New-York tribune., 1908-07-02
FINANCIAL AFFAIRS
STOCK, VALUES HIGHER
Prices Up on Dull Days Trading
Time Money Easier.


made up in great part of the operations III
Reading, Union Pacific and United States Steel
these issues supplying about two-tnlrds OF 'ne
entire dealings of 151,794 shares the fghtest
daily total, with exception. for any day III
the current year. There was nothing novel IN
the movements and nothing significant in the
course of trading, beyond the reflection present
ed in the movement of values of the unWllllns-
ness of floor room operators to take an active
position on the short side Of speculation in the
absence Of marked leadership. At the moment
there are no bull or bear leaders. and as con-
sequence traders are not inclined TO make eN-
tensive commitments on either side or the ac-
count Prices were uniformly firm throughout
the day with net gains in the greater number
of stocks at the close, though Union Pacihc ana
United States Steel common ended the Gay uf-
changed from the closing level in Iuesday
market. Reading, the only other active issue
showed a net gain of q. The Interborough-
Metropolitan issues were strong on light deal
ings while Atlantic Coast Line, also on small
volume of business, showed decided strength,
evidently on pool operations Elsewhere there
were no movements worthy Of comment Com
mission houses inactive, foreign houses
were not factors in the trading and the large
banking interests apparently paid no attention
the course of speculation A favoraole re-
port on cotton conditions. unfavorable rallroad
earnings and easier rates for time money were
without effect on market values. Time funds
for over the year were offered at 3% per cent.
The federal Treasury ended the fiscal year
with revenue deficit Of s59,655.992, compared
with a surplus a year ago of s86,929.425, total
receipts in the year from all sources amounting
TO s599 S95, ,763 against S665, ,306.134 in the pre-
ceding year. and total expenditures to se5s-
551755. against s57S376,709 in the fiscal year
ended June 80, 1907. As result of lighter in
come and increased expenditures there has been
material falling off in the IreasuryS avail
able cash balance. which at present stands at
23SS9S,3S9, of which s153.S99.036 is in deposi-
tory banks 10 the credit of the Treasurer of the
United States and S14,779.737 to the credit OF
government dsbursing officers, leaving actual
available cash holdings in the Treasury, out
side of the $50, 100000 gold reserve s70,21421S.
In consequence of the necessity of making proVi-
sion for the government per cent bonds which
mature in August the Secretary of the Treasury
doubtless soon will make call upon depository
banks for the return of a large amount of federal
funds probably to the extent of s50.000.0O0- In
the local banks government deposits amount to
only S19 100000 and the recall of this sum would
have no apprecable effect upon the New York
money market while if interior banks in re-
spending to the call for their proportion draw
on their balances at this centre the money
market situation here viii not be weakened to
an extent that would work hardship to borrow
ers. The depressed state of trade throughout
the country naturally causes a constant accu-
mutation of money in the banks and the ordi-
nary interior movement of currency therefore
will be heavily in favor of this point through
out the current month. while the appropriations
made by the last session of Congress insure
heavy excess payments by the government for
weeks TO come, estimates placing the deficit in
the Treasury statement for July heavier than in
any preceding corresponding period in the his
tory of the Treasury Department outside Of
times when the country has had its
hands
In addition 10 excess government payments
and currency receipts from the interior the
banks also viii receive substantial sums from
the new gold production of the Western mines
nd he
considered the conclusion must be reached that
money will continue TO rule at low level
for a long time and that the demands on this
market for funds in connection with the gath
ering and marketing of the years harvests,
which promise to be large will not be accom-
panied by anything approaching stringency.
Money is accommodating in the banks throughout
the United States and Europe and this vast
fund is laying the foundation for the resump-
tion Of activity on large scale in business and
securities General conditions show depression
in industries great, in many respects. as
marked the hard times that began in 1893 and
which continued for several years. but funda-
mental conditions far different and stronger
now than they were in the 1893 period and
there is therefore no good reason for the belief
that is held in few quarters that the current
cycle OF industrial depression will be as long in
its duration as was that of fifteen years ago
The most trustworthy signs indicate that the
worst period of business inaction and distress
is a thing of the past and that slow improve
ment will be recorded from on until the
election, when. ii is believed by the most
petent judges of the situation. the success of
Mr. Taft at the polls will be followed by an era
of industrial prosperity greater than be-
fore recorded This belief is giving confidence
10 holders Of American investments and 1t is
likely that II ultimately will lead to a wide
spread demand for stocks and bonds at ad-
vancing prices
GOVERNMENT BONDS.