The Cairo bulletin. (Cairo, Ill.) 1???-1928, 1907-11-25

WAY W " SDDtl ftNtBHllIOu vi lHt idN
that conditions have radically change
land that the sooner business begins t
Ircadiust itself to these new condition
the sooner will it be started on TIL
road to real recovery or course tht
abnormal stringency in money is still
the chief source OF difficulty. Unit
! that abates II is idle to look for any
Ichange for the better. Credit is bad.S
ldis)rganized and unable to take its
lpalt IN the nations transactions. Con
lsequently there is an abnormal de
mand for currency just when the Pre-
/ yailing distrust keeps alive the ten,l-
| oncy to hoard Not until the premiun
on currency begin to DO withdraw
and not until bank reserves begin tc
rise can any genuine Improvement be
looked for. 1t Is quito evident, now
shat the situation has passed beyond
the possibility Of relief by artificial
measures, that it must be allowed to
work out its own soution.a Events
must take their natural course There
IL alreadp a very large increase in
currency supply and We possess Al
enormous stock Of gold which proms
as to be still further increased BY i'm
portations from abroad AS soon as
business returns to the normal or set
ties down to the lower level We VIII
surely be confronted with an excess
siye imitation Of currency and All the
unpleasant consequences which that
Mas involve This, however is con
liugency SOMEWHAT remote and can be
best dealt with when it arrives, which |
may not be until the end Of winter or
The arrival Of spring During tho in |
.eTim we shall probably be fully occu |
tied with the ineitable process Of re |
into which we have plung |
I'd With unexpected force and sudden |
less incidentally wo may receive |
some encouragement by the efforts of |
congress to give MS a sound and elias |
lie currency system; for that is sure
o be burning and possibly the lead |
ny question in the coming session !
8 confused by a multiplicity of prop
,sitions and by the absence fo any
nifty of purpose or strong leadership;
nj something is almost sure to he
one to correct The Rightly OF cur
urrency system, which is now so
criously aggravating the financial sit
alton.
The nanicky feeling so prominent in
Vail Street two or three weeks ago
as now eXtneded in modified form in
b general business. Merchants are
ften seriously Inconvenience by the
in credit, buyers seek to
ANGEL orders and values are frequent.
' weakened in consequence Fortu.
ately there are few markets that are
and this prevents any
lch wholesale slump in commodities
5 occurred in securities. II any over.
apply develops it will come from
'ssened consumption; aud as steps
re already being taken to curtail pro. ;
uction in tho iron, cotton aud other
Idustrics that danger is being re, {
need to minimum. There is little /
)ubt that when tho monetary sit
alton improves. the conditions OF gen.
al business viii be found fairly sat '
factory and sound II is of course :
liycrsally recognized that costs of I
'oduction are too high aud must
duccd. II Is also recognized that !
@ are in for period of business de- !
-cssiou of greater or less extent. The !
'avv curtailmcnt of pig iron prodrc- I
IA. the partial closing OF factories.
ID the discharge of many employees
well as the postponement- OF many
terprises. are all uncontrovertable
licences OF reaction. But this can
endured and the necessary read ;,
stment effected without great in /,
ry provided it comes gradually and
generally foreseen. 1t Is the I'M
pected troubles that do the mos.
jury; those which are anticipated
n generally be guarded against
On the Stock Exchange there was
ntinued depression owing chiefly to
gh rates for money and to further y,
uidation. Time money is exceeding /,
scarce. rates being from to - h
r cent and even higher or course. I,
z forced contraction of credit Is ac- o
by frequent calling or shift II
: of loans, and this in turn cpmpcls
sieads stream OF liquidation. From d
e interior the demands for curroncs b
, atiil tHeiBtcni IN spite Of gold inn il
ris and large additions To the cirru
ion. About si3,0oo.000 OF gold have u
- far been received and the move m
mt Is now expected to reach $50 ~
i.cD9 the bulk of which we NAV 10
re to return next spring. A fortu-
r. circumstance was the refusal Of III
, Bank of England 10 raise its rate
m I TO S per cent such action hav. a.
been expected I'm order TO sfop :,
. American scramble for gold. Per
Ds London expects that our de-
uds are nearly satisfied. OF that we \.
q he successful in securing p sup 80
from Paris or that the situation r.
r. viii soon improve a ans rail-
have thus FAR escaped an 9 per cent to
al