New-York tribune., 1907-01-28
MONEY AND BUSINESS.

A little outside interest was aroused by the
recent sharp decline in prices Of securities. and
the professional element also contributed some
support. but the net gain in the average OF the
sixty active railway securities was less than a
point. whereas the preceding loss averaged al
most $40 a share There no evidence OF
confidence In the eagerness with which the IonC
account took small profits on the advance and
another decided setback occurred bringing a
new low record for the year Numerous minor
influences affected individual properties. the
heaviest decline occurring in Great Northern
because OF adverse legal developments in the
Minnesota courts. while an increase in the divi-
dend Of another security was greeted with
decline OF a point in market value Easier
money usually encourages speculative purchases
but 1t proved impotent last week. and there is
now little prospect OF the customary January
boom. With earnings showing large gains over
those OF year ago and every commercial pros
pect bright, sales of securities fall far behind
last years and the average OF the sixty. leading
stocks is S12 a share lower. Conditions would
be alarming were IL true that Wall Street dis
counts the future, as was formerly often the
case, but speculation and business are no longer
closely related.
Rates for call money became much easier I'm
response to the stronger position of local banks
and better terms also available for time
firmer. indicating belief that receipts from the
interior could not be expected 10 continue heavy
1t was also stated that revival OF activity In the
stock market was imminent, which would re-
store pressure for funds, while the interna-
tonal position had not altered. and large gov
ernment deposits would soon be withdrawn by
the Treasury. There was much uncertainty on
this latter point until the Secretary announced
that only the last deposit of $12.OOO.OOO would
be called for during February. no definite time
being fixed for the return OF the $4,000 600 dis
tributed in September. As receipts continue TO
exceed expenditures on regular Treasury opera
"f about the sum under discussion IL is prob
able that occasion will arise necessitating fts
return TO the Treasury in the near future. How
ever. IL a plethora of funds appears the Secre-
tary will naturally prepare for times of stringency
by taking the S29.000OOO out OF circulation. Ir
business needs do not demand the extra deposits
they should be taken into the Treasury: other
wise the resulting redundancy and low rates
would encourage speculation. Foreign fnanciers
regard with some apprehension the exchange
situation on account OF manipulation I'm this
market. rates falling TO reflect easier money In a
normal manner. If sterling rose as would seem
logical just now, II would be difficult 70 prevent
exports Of gold.
General trade makes good progress, prepara-
tiOns for spring proceeding vigorously In Job
bng and wholesale drygoods lines especially
while retail business in seasonable merchandise
responds 20 the winter weather that has come
TO many sections OF the nation AT several
points the cold and snow have come too late
for best results, but heavy wearing apparel and
fuel are in brisk request. the demand for coal
having reduced stocks in all positions. while
railway congestion makes IT difficult to forward
shipments as rapidly as necessary. High water
provided desired boating stage In many cases.
although In soma instances the rise went too