The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1907-11-04
sso,ooo,ooo ON WAY
TO HELP MARKET
Gold Now on Ocean from Er-
rope Will Quiet
Conditions.

: NEW YORK, November 3.-Last week
was given over to the work Of reha-
Utilization of financial conditions, and
much progress was made towards that
end, although there remained many ele.
ments OF disorder in the situation. ow-
ing to tho dislocation OF exchange "a
cilities LII the money and commercial
markets. This was Inevitable from the
shock of the preceding weeks events
in New York, but the situation has
been we'll in hand. and success was met
in limiting the range of the disturb
ance and In the initiation of measures
10 insure correction and settlement.
OF these. the most vital was the large
amount Of gold secured from foreign.
countries for import. and now afloat
towards New York. The gold engage
ments have reached the neighborhood
OF $50. 900, 900. and in the course of
this week this broad stream of replen-
ishrnent OF the reserve fund will flow
into New York banks.
The feeling that this supply is Ell
route has done much to fortify conf
dence. but the actual reviving effect
awaits the arrival OF the gold. Mean.
while the example set by New York
tificates for the settlement OF ball
ances between the banks has been
followed by the great money centres
VI " GUILTY. ana mas S~a1eRuafueu
the banks from the strain induced by
the shock sent through the banking
fabric.
Dnnk Note Circulation.
Further important relief is looked
for from the facilities extended by
the Comptroller of the Currency for
the increase of bank note circula-
ton.
and municipal bonds for the govern
ment bonds held as collateral for gov.
ernnlent deposits with the banks, the
government Will be able to take out
aldltional bank notes. and this Will
AFFORD largely increased resources for
supplying the urgent requirements for
currency. which forms one Of the Sc.
verest trials of the situation.
nc conditions which have had to be
strong irnpetus to the. movement for
providing increased bank note cur
rsncy; and Is expected to induce early
forms OF bank note issues. The eXpe.
rience of the country in a period OF
high prospsritys and active business
position sound aud solvent in coming
almost TO a deadlock for lack Of
means to make banking resources
QUICKLY available for the needs of the
circulation has made a deep impress.
sion intoxicating the needs OF an emer-
gency. circulation which can expand
quickly in such time of need.
iTuSt SOmpuuleS.
In another direction 1t is practically
certain that measures OF correction
will be adopted for the trust ompan
position iniNew York, which is now
seen to have. proved the weak link In
tho financial chain.
Here again. the. solvency OF ~institu-
tons did not avail to meet sudden de-
. mands of deposttors without recourse
10 the banks for assistance, the assis-
tancc thus rendered proving the strain
that precipitated the crisis.
The clearinghouse banks for several
years have voiced their discomfort with
the trust companies position. which
was due TO great growth of these in
stitutions, and the undertaking of
purely banking functions in the TAX
ing Of large deposits subject to check
and to paymen on demand without
obligations to maintain cash reserves
In proportion enforced on the banks.
Efforts Of banks TO coerce the trust
companies in this regard led to the
withdrawal several years ago of most
#.H