New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-10-16
MONEY AND BUSINESS.

of transactions again fell short Of the CORE
spending week in 1904. Early In the week there
were several sensational fluctuations, new indl-
vidual records being established, but the gen
eral average for the sixty most active railway
stocks remained about 81 below the high record
of August g. 1t has been expected for some
time that something would happen to explain
the advance of Great Northern preferred. so
there was no surprise when the new issue of
stock was announced, by which the privilege or
shareholders to subscribe is equivalent to cash
dividend of about $37 For short time fluctu-
atoms in securities were affected by the address
of Mr.. Vanderlip at the bankers convention.
His conservative recommendations might be eX-
pected to carry much weight, because he fore
told the setback that the stock market expert
enced three years ago. While 1t is true that his
advice is almost as applicable at the present
time, as the level of the market is slightly
higher than in 1902, the other hand there is
not the large public interest in this market to
be affected by Mr.. Vanderlip's suggestions.
Large borrowing of time money at about 5
per cent testies to the general belief that there
is little reason to hope for easy money mar
ket in the near future. Balances that trust
companies and interior banks left on deposit
with local associated banks. upon which per
cent was paid, have been withdrawn for the
purpose Of making the loans direct, which
counts for the persistent decrease in the loan
item Of the bank statement. but does not
strengthen the financial situation. Much i'm
portance should be attached to the rising rates
Of sterling exchange during the last week, since
these fluctuations represent the heavy demand
for remittance in payment Of maturing foreign
loans It was expected that many of these bills
would be renewed. but European money rates
have been advancing of late and imports OF
gold appear - have received a temporary
check at least If the supply of cotton bills
as heavy as a year ago and in addition
there large supply Of exchange against
grain exports, it might be possible 70 maintain
the equilibrium of the exchange market But
the outgo Of cotton has decreased heavily.
grain does not come to the seaboard in suffi-
cient bulk TO satisfy exporters. and, the
other hand. imports of merchandise are fully
maintained.
Each week brings more encouraging reports
of the industrial situation, trade broadening
in wholesome manner and mercantile collec-
tons gradually improving despite the fact that
the crops are not to be marketed quite as early
as usual 1t is not possible to discern on the
commercial horizon any cloud of sufficient mag
nitude to cause alarm. and the comparative in
difference with which the public has received
recent disclosures indicates that confidence is
much too strong to be unsettled by a local diff
reckless imitation should apply TO all depart
ments of public life and not be restricted to
Wall Street alone Dispatches regarding the
irnpossibility Of securing adequate labor in
Of the leading industries and complaints re-
garding traffic congestion. in addition to the
latest official figures regarding the crops all
contribute freely to the sentiment of confidence
that is desirable. but which might be easily
carried to recklessness. Statistics for the nine
months ending September 80 indicate that build
ing permits issued this year were about $4,000
600 more than in the corresponding months Of
1904, and the proportionate decrease in mercan-
tile mortality. shown by failure returns, was
equally instructive.
In the leading markets for farm staples the
week has brought a slight advance notwith-
standing the fact that weather conditions were
emtnently favorable for securing both grain and
cotton Daily returns Of port receipts bear elo-
quent testimony to the efforts Of Southern plant
ers to advance quotations by refusing to sell
their cotton This teaches an instructive
lesson regarding the prosperity of these South
States. as such action would have been
impossible a few years ago. It is not surpris-
ing that exports make a poor comparison with
the corresponding period last year. as the cot
ton cannot be sent abroad unless it reaches the
sea coast in excess of domestic requirements
Incidentally, European stocks are by no means
depleted, and it may be that British spinners
expect to obtain more attractive terms by wait
ing. The export market for grain is almost as
important and 1T is stated that q large quantity
would go out. were it availa BILE. on the same
basis Manitoba wheat. which is now moving
freely. Competition of this nature is of only
temporary importance. and it may be noted that
shipments of flour and corn both show whole
some gain over last years figures.
Manufacturing conditions are essentially IN
changed except that some elements of I'M
certainty have been eliminated and there is less
complaint regarding the cost Of raw material
This change OF front is not due to any conces-
sions in the raw material markets, but it has
been found possible to secure Il commensurate
tries notably cottons and footwear. there is
much more anxiety 10 buy for distant delivery
than there is to accept those contracts Aside
from this feature. which causes the postpone
ment of many large contracts there is the sup
Iort OF a fairly steady distribution of spot
goods or shipments during the remainder of this
year. and 1t is probable that the scarcity of re-
mote contracts will reduce supplies in all posi-
tons from the producer TO the consumer which
would he a most gratifying trade situation. In
some earlier years of industrial activity prices
advanced with a vigor that encouraged over
production, and the long and weary period of
assimilation is still fresh in the memories OF