New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-05-22
MONEY AND BUSINESS.


the part of outsiders. but bore the unmistaka-
Bile trademark Of professional manipulation.
The volume OF sales limited and few
specalties again monopolized attention. Suisse
quently there appeared a gradual sagging ten
dency. and finally there sharp decline
upon the announcement OF the results at the
Northern Pacific shareholders meeting. While
there was nothing in the changes Of directors to
cause general collapse in prices Of securities.
it tended to unsettle confidence. especially
among the strong interests that had been sup
porting the market Moreover, the sharp rise
in grain quotations and unfavorable crop re-
ports were not adapted to encourage specu-
lative purchases. and the general impression
appeared to be that strong banking interests
had decided not to resist the natural tendency of
the security market. It is we'll to remember
that, even after the sharp decline the average
of the sixty most active railway shares is still
within IS a share OF the highest point on record,
attained when there was a wild speculative
fever that extended to all classes Of people
whereas the market must now look for support
within the limits OF extremely narrow field.
Government deposits in the national banks
were largely reduced on the first CALL and part
Of the second instalment has already bean paid
into the Treasury. while preparations for the
Japanese bond payment are being made; yet the
tone Of the money market has actually grown
somewhat easier. This unexpected result would
not have occurred had the activity and buoy
ancy of the security market continued. But the
demand for money on Stock Exchange collateral
and in mercantile channels has been light, and
quotations OF domestic exchange indicate that
there Is no further drain upon this centre from
agricultural sections. The tendency will prob
ably continue In this direction until autumn
harvest requirements turn the current unless
some unforeseen factor is injected into the
financial situation Treasury expenditures for
May thus far still exceed receipts and 1t is hard
ly probable that the deficit for the fiscal year
Will be much less than S30OOOOOO, although
there was a favorable balance of almost Sill
OooO'O last June. The available cash balance
was reduced to less than S13OOOO,OOO. but total
gold holdings are steadily rising to new records
for the season. Demand for remittance against
London sales of securities strengthened foreign
exchange, and II is also probable that there is
quiet accumulation of sterling IN preparation
for the Japanese bond payments
Commercial reports indicate that expansion in
the volume Of trade has received a setback
| through the prevalence Of Indictment weather
| This area of excessive precipitation and low
| temperature appears to extend over all parts OF
the country and 1t has continued so long that In
many cases it will be impossible to recover the
ness will make decidedly favorable comparison
with last years, and in some sections It is still
| possible to note an increase over 1903. AS a.
partial OFFSET to the restricted movement OF sea-
| sonable wearing apparel and other merchandise
| there has been a remarkable expansion in build
| ing activity. Extensive plans for structural
| work have been made. ana undertakings show
| remarkable progress in comparison with recent
years because Of the more rational attitude Of
! +1A lob,
| the expensive experience Of the past these or
| CARNATIONS have encouraged confidence on the
! part of capital and the year promises to make
remarkable record in the building industry
| Official returns indicate that foreign commerce
| is expanding in a wholesome manner. results in
| April about equalling those Of March. when al
| lowance is made for two fewer business days.
| After further moderate advance the cotton
| market became fairly steady, and there was APP
parently enough encoura cement in the excessive
rains at the Southwest to offset liberal receipts
and much profit taking by small traders here
! and at New-Orieans. Reports from New-Eng-
| land and Manchester testify to the liberal con-
| sumption now in progress. and 1t is practically
| certain that spinners will use more than the av-
! erage amount OF raw material during the re-
| mainder of the crop year. On the other hand
reports from the plantations Indicate that stocks
| on hand are still very heavy and aside from the
| area abandoned because Of floods there will be
| less than 10 per cent reduction in total acreage
While it is possible that much loss may occur
| during the remainder OF the season. It is also a
fact that there is all the reason to look for
| favorable weather after such misfortunes as
some sections have experienced. Winter wheat
has undoubtedly suffered some deteriora ton
from the brilliant outlook that was reported
| earlier In the season. but conditions IN the
| Northwest have improved
Manufacturing activity is fully maintained
and there is apparently no disposition to reflect
the quieter conditions in distributtve trade. The
| textile Industries have made distinct gains
woollen mills rejecting the remarkable strength
| OF the raw material. The London auction sales
OF wool closed at the highest point or the sea-
son. only about 10 per cent OF the catalogued
| quantity being withdrawn, and domestic quota
lions rose to the highest point of recent years
| Cotton spinners were also able to maintain a
strong position in view of their higher raw ma
| terial, and a considerable export trade might he
| accomplished If specified deliveries could be
made. An interesting development In connec-
ton with this is the talk Of q Chinese boycott on
American goods. which would be a serious mat
ter to the mills that have contracted for exports
! fully year in advance. An unexpected amount
| of duplicate business in spring and summer
| footwear has been received by New-Bngland
producers. which win delay the beginning of
work on fall orders and still further shorten the
period usually devoted to inventories Condi-
lions In the iron and steel industry remain prao-
tically unchanged. heavy lines of finished steel
being IN brisk request; but no new tonnage Of
| Importance in pig iron is expected until July.
Dollar gas for New-York looks very econom-