulation Of the cotton market
Complicates the financial situation is difficult to
determine BY the recent acceptance of all
notices 1t is stated that about $6OOOOOO was
expended by the controlling interest; but it is
obvious that bank is advancing money to
the full face value of cotton at present. nor is
it known what resources the New-Orleans oper-
ators have at command. Leading European
banks report a heavy expansion in loans and
reduction in gold holdings, due in large measure
to the semi-annual payments In far this
influence is factor. the effect will be tempo
rary. Far from being accompanied by any
stringency, however. call money at London de-
clined to 115 per cent. An event of some in
terest to international finance was the pay
ment Of the Chinese indemnity in silver.
Business developments of the week gen.
orally satisfactory, considering the interruption
of holiday. Heavy sales of fireworks and
sporting goods testify to the prosperous condi-
tion of the people, and the somewhat tardy ar
rival of seasonabe weather restored normal
conditions at the vacation resorts in this vicin-
ity. which were becoming demoralized. High
temperature facilitated semi-annuaI clearing
sales OF summer fabrics, and retail trade be-
came brisk. especially at Western cities. Re
ports from Chicago are most optimistic; build
ing permits show increase at Philadelphia,
where carriage builders are crowded with work;
lumber is active, and the wool market improved
at Boston. while Baltimore reports a larger
wholesale trade than last year. The labor situ-
alton is still the greatest cause of anxiety. At
this city 1t is estimated that the building oper-
ations interrupted aggregate S22OO0OO0 In
value. In addition there are struggles in the
textile industry at Philadelphia, in tanneries at
Milwaukee. coal mines in Alabama and In the
iron and steel industry at Pittsburg
A lower range OF prices for the great farm
staples is most encouraging. Liberal arrivals of
live stock and much larger hog packing at the
West than year ago brought pork products
nearer normal position, and revived export
buying Much good news regarding the agri-
cultural prospects produced a wholesome reac-
ton in wheat, but the level is still too high for
free shipments abroad. Estimates Of the worlds
yield promise that last years high record will
probably be reached Domestic flour mills are
grinding less actively. and the final figures of
exports Of wheat and flour will fall consider
ably short Of the preceding season. Although
the corn crop has averaged much later than
usual reports from the growing sections indi-
cate that favorable weather has brought the
yield nearer normal and few more weeks of
heat will probably assure another two billion
that def1es solution and disregards all natural
laws Stocks may be low, and the next crop
may fall below expectations but at present
prices consumption win also esta blish a record
Nominally the average of quotations for cot
ton goods has again advanced, but in so far as
new business is concerned the situation is with
out alteration. Buyers of cotton goods antici-
Fate readjustment of prices for the raw mate
rial when the new crop year opens and conse-
quently stocks on hand are being drawn upon
as long as any remain, Purchases are onlv such
as are needed for immediate consumption One
result will be sudden increase in buying de-
mand at some future date when the mills will
be in no position to deliver the goods while an
immediate effect is the constant increase In
number Of idle spindles. Conditions are some
what similar in a milder form at other tax+ua
plants, and woollen manufacturers are Ioolxine
forward with unusual interest to the next Ion
don auction sale, which viii have influence nm
prices here. Record breaking forwardings of
footwear from Boston testify to the activity NJ
factories, and prices are steady. Further evil
dences are seen that the limit OF the decline In