New-York tribune., 1908-10-12
HONEY AND RTSINESS.

Political factors continue to dominate the
curity market Just as a feeling of confidence
regarding the result Of the election in this
country was becoming general and prices of
stocks had risen average of 81 a share above
the level existing a year ago, an element or
decentralization injected by the complica-
tions abroad. The significant feature of the
Balkan situation in respect to financial condi-
tions here was the large scale upon which
American securities sold in this market
for foreign account. For time it seemed
almost too heavy load for the strong inter
ests TO carry even with the assistance of alb
normally cheap money but the week closed
with only a moderate decline although many
spectators considered the occasion propiuous
for vigorous drive against the market The
event Of especial domestic interest was the pro
vision for maturing obligations of the st. Louis
& San Francisco Railroad, and, incident ally,
the evidence Of greater harmony among leading
fnanciers. 1t is also significant that latest
weekly figures Of railway earnings show
scarcely any loss IN comparison with similar re-
turns for 1907, and the fortnightly statement of
idle freight cars showed a further decrease Of
about 10000.
European conditions were also most we'ghty
| in local finances, carrying rates Of foreign ex-
change to a point that needs little special in
ducement from foreign banks to cause a large
outgo of gold. Demand sterling was quoted
as high as 4S7, but there little inclination
to make sales leading international bankers
preferring to accumulate bills in preparation
for prospective profits on gold exports. Wheat
is going abroad freely and there is a good
movement Of cotton that would supply ample
remittance for ordinary purposes, but Europe
returned S25 600 coo worth Of securities last
week Yet money rates have not advanced, local
banks holding larger surplus reserves than at
this date in any wear since 1894 and no OBJ
stacles will be encountered In arranging ship
ments except possibly the small supply Of gold
bars available in the Assay Office. Gold coin
and bullion in all government vaults, however,
stands above all records-at about $1,000
600 OOO-so that the metal be obtained with
little delay. Local banks not sending much
currency to the interior, the demand thus far
coming almost wholly from the South, and the
crop moving season has advanced so far that
it begins to look though the annual boast
that little assistance would be needed from
New York might prove true in 1903
Some sections of the country have been ex-
periencing unseasonabIy warm weather, and
most districts complain of insufficient moisture
These influences interrupted retail trade in fall
and winter wearing apparel that had opened
most auspciousIy in the week previous, and re-
suits are irregular But sentiment continues 20
improve more country dealers providing for the
future with confidence. and mercantile payments
are better. Bank exchanges now compare very
closely with those Of a year ago, several lead
ing cities reporting small increase last week
while most of the adverse comparisons were
not over or 8 per cent. Retail trade in farming
sections is retarded by the concentration Of at
tention on securing the crops. but the same
factor is providing big tonnage Of freight and
will soon be felt in payments for supplies
chi
freely on old contracts, but with the election
only a few weeks off there is a disposition to
postpone orders whenever possible Fall festivi-
ties are bringing many outsiders to leading
southwestern cities, stimulating some branches
of business. while adverse factor last week
was the religious holiday that Curtailed some
dealings materially. The latest weekly state
rnent shows a slight excess of immigrants over
emigrants. which is notable after net loss of
$500 since January l.
Spot cotton declined to cents pound for
middling uplands i'm this market, despite threats
Of severe punishment TO ginners at some Southern
points if the crop allowed go on the mar
ket before prices recovered. and concerted agree
ments in other sections. Meanwhile weather con-
ditons have favored maturing and picking. while
the quantity that came into sight last week was
100000 bales greater than in the corresponding
week of 1907 Exports are falling off, although
there is still a good movement To the Continent
on old orders, and the weeks total was $4,000
bales larger than year ago. The average de-
cline of S14 bale eliminates any gain In value
however, and the failure arrive at an agree
ment at the Lancashire mills largely re-
sponsible for the depression Domestic spinners
operate more freely, and option traders gave
support on reduced crop estimates. vet the level
of prices is the lowest since June. 1905. Wheat
responded to war talk usual advancing
sharply. Notwithstanding Western receipts Of
| record breaking dimensions. There was support
also in drouth conditions in the winter wheat
region, and the official estimate put this years
total yield somewhat lower than was expected
Flour production at the Northwest is heavy
and export buying is stimulated by the foreign
/ situation. Much liquidation and speculative
pressure at the West produced lower prices for
some corn options but net changes were not
large. the government report indicating a some
what smaller crop than was expected
Much the best news of the last week came
from industrial centres With strikinglv gratf-
| flying degree of unanimty. mills and factories
| increased the percentage of active machine
and many plants opened that had been idle since
the nrst OF the year. This increased activity at