The San Francisco call., 1903-09-21
BUSINESS GETS A CROP SCARE

there was any distinctive feature to trade last
week it was the weather that swept
4 the East and Ali.de West. Excessive rains
flooded the grain fields in a number OF States where
the grain was in shock and prevented the final har-
vestng in a great many important districts, the area
affected being 100000 acres. To aggravate the
situation what was said to be the worst frost ever
known under similar crop conditions came along
about the same time, and what with the excessive
rains and widespread killing frost 1t looked for day
or so if the yields OF both wheat and would
be very seriously diminished This OF course would
mean decreased railroad earnings and correspond
ing depression in Wall street less purchasing power
in the great area known the wheat and belts
a smaller demand for merchandise there and
traction of credits. OF course this has its effct on
stocks and general trade as we'll Wall street paused
awaiting developments. But happily the scare passed
over with far less damage than apprehended and by
Saturday the country breathing easier again. A
2Coooooooo bushe corn crop was practically assured
which means great deal to the country.
There was an unfavorabe feature attendant upon
this reassuring news, however. 1t was a decline in
the stock market where buoyant tone had been con-
hdently expected follow the passing OF the crop
scare and was disappointment to the street That
stocks should 60 down in the face OF such cheerful
reversion of conditions not only bearish but
rather gloomy. Il the general opinion that the
public selling to realize, especially there was
a whisper floating about the street that the public
might look for the dsintegration in the distant
future OF several large industrial syndicates put
operation several years ago by certain large banking
interests. No names were mentioned, but the whis
per had its effect just the same the public sold
of the market, crop damage or no crop damage
AS far as distrbutive trade is concerned the best
reports now from the Pacific Coast and the South
west For a long time the Northwest sent in ex-
oellent reports but those from that quarter now are
deteriorating Bad weather along the Atlantic Coast
has also given trade a temporary setback in that
region. The manufacturing interests however re-
port plants well employed a rule. Even the tex
tile mills, which have for months been tagging be-
hind. are now reporting the wheels going briskly
Structural activity seems to be reviving somewhat
and the demand for lumber is reported good in most
sections Iron and steel quotations continue weak
with scattering recessions every few days, and the
mills report fewer orders their books than at this
time last year though the trade cannot be called dull
by any means Provisions have received check at
Chicago and the buoyancy there has been sue
ceeded by quieter and easier market The other
staples present new features worthy Of note
The financial side Of the commercial situation looks
well Fall is upon us, the call for funds to move the
crops Of the West has begun and thus far there is no
friction Secretary Shaw has sent some of the inter
nal revenue money into the West to help things
along and as the Western banks have been setting
aside funds for crop forwarding for months the
calls on New York fewer and for smaller amounts
than IN former years The West is growing more
able each succeeding year furnish its own funds
for sending the crops forward. but New York has
still the bulk Of the burden, though the Western
banks have relieved the tension considerably this
wear Next year they will probably do even more in
this direction. The country's bank clearngs made
better showing last week, the loss from 1902 being
reduced from over 40 per cent for the preceding
week to zzI per compared with 1902 with the
gains and losses about equally distributed among the
dozen or fifteen largest cities. The failures for the
week were zTo, against 100 for the corresponding
week IN 1902.
Local conditions remain unchanged Times are
good both in the city and country money is in ample
supply collections normal, there important
failures the farmers receiving rstrate prices
their varied produce rule, real estate continues
active at good prices and both the domestic and for
eien trade of the coast reported fine. Conditions
could not be better if made them ourselves. Pos
tibly they would not be so good.