New-York tribune., 1908-11-02
povEY AND BUSINESS.

actual volume of business railway earnings Iol
three weeks of October falling little behind SIM
liar returns last year. which in turn were Pel
cent larger than in 1906. Each fortnightly re-
port of idle freight cars shows most sraeAS
ing decrease the present number being less 'hhi'
e-fourth of that announced about SIX inohlnS
ago and if similar statistics available re-
garding the number of idle men there would ap-
pear an equally encouraging decrease This
fact ia shown bv the daily reports of mills and
factories resuming and the general tendency
toward recovery in commercial channels On
the other hand, it is we'll to bear In mino the
fact that prices of securities have already risen
to point that discounts much progress ana
manipulation has been facilitated by the apuh-
dance of money. Even maintenance OF the pres
ent level depends upon demand that would ao-
sorh these vast accumulations, and thus far
there is little evidence Of interest by the general
public
A slight hardening of rates for call money as
the time for monthly settlements approached had
little significance because it was accompanied by
ease in time loans, and the local associated
banks are in a wonderfully strong position for
the season, owing to the comparatively light
Withdrawals by the interior. At the west and
South very large reserves were also accurnu-
lated, and the big crops being financed more
fully by interior institutions than ever before
Treasury balances also favorable to the
banks, as expenditures for october exceeded re-
ceipts by about $10000,000. This deficit on reg
'ular operations will be reduced when the volume
of imports expands, it should during the next
few months under general improvement. but in
the mean time a small amount of certificates of
indebtedness will come due. While these may
be met by Withdrawing government deposits
from the banks it will complicate the currency
problem. because the certificates have been de-
posted as security for banknote circulation.
If the Treasury issues Panama Canal bonds, they
may be substituted basis for banknotes,
which would probably cause the least disturb
ance. European banks have continued building
up their reserves, and prominent 1nanciers just
returned from abroad are impressed by the fact
that American securities will soon find good
foreign market
Weather conditions have been most helpful
of late. Abundant rain has fallen in districts
where winter wheat was threatened. and low
water in mill streams has risen to point where
idle wheels again revolve Disastrous forest
fires checked, and barges are able to move
coal to market. Subsequently the temperature
declined sufficiently to bring out good retail
demand for seasonable merchandise, and whole
sale houses have received duplicate orders call
ing for quick shipment. In some sections the
jobbing demand for winter goods has concluded
there is a fair volume Of forward contracts
covering deliveries over an extended period. As
to collections, the situation is less
mixed. AS farm products are sold there is a
better distribution of funds throughout the
leading agricultural districts but payments are
retarded in parts of the South where cotton is
still stubbOrniy held for higher quotations. Con-
sidering the low rates for money, collections
might be expected to come forward unusually
promptly, yet many extensions are still insisted
upon. indicating extreme conservatism rather
than actual lack of funds. Comparisons of bank
exchanges with cearings year ago are not
significant because of the peculiarly disorganized
conditions existing at that time, but there is
gratifying decrease IN bankruptcy statistics.
Agricultural returns confirming early esti-
mates of large crops marketed at profitable
prices. Cotton arrives at Southern ports in
much greater bulk than a year ago, despite
many evidences that the crop is being held back
for higher prices. That the yield is large cannot
be questioned. in view of the census bureaus
report of the quantity ginned up to october IS
The fg-res little below those of the maxi
mum year, and, even if allowance is made for
exceptionally early maturity, there seems GER
tainty that 100000 bales viii be secured. Ex-
ports have not exceeded the movement a year
ago, since labor troubles rendered millions of
British spindles idle, yet there Is still large
outgo that it is charged that shipments are
being arranged for speculative purchases 1t is
more probable. however that low prices have
attracted foreign purchasers, producing a DIFF
ferent kind of speculation. Buying in anticipa-
tiOn Of requirements when Lancashire mills re-
sumo is speculation of wholly legitimate Yari-
ETY., practised by all farsighted business men. De-
spite greatly improved prospects for the domes-
tic winter wheat CROP prices advanced still fur
ther. elements o. strength were Co0
uous-damage by frost in Argentina and smaller
domestic receipts. Northwestern flour mills op-
crate freely. although not quite at the rate Of
q few weeks ago.
Manufacturing plants increase output in all
leading industries in anticipation of the big de-
maud that is confidently expected after the
election uncertainty is removed. Worsted mills
very busy, and Eastern markets have been
doing good business in raw wool. Manufact-
urers have taken large quantities of all grades
and there has been substantial buying between
dealers. At Boston alone it is estimated that
over ten million pounds Of wool changed hands
last week. Cotton goods also show the effect of
increased interest concessions offered a week
ago no longer being obtainable, and many spin
ners have enlarged output Footwear factories
in New England also report that Eastern whole
salers are placing liberal orders including sew
eral lines that have been neglected thus far this
season. The disposition is to provide for the
future more literally there being some fear that
the next change in prices will be upward. A
broader market for the finished product was
promptly reflected in the material markets Pur-
chases of sole leather suddenly attained large
figures, and hides had the further support of
small receipts of cattle. While new contracts
for steel are not noteworthy, the amount of
business under consideration aggregates a big