Los Angeles herald., 1907-10-27

%, but
Sz54, ,709, 700,
.ow the legal
IT. While de-
- Glow the legal limit
c of remark, it is not
zig the crop moving sea-
.i leaves so large fund of
ne command of the banks that
ordinary conditions this would not
1clte any uneasiness.
The Indications are that the cash re-
serve of the associated banks will be
Kept substantially intact hereafter by
the importation of gold.
The sharp fall in exchange yesterday
which made impolsa lions of gol1 pf ssi-
BILE at profit, was not modified today.
Ii r.sulted in the announcement oy the
Naisenal City bank of the engagement
OF $1,000, 900 of European continental and
South American, ano runors of other
tngag agemeL:s Of tho yellow metal The
arga credits creates in favor OF the
United STATES by the movement OF cr' ps
and to soma extent cf securities, which
have been taken over at the present bar
ain prices will enable this country to
import go in considerable amounts
without resulting to the sale of finance
Lills.
The disposition of European banks to
curtail the acceptance of American
finance bills during the last few months
IS having at least one good effect-that
there are but small obligations of that
Find to be covered at this time, and
hence the credits established by the
movement of crops can only be met by
the shipment of gold to this country
London May Be Generous
If the Bank of England decides to re-
aIize the discount rate at the regular
board meeting next Tuesday, or earlier,
this may check to some degree the move
ment of gold toward New ork, but as
the English bank reserves are now large
there are indications that the Bank of
England will not interpose serious OBJ
stacles to the relief Of the American
market.
Secretary of the Treasury Cortelyou
caused the following statement to be
given out tonight: ''On the occasion of
a call on him this morning by representa-
tives of the New York clearing house,
Secretary Cortelyou asked that they con-
gey to the clearing house his deep ap-
lxreciation on behalf of the government
Of. the courageous and high-minded man
ner' in which they had upheld the inter-
ests, not only of the city, but in sense
of the people of the whole country"
Later Secretary Cortelyou called on ].
p Morgan and expressed in similar
terms his appreciation of the services
rendered by Mr.. Morgan and all who had
co-operated with him in meeting the
emergency.
The subcommittee of the directors of
the Knickerbocker Trust company, who
are hoping to bring about resumption
of business of the company, met in ex-
ecutive session today. fterr the meeting
Mr. Davies counsel for the company
said: "The committee met and after a
discussion decided on plan of reor-
ganization with the end in view of re-
suming business"
Carnegie Home, Not Worried
Andrew Carnegie upon his return from
Europe today said:
IT was delighted to read the good news
this morning. ] TN surprised that the
fall in stocks has been so small This
proves that the situation is not alarming
and that the country is all right. In
vestors have only to hold on. The flnan-
cial authorities have acted boldly but
wisely and the furry will soon blow over
1t Is quite right that savings banks should
require notice.
ut should not be forgotten, however, that
we have had the greatest expansion of
modern times, and sure as fate reaction
must come and has already begun, and it
will be healthful. We have a Season of
less activity IN trade, but that Will be fol-
lowed in due time by another period of
expansion. Nothing can prevent the rapid
progress of the republic. She is all right
and bound to distance all competitors
Speculation will be less to the front for a
time, but genuine business will not suf-
fer seriously.
"It is in the nature of things that at
tempt to attribute the recent spasmodic
fall Of prices to the wise and in the truest
sense the truly conservative resolve Of
the president and his cabinet to enforce
the salutary laws against the abuse of
their powers by certain trusts Is only
device to serve political intrigue"
ppoutnEMcE SAvINGs RANke