New-York tribune., 1906-10-08
the half yearly dividend was less than specu-
1attve holders OF that security looked FOR, yet
this evidence Of conservatism is good sign. Re-
nor+s O, earnings indicate that the railways are

.St a,,6enee of conservatism is a good sign. Re-
norts OF earnings indicate that the railways are
doing we'll but it is probable that many Of the
present high quotations are similarly based upon
the belief that liberal increases will be distrib-
uted at the next dividend period. Closing prices
reflected the long delayed settlement of the iron
GRE deal.
After the special pressure occasioned Dy
monthly settlements there was some evidences
of an easier tone in the money market, partly
due to the fact that further engagements of
gold were announced. despite the expectation
that no more could be secured. Ine decline
in rates was only fractional. however. and ap-
piled chiefly to accommodation for six months
or more which could be had at the legal max
irrm rate of interest without the commission
that has been charged for some weeks. Rates
abroad are hardening. and the leading Foreign
banks are increasingly opposed to letting gold
come in this direction. while the Withdrawals
by the South and West continue heavy Con-
sequertly there is no immediate prospect or
any material cheapening of money unless eN-
teEsive liquidation occurs in the security mar
ket. The weakness of foreign exchange is stll4
one of the striking features OF this most re-
maTl.able monetary situation. as the demand
for remittance against imports of gold and in
connection with maturing finance bills might
naturally be expected to advance sterling rates.
go of grain and cotton, although the supply OF
commercial bills shows a wholesome tendency
to expand. and the most reasona BILE explanation
is that financers abroad expect this money
market to continue attractive for many months.
Scarcity Of money does not appear TO hamper
legitimate business. even at those points where
collections are slow. Unseasonably high tenn
perature has its drawbacks. but also facih-
tates the distribution Of lightweight wearing
ried over to handicap business next spring.
Meanwhile preparations for fall and winter
business proceed in so great volume that rail-
way facilities are inadequate TO meet the de-
nands of shippers and earnings rise above last
years figures. which in turn surpassed all
previous records. Even the most conservative
dealers who have persistently predicted a set
back and limited their orders to immediate re-
quirements are now beginning TO pay more at
tention to preparations for the future. and
manufacturing plants are extending facilities
which were considered ample for some years
to come The coffee market is still uncertain
regarding the effects Of valorization. but the
heavy movement at Rio and Santos indicates
that planters are striving TO anticipate the
proposed export tax. far possible The
large crop is also partly responsible for port
receipts 100000 bags greater than at this date
last year.
Cotton has occupied the position OF prom
inence in the markets for farm staples. prices
rising over IL cents in few days for the
most active option after a long period of light
trading and narrow fluctuations. Reports OF
damage by the storm started the advance. and
the publication Of several official and private
estimates Of condition added their supporting
influence, there being remarkable unanimity
in the estimates of deterioration in September.
The government statement made the loss 81
per cent, and this compiled before the
great storm struck the Gulf Coast, so that II
is reasonable 10 look for q further loss Of more
or less magnitude. Subsequently. the Census
Bureau issued its statement of the amount OF
cotton ginned up to September 25. which was
more than 100000 bales less than at the
date last year. In view of the fact that the
crop is known to be late this year, there
real support in this statement but the market
was in a mood to find reasons for advancing
prices IN everything that published Ex-
port buying was not stimulated by the violent
rise, nor did takings by domestic spinners IN
crease, but there appeared the disturbance in
legitimate demand that usually follows vio-
lent speculative movements.
fractional decline in many grades Of do
mestfc hides was only natural reaction from
the preceding violent advance. fundamental
conditions in the market remaining un-
more scarce and strong in response to good
results at the Paris auction. stronger tone
appeared in leather, very large transactions
being reported, and the only interruption to
work at the tauneries was due to scarcity OF
South American hides. Part of the capacity
of shoe factories is still devoted TO closing up
fall orders, but cutting has begun on spring
lines. and these varieties being sought by
Jobbers from all over the country who are
freely operating in the Boston market There
is still reluctance regarding the placing OF or
ders for woollen goods. clothing manufacturers
having not yet determined what styles will be
popular, and the result will be a great rush
al the end of the season. The advance in raw
cotton was just what was needed TO bring out
tardy orders for cotton goods but now that
deliveries are wanted by every one at the same
time there will he necessary delays and prob
ably higher prices.