The Evening statesman. [volume] (Walla Walla, Wash.) 1903-1910, 1907-02-27
CleW'S Weekly Financial Review



NEW YORK, Feb. 81. Speculative
have had another week of irregularity
and weakness on the Stock Exchange.
persistent scale, which encouraged de-
preston and more or less disturbed
general confidence. At the moment the
greatest element of weakness is the
continued issue of short term railroad
notes on an unprecedented scale. Since
the first of the year fully $500 900 900 of
new securities have been authorized. of
which more than 100000 900 represent
ed short term bligations-chiefy rail-
road notes. In the majority of cases
the latter are on account of the high
| rates Of interest generally paid. But the
issue Of these notes in such amazing
sums emphasizes unusual financial con-
dltionS. The requirements of the rail-
roads are urgent and must be satisfied.
while conditions in the security and
lii'lltS ill'tl htlS are oDN lotSlH ulldN VI =
able to the marketing of new issues.
Had it not been that a very consider
able portion of the railroad notes has
been successfully placed abroad the
market here would have suffered still
greater depression. Our bond market
is already glutted and weak. Forum
ately Europe. especially London and
Paris. has taken liberal amounts of
these new securities, thus avertng dam
gerous strain upon the local money
market at a critical period. and also
| materially strengthening the probabili-
ty of gold impOrts.-tO say nothing of
providing our railroads with funds to
carry out much needed improvements.
Money Outlook.
The outlook for the money market
continues perpleXing. Local bank re-
serves ought to have risen materially
at this period; instead they continue
! far below the average of previous years
/ at this season. This is disappointing.
| According to the last reports Of the
| national banks in the United States the
| loans stood on january % at the high
! figure of $4,463. 600, GOO. an increase OF
! $392 GOO 600 over the same time las
year. Furthermore loans at that date
We're nearly $3.50 000. 900 in excess of
| deposits. compared with an excess Of
only $11,o00.000 a year ago. y glance
| at the local bank statement shows that
New York is being largely financed by
interior and European bankers. local
resources having been long ago eX-
hausted. Very soon preparations will
! be in order for the usual spring de-
mands for money, which frequently
cause more or less pressure on this
market In this connection it is i'm
portant To consider the prospects of
| foreign assistance. In other words.
shall We be able to import gold in any
considerable quantity our January
imports of merchandise We're valued at
| SIZE. 900 600 or $4,000. 600 more than q
year ago. Our January exports of
merchandise amounted to $1S9,000. 900.
an increase of nearly $19,000,000 over
the same month last year. The net re-
suit of these movements was to lave a
! surplus of exports amounting to over
s62 COOS 900 this year, as against an eX
| cess of S64 100000 last year. This is
not an unsatisfactory result consider
| ing that the conditions here have been
favorable to expansion of imports and
contraction of exports. A potent ee-
ment just now, however, in the inter-