The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1904-06-04
In Financial Circles.

Within the memory of financlers OF
long experience there has not been
g. time when the monetary situation
in our country was quite the same as
at present There have been many
alternate periods Of high rates and
low, Of money stringent and of plen-
titude; times when the outward flow
drained the countrys principal sup
ply sources, and times when a flood
of idle money came upon the reserve
centers; but there has not been a
time when, in the face OF a very fair
degree Of general business activity in
the country and heavy exports Of
gold, money still continued to pile
up so rapidly IN New York.
On April cash holdings of New
York banks amounted to 1895, 097,-
400. This was before the gold ex-
port movement began. The round
total of $6O,O00,000 went out, yet the
bank statement Of a week ago showed
$304,43O,7O0 cash in the banks-an
increase of $9,393,300. "
The heavy movement to Europe
has been more than offset by con-
tinued receipts from the interior. This
was a surprise to many shrewd east
ern financial observers, who had
thought the end Of the accumulation
at hand a fortnight ago, but evident
ly underestimated the extent of the
business recession now being felt
This recession, altho slight, Is very
n
some degree. There Is more money
now in circulation than ever before
about $2,516, 100000 in all. The coun-
try does not need so much money for
present purposes, and from every in
terror point a little comes out, tt
work into New York finally. Wal
street is not using it. If Europe were
having a period of unusual CONNER.
cial or Industrial activity, demand
from across the water would Absorb
much more of our surplus; but sew.
3 eral European countries are in much
the same condition as the United
States-business slightly lessened ant
the public inclined to show indiffer
ence to the securities markets. The
New York banks are carrying idle IL
their vaults amounts ranging from
100000 to $2O,OOO,OO0 loanabl,
money.
Three new labor disputes hav
arisen since a week ago. The lax
strike, meanwhile, has remained un
settled, but boats have been move'
out Of all principal ports, and it be
gins to look as if the masters an
pilots are gradually losing comman'
Of the situation. The strike has beel
of great benefit to the railroads, an
again the outlook for railroad earn
ings has changed, this time for tn
better.
A feature of note is the fact tina
the commercial agencies have begu
to take the business recession a littl
more seriously. For months their re
ports have dwelt principally upon tn
favorable things under or beyond i'm
mediate conditions, but this week
tone Of greater seriousness Is noted
This does not mean anything NOR
than that it Is beginning to be see
that business everywhere is NOR
quiet and running into extreme dull
ness in some sections, and that thi
may just as we'll be admitted.
Accompanying this, however, is 4
feature very gratifying-the fact tina
there has been no increase worth con
sidering in the number of CONNER
cial failures. For the past week Their
were 220, which compares we'll wit
226 the week before and 1873 in tn
corresponding week Of last year
Many were small failures and tots
liabilities were not heavy.
The thing to do from now on is t
discriminate carefully between tn
legitimate news bearing upon tn
business decline that will come alon
from day to day, and the extrem
pessimism that may be expected
show itself as the summer draws OF