The Washington herald., 1907-10-26

New York, Oct. Z-R. C. Dun & Co.'S
weekly review OF trade tomorrow will
say:
Monetary pressure eliminated this
week in the closing Of several banking
institutions, but a serious panic was
averted by the prompt action OF Mr..
Morgan. who assumed the leadership OF
a concerted movement to strengthen the
situation. while the formation OF q trust
company committee, similar 10 tho clear
ing house committee, did much 10 re-
store confidence The Secretary OF the
Treasury gave relief by largely increasing
deposits IN local banks. and announcing
that more money was available for that
purpose.
'Stringency in the money market has
been the worst feature OF the situation
for some time but IL Was greatly ag-
gravated by the withdrawal OF millions
Of dollars from the banks, many fright
ened depositors putting their money IN
safe deposit boxes at the time when
It is most needed in circulation
Retail Trade Active.
while the i'll effects Of this boarding
were felt in every branch Of business.
the inability TO obtain money was most
disastrous at the stock exchange, prices
Of the sixty most active railway shares
falling far below all records since 1850.
Trade reports are irregular, the events
Of the week at this city tending 10 cause
conservatism IN preparations for the fu-
tUre. but current retail trade is active
throughout the nation, and the leading
industries maintain active machinery at
most plants.
1T IS most encouraging 70 note in dis
patches from Pittsburg and other lead
ing centers Of the iron and steel Indus
try. that no cancellations have been re-
ceived. and that specifications or old con-
tracts maintain activity at most mills
and furnaces. The receivership Of the
Westinghouse companies IS regarded as a
temporary eXpedient, necessitated by
monetary conditions, and there is no evi-
dence OF weakened confidence among
manufacturers.
Cotton Mills Not Effected.
Cotton mills have orders so far ahead
that current events produce little effect,
but there IS an evident indisposition on
the part Of the buyer 70 operate further
into the future. while the producer Is
more anxious to do business. Quotations
for remote delivery are almost nominal.
and reports are circulated Of business af-
fected At radical concession. but this
probably refers TO special lines which did
not fully share the preceding activity.
Commercial failures this week I'm the
nj fssla
week. 243 the preceding week. and 2l4 the
corresponding week last year Failures
in Canada number %, against 45 last
week. q the preceding week. and p last
year. OF failures this week IN the United
States. 10 were in the East 81 South, IS
West. and 20 In the Pacific States, and ~
report liabilities Of 5000 or more, against
IS last week Liabilities Of commercial
/ failures reported thus far for October are
g, $685., against S7,4S5. .434 for the same
period year ago"
Financial Situation in Hand,
Bradstreet's tomorrow will say:
Trade and industry have tended to-
ward quiet. in sympathy with reports OF
financial unsettlement at New York and
a few other cities; the continuance OF
mild weather, affecting as IL does retail
distribution; the natural seasonable slow
ing down Of jobbing trade. and the in
! fiuence upon retail trade and collections
Of the continuance Of the holding move
ment Of crops. On the other hand. the
financial situation at New York. generally
speaking. seems 10 be well in hand. the
New York banks, under courageous and
experienced leadership. are meeting con
ditiOns as they arise with discretion; Te-
cent declines in prices of cereals and
cotton have encouraged foreign demand
for the country's products; the holding
of cotton, a great exchange-making me-
ium, is showing some signs OF relaxing,
and lowered prices of domestic comHO-
dities lead to the hope that the demand
Of a prosperous country affected by the
unduly high level Of some commodities,
will revive.
JObbers Profit by Reductions.
1T is an especially encouraging fea-
ture. brought out insdispatches 10 Brad
streets, that the countrys banks, gen
orally, are reported in a second condi-
ton, especial emphasis being laid upon
the strength Of the institutions at lead
ing Western centers. A few cities, as,
for instance. Chicago, report that job
bers have profited by recent reductions
in cotton goods; a similar policy is likely
to have similar results at other centers.
and with the probable advent soon OF
| seasonable cold weather and the en-
| larged movement for export Of the coun-
| try's leading products, an increased in
| flow of funds from domestic and foreign
sources with the Encouragement OF the
hitherto very heavy volume of imports,
| is apt to ease the financial situation
| Wool is quiet after q very active
trade, and the position OF holders has
! been greatly improved by the transfer
ence Of large supplies Of staple wool
sold to mills
Pig iron continues very quiet ard
prices are weaker. Southern pig which
had been pretty firmly held until re-
Gently, is quoted as low as Sl7.25 a ton,
and it is figured that 81 would be taken
! on anything like acceptable business.
Present prospects do not favor an early
resumption Of buying for next year. but
at the same time stocks are not heavy.
and the policy Of the furnaces is TO blow
out, rather than accumulate supplies"