Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1907-09-24
WALL STREET I
STILL SHORT
Of CASH
CORTELYOUlS COURSE
BRINGS LITTLE RELIEF
No Prospect of Permanent Re-
lief Before First of Year.
Says Henry ClewS in Review
of Money Situation
Especial Correspondence Morning journal I

1 VI iflCliCJ CiNNNf
! Especial Correspondence Morning Journal.l
New York. Sept 21.--The week has
| seen no change of moment In stock
| exchange circles. As was to be eN-
pected. the market from day 70 day
| has this week proved a favorable one
| for traders. fluctuations covering
fairly wide range as the result OF day
| TO daV happenings. But fundamental
conditions remain unchanged, partic-
/ ularly as regards the money situation.
Secretary Cortelyou, 1t Is true, has by
his timel yuse of public funds, re-
! moved the fear Of extreme strngency.
he has not however, and probably
| will not be. TO more than temper tie
| strain caused by the permanent lock-
! ing up of capital resulting from the
tremendous business and Industrial
| energy that has marked the last Few
years Of unreasOning optimism and
| unregulated expansion Money Is ua-
lquestionaby scare. with the pros
poets Of continuing 50 at least over
the turn of the year. The situation ia
well illustrated by the difficulty that
virtually all large mercantile estab
| lishments are experiencing In dis
counting their paper. very close to
per cent being the mtNimum require
ment from the largest and strongest
amounting in instances 70 practical
prohibition, for houses under ordinary
conditions considered strong, but not
strong enough to receive accOmmoda
ton when money can readily be
placed on a safer basis at equivalent
rates This Is "A feature fraught with
danger. The commercial paper STRAIN
Is one of gradual development. Money
has for SO long been active at New
| York, the financial center, that the
necessities of many of our larger mer-
| camille houses were about sixty to
ninety days ago financed by out-of-
town, and especially by western, in
istitutions. 1t was quite natural these
Institutions should only discount ma
TURTLES that would allow the mmedl-
ate re-employment of their funds
| when the crop finnneing period ar
rived, and as that period is now at
hand, the mercantile borrowers are
being compelled to take up their pa
| per and are experiencing unusual diff
iiculty in replacing it. They are COM
PEELED to apply to New York institu-
tions for that purpose, and lenders
| here have much more than they can
! handle without taking up the addi-
| tiOnal burden We are experiencing
a natiOnal-an international-scarC
of liquid capital. and must be content
| to enter a period Of rest and recuper-
Il
| died financial industrial and mercan-
| tile enthusiasm and hysteria through
which we have passed. wall street
! the nerve center of the country. was
| first to realize the necessity of CON
traction-its functions gave the neces-
sary foresight-and il Is but natural
| that there should DE a corresponding
readiustment Of Industrial and mer-
camille energy readiustment that
| from broad standpoint Is AT once
natural and necessary and one that
will prove beneficial
The annual statement of the COM
ptroller of the currency on the condi-
tion of all national banks of the
country under the call of September
Is an exceptionally important one.
Comparisons are available with the
figures Of May 20 Of this year and
September of last year. In the case
of the former the loans and discounts
show the large expansion of forty
seven million dollars while the cor
responding figures for last year show
the rather startling expansion of $40
millions. As partial offset. there has
been an increase Of siXty-eight mill |
lions In specie and nine millions in lc- /
gal tenders, while deposits have in /
creased l19 millions An appreciable |
part OF this expansion undoubtedly
represents the transfer OF loans 10 {
this country from abroad: but &c new (
ertheless also reflects "A strain upon
the financial situation which foreign I
money centers are not In position 10 |
relieve In the form Of abstract loans. !
on the other hand, we may unques- /
tionably rely upon the beneficial ef- /
fects Of large exports Of our agricui I
tural products. Of which we have "a
sufficiently adequate supply to export (
at the favorable prices conditions I
abroad viii compel buyers there 10 (
pay II Is quite evident that there I
rs ample room 10 adjust prices to Ia /
vorable export basis IL Il should prove I
the present range is too high. cotton. 4
for Instance. is about 2 iAc per pound 4
higher than year ago. wheat IS 25cI
per bushcl In round figures. corn l5C 4
and oats 25c. Imports are continuing /
az new record breaking rate. the du- /
table entries for the month of Au- /
gust. for instance. at New York being /
valued az S33.694.00 as against S3O.-l
$4,000 the preceding August. and tho i
duties collected on direct imports for
the month were S1f.3Ii 900. compar- +
ing with S13.GS1 .OO0. These duties .
are now available under the Aidrich +
amendment FOR deposits IN the ma
tional banks. instead. as has been .
heretofore the case OF being trans I
ferred 20 the treasury where they /
could only resume circulation by .
means Of the regular congressional /
appropriations.
The decision Of the AmalEamated /
Copper company o. curtail production I
50 per cent as first step. and what .
ever additional amount may De- needed a
To- readiust the production to the mar
ket requirements. is move in the 4
right direction. it may b. regarded ~
the f0rcrunner OF similar movements
in other quarter. The smelling TRUST
b. recommending to Independent lead
producers a general reduction ~ 90
per cent In the output under threat oi
flooding the market with supplies 10
the rccGmme ndafiun g. ignored. Tho
chairman of the United States steel
corporation board in published
statement shows that the decreased
demand b. fully recugnlzed CO. iron and
steel circles. aud states frankly That
the new Orders Tor the latter half ~
1897 are 70 per cent below those oi