New-York tribune., 1907-10-28
GERM1NY REASSURED.
Public Belief in american Resources
THE Bank Rate.

Berlin Oct 2T.-The violent financial squan in
the United States is regarded here as having
passed. The great Berlin banks are assuring
their customers that the crisis which for week
has gripped New York is relaxing and that
conditions in America are 50 sound that no
deep seated consequences can follow. The rep
reseutative of powerful Holland financial inter
ests who happens TO be here, has sent word 70
Amsterdam that now is the time 10 invest in
American securities, and many Berlin brokers IN
their letters to customers advise them to buy
American stocks now while they are under a
pressure which probably is only temporary. The
large offers made in Europe by American hold
ers and buyings have caused American eX-
change to rise 10 4.26, rate which the 'NoS-
sische Zeitung's" financial reviewer SAYS is with
out precedent The demand for transfers which
was due chiefly to the fact that many investors
bought American securities in New York in the
belief that the low prices offered unusual in
ducements was so heavy that many applicants
failed to get accommodation. The market as
sumes that the English Bank rate will be ad-
vanced Monday, which will be followed I'M
mediatey by an advance by the Reichsbank
! While the crisis has shaken German conf
! dence in a number Of American bankers and
individual undertakings, there is a widespread
conviction that it cannot lead to a protractcd
! period Of prostratiOn. The German financial
! public possesses a large store OF sptimism
! garding the economical resources Of the Great
! Republic" which the reports Of mismanagement
by railroad directors and individual bankers are
unable to outweigh.
The Berlin Boerse which was remarkably
steady during the week is likely 10 feel the
effects Of the crisis in New York more during
the next fortnight than previously, because It
must resist the tendency to export gold, as ex-
change IS not equal to paying for large pur-
chases OF American securities.
The latest American news dispatches and those
from private bankers have had a reassuring effect
| upon the financial community. An excellent i'm
| preston has been made by the fact that the
| leading trust companies which were exposed TO
heavy runs, able 10 Withstand the ons&t Of
frenzied depositors. IT is believed here now that
| if the reports from the United States continue
| fairly favorable for few days the volume Of
| German buying Orders-sent 10 New York viii
| be considerably increased.
Much is being said here about the passing
| nature Of the disturbance, and figures are being
recited of the American crops, railway earnings
| and increased imports and exports There also
| is good deal of morazing over the need in
| the United States of government central control
| over the currency and on the necessity for a re-
| organization Of the monetary system that It
Will be able to bear the requirements of immense
| prosperity and Withstand sudden gusts Of un-
reasoning panic
| The Boerse is somewhat nervous over the re-
ported financial crisis in Chilli It is believed,
| however that the reports concerning it are too
| pessimistic German banks having connection
| in Chill admit that the conditions there have
been bad for some time. but they have no in
| formation indicating that the situation has be-