New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-05-23
MONEY AND BUSINESS.

MONEY AND BUSINESS.
Sales of securities at the New-York Stock Ex-
change have again fallen to a very low point.
comparing most unfavorably with the CORE
spending week last year; yet the duness is not
accompanied by Generalization, and there are
frequent evidences of fair support. Monetary
conditions have no direct influence. time accom-
mediation on good collateral being available on
easy terms but It is probable that the heavy
outgo OF gold is having a sentimental effect
The sharp advance in wheat depressed granger
shares, but otherwise there was no logical ex-
PLANTATION Of the narrow fluctuations that oc-
CURED Some recovery in Steel stock lifted 1t
slightly above the bottom record. and this was
probably due TO an oversod market rather than
to any news pertaining to that industry While
there was no encouragement in reports OF earn
ings 1t is probable that present losses have been
fully discounted. There was no especial activity
in the bond department. United States Steel 5s
attracting the most attention. but on the curb
there were large sales of the new japanese 6s'
The sixty leading railway stocks are averaging
about SO share lower than a year ago. while
the ten industrials SIC lower.
Thus far the actual advance in the money
market has been small in proportion to the
amount of gold sent out OF the country. II the
movement continues much longer however. and
the associated banks have their reserves cut
down to an unsafe point. It viii be necessary TO
call loans freely. and rates will respond. AL
ready there is evidence of what is expected TO
happen in the indisposition of the banks 20
make long term loans. The future is sufii-
GENTLY uncertain 10 make IT somewhat unde-
srable to tie up large sums Of money until well
into next year. Although the banks have bene-
fitted by the hardening of rates. II is difficult to
figure out profit on transaction in which the
bank pays per cont for trust company's bal
ance is then compelled to hold - per cent
reserve. and then gets only Ia per cent for the
remainder. More gold has arrived at the Pa
cifc Coast from Japan. and 1t is probable that
more Will be shipped to Paris on Panama ac-
count Rates Of foreign exchange hold remark
ably firm considering the specie movement, and
there is little lending OF foreign funds I'm this
market through the sale of long exchange
Local associated banks improved their position
by large contraction of loans.
While IT is possible TO detect slight improve
ment in the tone of business, II cannot be said
that actual transactions have increased or that
the level Of quotations is any higher. In most
sections OF the country spring trade has been
deferred beyond point at which the loss might
be recovered, and consequently dealers will be
either forced to carry large stocks Of goods
or dispose of them by Improbable bargain sales
Fortunately. the spirit OF recklessness
curbed some time ago. and there was less ex-
cessive buying than usual in anticipation Of the
trade which has failed to appear. There is one
other factor in the trade situation that must not
/ be underestimated-the purchasing power OF the
nation has been weakened for several months by
/ the enforced ideness of thousands of wage
earners and smaller pay for other thousands. 1t
will be necessary restore activity at all these
mills and factories in order to bring back
NAL conditions 1t may not be necessary to re-
turn to the unprecedentedly high wages. nor
will It be essential to advance the level of COM
modify prices TO the top record so long the
ratio between the two makes it possible for all
! the people TO consume the necessaries of life
| freely
! A violent advance carried May wheat at Chi
cago above the dollar mark" and all other
markets responded There was nothing in the
statistical position the demand from consumers
the weather reports from the farms to ex-
/ plain the sudden increase in interest; but when
! the market showed its first distinct tendency
| upward there was a great scramble to cover
! short contracts, and the volume OF speculation
/ was larger than at any recent date. Exports
! from the Pacific Coast show some Improvement
| but the outgo from the Atlantic seaboard Is in
significant, and the total from all ports of the
United States for the week only about one
! fourth large a year ago. Similarly I'M
satisfactory comparisons are made in the for
! elgn demand for corn. although some European
! purchases OF December options promise In
/ creased movement in the future. There is no
evidence that the mills will consume cotton at
current quotations. and spot prices have de-
clned still further. while the next crop options
are about two cents cheaper Port receipts are
light, but that is to be expected; and at the cur
rent rate of consumption there would be enough
| to go round If interior stocks should prove TO
be completely exhausted.
| 1t is harder than ever to find signs of improve
ment in the leading manufacturing industries
There is more idle machinery at cotton mills and
practically no demand for goods at first hand
! except such small orders would naturally ap-
| pear in a market established the hand-to-
mouth basis. Regular jobbing trade will not
be helped by the coming auction. which will
probably provide some attractive bargains AL
| though little better inquiry is noted for staple
woollens. there is still large percentage OF idle
machinery at woollen mills Bad effects of I'M
seasonable weather are particularly noticea BILE
| In the opening Of new lines of carpets. Actual
| shipments of footwear from the shops have not
! increased. nor is capacity more fully engaged:
yet sentiment is improving because of a little