The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1904-03-01
General Financial News.

Preparations for the Panama payments
causing cratic movements Of currency" says
the wall-street Journal. AT this time in ordi-
nary years the winter inflow of currency from
the interior has increased and the spring out
flow is beginning. Now. currency is still COM
ing from the interior at the rate of nearly ST.,
oO0 900 day. while all the shipments the
interior last week less than s., O0O, 0oo The
supply of time money here seems to be in
cess of the demand. while at nearly all other
cities of the United States the money market
is firm. The postponement of the payment for
the Panama canal will simply protract the pres
ent abnormal condition Of the money market,
unless Paris bankers discount the future by
drawing upon this country for the funds that
are sure to corse as soon as the legality Of the
payment to the Panama Canal Company has
been settled The decline in the rate Of
change en- London at Paris indicates the recall
of money by French bankers from London. This
decline within the week amounts to three CEN
times or the equivalent Of 90 points in our quo
tations \ further decline of seven confines to
Changed would make ii possible to ship gold to
Paris from New York at a small profit If
sterling should advance here and decline in
Paris, gold exports would be fastened"
7 : +
Foreign banking circles have manifested con-
siderable interest in the japanese loan. TO
be issued in the form of treasury bonds bearing
) per cent interest" says the New York Post
'One hundred million yen $50 OOO has been
announced. and the government has been given
power to put out further issues they are
needed Residents of Toxic, Osaka and Yoko-
hama have already subscribed for rs. 900 600 yen.
or three foLrths the entire issue. other than
treasury bonds. treasury bills. and loans from
the bank direct, can be secured by the govern
similar to the British exchequer notes. and run
from six months TO one year. None have yet
been issued for war expenses and none would
az
should arise A well-kncwn Japanese banker
of this city says he believes the people OF Japan
could the government with what
ance ii needed. since funds derived from the
bond sales would be disbursed at home and soon
find their way again iLto the channels of trade.
No issues would be announced so close together
as to burden the market. or make it difficult
added that the bonds would be redeemed in Eve
years. principal and interest being payable in
gold Not more than :. 900. 900 5000 900 yen in
short-term notes generally outstanding at
one time. such issues being reserved only for
ment with funds pending the collection of certain
revenues.
The advance of the foreign exchange mar
ket during the past three four days in the
opinion Of good authorities. indicates the with
drawal of fluid foreign capital from the United
States TO take advantage of opportunities that
may arise upon the London Stock Exchange
and on the continental bourses rather than the
buying OF bills for the Panama payments. The
bankers who represent the benefciaries OF these
payments have. in the past. not waited to ac-
cornplish their purposes until the market had
been manipulated against them. While the rates
OF foreign exchange are now only at parity. they
/ are higher than they a week ago. Rates
/ of exchange are expected TO advance to very
near the gold export point by the time when
! the Panama payment is to be RENTED. And
az the demand for remittance this account
should be synchrOnous with a more urgent de-
other accounts it might we'll happen that II
/ would be cheaper for some people there 10 ship
/ gold abroad than 10 ouy olis ibis gold viii
nav
ment which is to be taken from the treasury
vaults.