The Cairo bulletin. (Cairo, Ill.) 1???-1928, 1904-09-26
TRADE OUTLOOK
MOST ASSURING
Promise Grows Brighter for a
Year Of Much Prosperity.
DISTRUST DISAPPEARS
RAILROAD EARNINGS AND BANK
cLEARINGS STILL INCREASE
CROPS ARE ALMOST
SAFE FROM POSI-
BlllTY OF DAM


AGE.
| Special to The Bulletin.
New York, Sept, 24.--An expan-
sion OF $i0,000,000 in loans and a CON
traction of $28,000,000 in surplus re-
serve within the short space of three
weeks were quite sufficient to check
speculative ardor in stocks, notwitn-
standing the redundant condition OF
the money market. Attention was
further arrested by the fact that the
bulk CT this increase in loans was due
10 the borrowings for speculative pur-
poses by large financial interests be-
fore the usual seasonal demands had
fairly begun. These latter demands
are now making themselves felt, large
sums having gone West and South
with prospects of increasing ship
ments for some weeks to come. The
elilux Of currency this season prom
ises to be large. Crops in the aggre-
gate are above the average, and 80
are prices; hence plenty Of money
will be required for their financing
Western banks are well supplied with
funds and are not likely TO be large
borrowers in the East; though with
drawal Of. their balances in New York
viii tend to further diminish the lat
ter's reserves.
Money Demand Great.
It is evident, therefore, that the
money market has limitations and
that the reserves cannot long stand
the rate of depletion which has been
going on for the last few weeks.
Money rates are already growing
firmer and il Ii quite probable that
banking conditions will soon become
moro important factor in the situa
tion than the crops. The, banks,
however, are stilkA in good position
and carrying a reserve much above
what is usual at this season. so there
Is nc Immediate reason for concern
on this score. Yet it should be re-
membered that tho loan account Is not
merely a record breaker but is also
ever $2G0,000,0 900 in excess OF the
same time in 1909, when both bust
ness and speculation were mere ac
tive than now. This Increase may be
partly due to the New York banks
carrying loans which had previously
been placed in Europe, or elsewhere;
but the fact remains that the accumu-
iation OF idle funds at this center has
provided means fog large specula-
tive movement in stocks that would
quickly come to grief If IL continued
ia grow AZ its recent pace. Possibly
the leaders OF the present movement
have provided themselves with sufii.
cient means in advance, or the loan
account might diminish should they
In selling any considerable
amount of stocks: but in any case,
and in spite of the reserve being large
enojsyh TO prevent present concern.
the cauuonary signals are up and il
would be folly TO ignore them too
long
Technical Condition Better.
The technical condition OF the
market Is still good and if anything
better than a week ago A very con
siderable amount OF realizing has
taken place which clarifies the csua-
ton and paves the way for renewed
buying on the decline. At the same
time the big interests which backed
the rise have been able to market
very little stock. much of the trading
during the last two weeks being by
nimble operators and the.'public ex-
ceedingly wary. about absorbing the
stocks which rich holders want 10
sell at an advance. For this reason
the speculative situation has not been
weakened by realizatlons,
as the bulk of floating
stocks are still held by strong parties
who arc under the necessity of keep
ing the market active and strong TO
distribute their holdings
a rise Of 10 to 80 points would seem
to amply discount all Improvement
arising from fair crops and business
recovery: yet stocks are 50 well con
centrated that those who have the
power can easily mark them up and
the prevalent opinion is that another
advance movement will be attempted
as soon as the reaction which began
Monday runs its course. The compar-
alive indifference Of prices 10 bad
news and the support and killful ma
We may Consequently
expeot a good trading market for
some weeks to come. possibly until
the elections. which, If they exert any
influence at all. will be discounted
well in advance
Corn Almost Out Of Danger.
Outside conditions copfin ie gen
orally favorable. Crcp scares have
been attempted. especially in corn. |
yet the grand results apparently are |
only moderately changed since last |
week. Corp. the most critical Of all |
crops. is now within few days Of |
being out Of danger: and cotton Is