The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1908-06-28
.CLU'OF MONEY|N
WORLDS |. MARKETS I 4 |: [.
Accumulation Of Enormous Sums
Ct Places Of Deposit Of Much
n Significance.
III S5
BETTER TIMES AHEAD { NOW
Encouraging View Of General
Situation Taken by Financial
Community.
.BErrER TIMES AHEAD NOW
fspeclal 70 rho Tlmes- plspatch. q

Business to-day, bore witness In a,
4 striking way to matter that has
speedily become ono OF first Import
ance in the general financial situa-
tion, VIZ. the accumulation OF money
In places OF deposit. not only here.
but in every quarter OF the civilized
Inc amount OF cash gained by local
banks during the week Increased over
$1,000. 900. and as the loans In the week
decreased 3s.7Oo.0oO. the surplus OF
The associated Institutions was aug
tnented by s7,sss.ooo and rose to a
total OF $s6.000,000, an almost unprece-
denied figure for this date. It should
be borne In mind, too, in estimating
the meaning OF these figures, that in
Tho last five weeks. the deposits OF
public funds with the local banks have
been cut down by one-half, and that
the trust companies have been with
drawing money from the banks to
meet the requirements OF the new re.
serve law.
The banks have. in other words.
gained through natural sources money
IN volume sufficient to countcrbalance
the declines made by the government
and by the trust companies and to
bring their reserves once more up to
record breaking sums.
Foreign Money Markets.
A. z u
The reserves OF the Bank OF England.
tho Bank OF France, and the Bank Of
Germany now stand at record high
figures In many ways. and some OF
these break all records OF every de-
)cription. Day by day and week by
week, too. these vast totals are en-
)arged by receipts OF gold from the
. mines in quantities that are also rec
prd -breaking. The Bank OF Germany
has been the last OF The great foreign
financial institutions to fall In line.
owing to the well-known fact that
business affairs in Germany were until
recently suffering from over-expan-
zion. making tho country the most
markets; but tho reports OF Reich's
Bank now show proportion OF reserve
10 liabilities larger than ever wit
messed before at this season. and while
1t is probable that Germany is still
DESTROYS OF adding to its supplies OF
cash. the plain tendency OF money
rates there Is to fall. It is clear that
In England a reduction OF the Bank OF
Eneland's discount rate to the nominal
figure of per cent. cannot be delayed
a great while longer. while In France
the glut OF money Is more pronounced
than anywhere else. It would GER
tainly seem as II the probable out
come OF this extraordinary state OF
affairs must before long engross inc
attention Of tho international Imam
cial community.
To-day's showing Of the position at
the centre was in no way a market
factor. for the nature OF the exhibit
was very generally anticipated. TIC
market held along the same drifting
and professional lines on which 1t has
been moving during the past fortnight.
and especially In the current week;
and inasmuch as during the last four
days the trend OF prices has been cop-
tinuously upward enough profit has
accumulated on ventures for the rise
to invite speculative realization. At
first the market way higher. but It
fell during the second and final hour
Of business because OF almost general
selling by the trading element Clos
ing prices. however. showed gains and
losses almost equally commingled.
There were no developments Of finan-
cial nature. which these spectators
deemed worthy OF regard In any de-
gree. nor, indeed. were there any oc-
currences OF this sort at all. Wheat
prices to-day were easier to begin
with under very favorable Western
weather reports, but at the close
Were little higher.
More Encouraging View.
It Is possible to take more en-
couraging view OF the general situa.
ton at the end OF the week than was
commonly taken or expressed in. the
business community a week ago.
Aside from the immense potential
strength developing in the money po-
sition the world around. there has
been nothing OF great definiteness upon
whichto base this more hopeful feel
1ng-that is to say there have been no
salient or novel occurrences to which
reference can be specifically made as
those. which unqucstionably mark a
straight turn about for the better. It
is very clear. however, that the finan-
cial community is animated by q bet
: ter feeling, The stock market has
again exhibited Its obstinate >unwil-
lingness to decline when spectators
for the fall set themselves to work
to bring about~a reaction and 1T is
evident that tho stock sold on these
occasions comes almost wholly from
q SPECTATORS themselves as distinguished
I from actual holders. 81 3 K
Over the country last week there
Il was almost perfect weather for the
& harvesting of winter wheat and growth
Of corn and spring wheat, and there
4 were many indications-all possibly OF
relatively trlfllng nature, but all point
Ing in tho same direction-thn bnsl.
x ness was picking up. s NJ s8'3
The necessary preparations for the
gathering Of tho ,country's crops this
II Year will entail work In the iron and
steel mills engaged in the production
nf machinery for agricultural uses,
and will cause also tile railways to
i set about repairing their cars, and ia
4 order such new equipment as is need Z
: ed. Such orders for cars and engines
q by the railroads are OF course re-
duced to the smallest posstble limits
lust now. and doubtless will he SO
rnrtailed Throughout tho present year.
AScertain amount of seasonable e; work,
I y oweyer. cannot hc postponed. and
this Is now in progress. Thereto
~ ~ NJ IN -
hnnna cRranch.