New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-04-08

r,iqbt have seriously interrupted traffic. Gross
earnings continue 20 show large gains over all
preceding years the average increase or lO per
cent last month over the figures OF 1905 pro-
vidng a good margin for heavier operating ex-
rarses and necessary betterments. The an
nouncement Of terms upon which money had
basn borrowed by the Erie testified to the
pressurA that has existed, but did not disturb
the inward tendency of quotations, which was
greatly facilitated by the attitude Of the new
Secretary of the Treasury. A better demand
for bonds is good sign, and small investments
in all kinds of securities are indicated by nu-
roerous Withdrawals from savings banks. as
even "gilt edged or standard stocks now make
a much better return than the per cent paid
by the banks.
Mr.. CortelyOu came to the relief of the money
market so thoroughly that the first week OF
April brought the lowest rates of the year, and
call loans were made at per cent for the first
time in over two years. This is the more strik-
ing because stocks were active and advancing,
while quarterly disbursements took large sums
out OF New York, at least temporarily. But the
Treasury reduced it's net gold supply almost
S2OOOOOO0 by increasing deposits with the
banks and redeeming all the per cent bonds
that were rendered. Even more potent was tho
improved sentiment that accompanied further
announcement of methods by which maturing
bonds would be retired or refunded. On April
| the amount OF money in circulation was
S33 81 per capita, or within five cents OF the
highest point on record. and distribution by
the Treasury last week brought the average
to a new high water mark, even when full al
lowance is made for a growth in population
to S575OOO0 BY a curious coincidence the
national debt has been reduced and gross gold
stocks in the Treasury increased 10 such
tent that all bonds could be retired and still
leave S15OO0O00 in gold. This is a fanciful
comparison, but serves TO emphasize the man
ner i'm which gold is being accumulated in gov
eminent vaults all previous records for any
nation being far surpassed by the present ag-
gregate of over 1929 100000. Early last week
a New York banking house secured most Of the
gold offered at London and, following the pre-
vious weeks imports. aroused anticipations OF
a considerable movement But the sudden fall
in local money rates and advance OF two
points in sterling exchange made it unprofta-
BILE TO transport the specie, which was promptly
resold in London. Yet the double operation
strengthened confidence here and had as much
effect the money market as actual imports
of gold. The rise in exchange was not sensa-
tional being due to heavy sales Of securities by
London and the change in international parity
OF money rates
Speculation may provide cratic comparisons
of bank exchanges at New York but outside
the stock market each week records
good gain over last years cearings, which in
dcates that the nation is doing more business
The latest figures did not have the assistance
of higher prices. as commodities. on the whole
declined per cent during March in response
to the natural influence OF the advancing sea-
son on production OF dairy and garden prod
ucts. the spring schedule OF prices for anthracite
coal and lower quotations for staples in which
there is speculative activity. the latter being
due 20 liquidation OF holdings In order TO pro-
tect securities. Much encouragement may DO
found in a study OF bankruptcy returns for the
first quarter Of this year. Defaulted indebted
ness to solvent payments averaged only u
cents TO $1,000. which is a lower ratio than IN
the first three months OF any previous year,
while the average liability to each firm in busi-
ness Of S23 O3 was less than In any year except
1880 When the mercantile mortality is so phe-
nomenally low there cannot be anything very
disturbing IN the business situation.
Industrial plants are assured OF little inter-
ruption in the near future, order books being
well filed while trade agreements are rapidly
reducing the probability OF extensive labor dis
turbances. One OF the best developments last
week was the large purchase OF leather. This
business has been under discussion for some
time, and its contamination relieves pressure
in leather and hides that was forcing prices
down sharply, while It indicates that shoe man
ufacturers have confidence IN liberal fall con-
tracts, which have been coming forward slowly
Textile mills well occupied. and forward
business In woollens IS improving, but the
plants have provided for requirements OF raw
material for some time to come, and the new
season on the ranches opens with a lack OF
interest among Eastern dealers. Less specula-
tive inquiry for eottons IS welcomed by pro-
ducers who feared unhealthy developments and
subsequent cancellations. Jobbers are stil ur-
gent for delivery. and there is much complaint
throughout the country that drygOods cannot
be secured desired by the trade. The result
ing depletion OF stocks promises we'll for the
future and maintains quotations very Arm
More plans FOR mills and furnaces testify
10 the confidence OF the largest steel producer
contracts coming forward fully up 20 present
rate OF production. so that deliveries are still
far behind specifications.
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