The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1908-08-14
apd beneficial, disastrous as it may
have been in some quarters.
Improvement in Business

Improvement in Business.
Signs of Improvement in the mer-
camille world are more apparent every
where. Stocks of goods in jobbers
and retailers shelves are generally
| light. Replenishment is necessary. The
promise of good and profitable crops
means another year of prosperity to
our agricultural classes who are still
the backbone of the country. Not
to cheap money the most effective ar
gument for high prices in the stock
market has been this encouraging crop
outlook. 1t is also the chief basis
of confidence in the mercantile COM
mumty, which fortunately felt the
effects of the panic less than either
financial or industrial interests. The
reaction was of course severeSt in Wall
street, but depression was almost as
severe in manufacturing as in financial
circles. This was particularly conspicu,
Gus in the iron building and textile
trades. But revival is here also becom-
ing more pronounced. Orders for pig
iron and iron products are steadily
increasing because buyers, recognize the
turn has come and are placing con
tracts which have purposely held back.
In July the output of pig iron was
l,2l7,000 tons, or larger than in any
month since March, and at present
the output is running larger than at.
Wi
for both rails and cars are being
placed by the railroads, which is not
only very beneficial to the iron trade,
but demonstrates reviving confidence,
on part of railroad managers. The
same is true in the building trades
and returns from fifty-one cities show
ed an increase of Is per cent in July
over the same month last year, the
recovery being chiefly in New York.
In textiles there is also growing activ
ity and an important auction sale of
dress good held this week was uneX,
pectedly successful and has exerted a
healthful influence in the dry goods
market. Other instances, such as
smaller declines in bank clearings, in
business failures, in railroad earnings.
etc. could be cited to prove that bust
ness recovery has fairly started and
has not yet reached it's limit.
Crop Outlook Is Satisfactory.
The crop outlook is especially sat
We are now almost sure
f,,11 &c
wheat, all of which will command good
prices and for which there is likely
to be a good home and foreign de-
mand. The government report indi
Gates a large crop of corn and a good
crop of wheat. The cotton crop is
expected to reach over 100000 bales
md. as already pointed out, the money
value of our crops will certainly ex-
reed al records.
Cheap money and plenty of it is a
very influential element in the present
advance. I'm spite of the approach of
crop moving demands, both call and
time money are unusually cheap, and
such low rates naturally make good
stocks and bonds look attractive as in,
yestments. Bank reserves are about
the highest on record for this period
Of the year, and the monthly currency
statement shows the amount OF circu-
ation in the country to be $3,046,000,7
300, against $2,7Sl 100000 a year ago. |
An increase of over S260,O00,O00 in
twelve months, chiefly in gold certifi-
,ates, is, of course, infationary in char
,cter, especially in view of the dim
nished activity in business which less
ms the demand for currency.
The immediate future of the market
contains, of course, larger degree of
.isk owing to it's big advance, and
xhcht will increase, if forced, to a
higher level, which is not unlikely from
present appearances. Admitting the
many favorable and very hopeful con-
litions, It must be remembered that
prices have had big advance, that
While stocks are in strong hands the
market is undoubtedly being manipu-
ated for the purpose OF unloading. I
The present leaders have practically |
resources and the best man
pulative skill is upon their side; new
rtheless prices are beginning to reach
somewhat hazardous level we there
ore now advise gradually taking
Profits.