The morning Astorian. [volume] (Astoria, Oregon) 1899-1930, 1907-09-29

NEW YORK. Sept, 2s.-The week has
seen no change of moment in Stock Ex-
change circles. As was to be expected,
the markets from day to day this week
proved a fairly favorable one for traders
fluctuations covering fairly wide field
as a result OF the natural influence OF
day to day happenings. But fundament-
al conditions remain unchanged, partic-
aIsriy as regards the money situation.
Secretary Cortelyou. it is true, has by
his timely use of public funds removed
the fear of extreme stringency; ne has
NOT. however, been able, anu probably
will not be, to more than temper thel
strain caused by the permanent locking
ND of capital resulting from the tre-
neaduous business and industrial ener-
~ that has marked the last few years
of aureasoning optimism and unregu-
lated expansion. Money is unquestion-
able scarce, with the prospects of con-
tinuing so at least over the turn of the
yeir. The situation is we'll illustpted
by the difficulty that practically all
large mercantile establishments are ex-
periencing in discounting their paper,
very close to I per cent being the min
imum requirement from the largest and
strongest houses, with corresponding fig
ures, amounting in instances to prac-
teal prohibition, for houses under ordi-
nary conditions considered strong, but
mot strong enough to receive aecommo-
dation when money can readily be plac-
cd on safer basis at equivalent rates.
This Is feature fraught with danger.
The eomercial paper strain is one OF
gradual development. Money has for
so long time been active in New York
the financial center, that the necessities
OF many of our large mercantile houses
were about sixty to ninety days. ago
financed by out -oftOwn, and especially
by Western institutions. 1t was quite
natural those institutions should only
discount maturities that would allow
the immediate unemployment Of their
funds when the crop financing period
arrived, and as that period is now at
hand, the mercantile borrowers are being
compelled to take up their paper and
are experiencing unusual difficulties in
replacing it. They are compelled to ap'
ply to New Yark institutions for that
purpose, and lenders here have had much
more than they could handle without
taking up the additional burden. We
are experiencing national-an inter
national-scarcity Of liquid capital and
must be content to enter a period Of
Test and recuperation after the long
period Of exhausting, unbridled finan-
sial, industrial and mercantile enthusi'
asm and hysteria through which we have
passed. Wall Street, the nerve center
Of the country, was the first to realize
the necessity Of contraction-its func-
lions gave the necessary foresight-and
it is but natural that there should be
a corresponding rcadju8tment Of indus
trial and mercantile energy-a read
iustment that from a broad standpoint
i al once natural and necessary ami
ane that will prove beneficial.
The annual statement Of the Comp
trolIer Of the Currency Oil the condi,
zion Of all national banks Of the country
under the call Of September j. an eX-
egptiopaIly important one. Compare
Sons are available with the figures Of
BGsy 20 this year ami September 4 last
year. In the case Of the former the
oans and discounts show the large eX-
pansion Q, 47 million dollars, while the