The Cairo bulletin., 1908-06-15
Special.

| NtlolliHtHlS nave tttH Ol SeDeEdliA
| favorable character. The week pre-
ceding a national convention, which
expects to perform such important
duties as nominating the next presi
not usually a period of much activity
in the stock market. 1t is now fully
! expected that Mr.. Taft will be chosen
as the Republican candidate: that he
stands good chance of election, and
| that the new platform, while it vii
endorse the Roosevelt policies. vii
not be depressingly radical. 1t may
be that tue market has already fully
| discounted these expectations for
prices are quite high enough for con
sidering general conditions, and any
further advance would surely be
utilized by big insiders as a basis of
further profit taking. There has al
ready been considerable unloading of
long stocks by market leaders; but it
may probably suit their purposes to
carry prices still higher and the re.
suits of the convention if to their lik-
ing, could easily be used as a means
of stimulating activity On the other
hand. the market is technically in a
very sensitive condition, and unrav-
Orable news either from the political
world or regarding the growing crops
might easily precipitate a sharp re-
action in view of the big rise which
has already taken place The fact,
also, that two of the most important
deals in the market hav been sue
cessfully communicative Pennsyl-
vania and the Union Pacific loans
removes an important element of sup
port which has been accorded by
prominent banking interests.
The money market continues ex-
ceptionally easy, both at home and
abroad; the diminishing activity in
trade and speculation the world over
being, Of course, responsible for this
condition. Gold exports have been
checked and have fallen much below
the aggregate at one time expected.
The European banks are generally in
good condition, and are being further
strengthened by the large arrivals of
gold from South Africa. the produc-
ton in that quarter being on an I'M
scale The local money
market is sufficiently plethoric to be
comparatively independent OF future
demands On July first dividend and
interest payments aggregating nearly
s so 600, 600 will have to be provided
for In July also the treasury has
some important problems to meet.
Owing to the growing national deficit
it is possible that the governments
deposits in bank may be withdrawn
to the extent of about 100000 900.
The government will also have to
provide for $G4 100000 of Spanish war
bonds which will shortly mature, as
well as for $15,0O0,000 8 per cent GER
tifcates. These operations in con-
nection with the shortly expected
new Panama issue leave the opera
tions of the treasury as related to
the money market somewhat compli-
Gated Under present conditions, how
ever. they are not likely to cause any
disturbance in local money rates.
The one feature Of encouragement
which now stands out more promi-
nently than all others is the crop out
look Present indications point toI
largo crops of all the important
staples. Cotton, wheat and hay are
-, al, r,,,r+aJ IN bigb condition and
with larger acreage the promise is
almost certain as to bic yield. The
three summer months are frequently
periods of deterioration; but allow
ing for these usual declines, our crops
are still sure to be heavy. Both win
ter and spring wheat are in excellent
condition. and the outlook, according
TO some authorities, is for a crop OF
about 100000. 600 bushels, or the
second largest on record. Big oat
and hay crops are also almost certain.
Moreover there is an unusual alb
;ence of injury by insects and the
ground has been so well saturated as
to make damage from druth or hot
W MUS liifii iibit ltlAOAt AiitSiA t7'if+As
Corn is late; therefore somewhat I'M
certain This is our most important |
crop; hut. as the soil is generally in |
good condition. a few weeks of hot |
weather would quickly compensate |
for present backwardness. and there /
IS no occasion as yet for any uneasi /
ness in this respect. Last year, it !
will be remembered. the crop was |
late: nevertheless the yield was ex-
heavy. Our farmers, |
therefore. are practically sure of ar
other profitable year. since prices are
high and there are no surplus sup
plies. This is the chief basis for the
optimism of the
west. which contrasts so pleasantly
with the depression still hanging over
the east
One satisfactory feature of the
week was the reduction i'm the prices
of iron and steel This step should
have been taken long ago: the rigid
refusal to recognize changed business
conditions being not only very poor
Judgment. but decidedly bad business
policy. The only criticism to be
made now is that the cut was moi
sufficiently deep Buyers fully ap-
preciate this fact. and will simply