New-York tribune., 1908-09-28
wrong Interpretation on perfectly simple phe-
nomenon.
MONEY AND BUSINESS.


months and the lowest prices in two months
followed by a recovery almost violent There
was no more tangible reason than political de-
velopments, although it is probable that manip
ulation was factor of much potency Experts
talked as usual, OF the stronger tecnnlcai poei
tion because weak accounts were eiiniiiia'eu o'
the severe decline. yet it did not encourage ou'-
siders to buv stocks. although that Is the great
desire of strong interests that have accumulated
long lines of the most active issues during the
recent season of abnormally cheap money
Railway earnings continue TO make better coin-
PARSONS with last years figures. aided by ex-
centionaIIy heavy receipts of wheat, and 1uhds
are available in abundance at easy terms yet
the general public is not contributing heavily to
the large aggregate transactions AS Is Gus
ton,arv whenever the market becomes erratlc'
more traders congregate in brokers off1ces' al
though there is no corresponding increase IN the
frequency of orders telephoned to the exchange
Advice to buy on the breaks is constantly slVen'
and it is doubtless true that ultimately the iiiai
ket will be much higher. but cautious specu-
1ators realize that more sensational reactions
NAV appear before election and there is a dls-
position to await these attractive prices
Local banks continue to lose cash to Canada
and interior correspondents for crop moving
domestic transfers being both direct and through
y,
normal for the season that rates are excep-
tionallv low. Active speculation in securities
and farm products calls for more funds, and trade
-eou;ren,ents are increasing but are still much
less than in prosperous times in the business
world Rates are so low that frequently money
market reports refer to call loans made at the
"irreducible minimum" meaning L per cent
Short term accommodation is also unseasohaoiy
cheap at 21a per cent. Developments IN 1orelsh
exchange have been most interesting. Early
last week rates were so high that gold exports
were discussed. This due TO speculative
covering on account of the Lancashire strike
that threatened to curtail exports of cotton
upon which the short sellers of exchange had
counted to reduce rates sharply as the supply
of bills became liberal Later there was sub
stantial decline in rates on London buying OF
stocks and the heavy outgo of wheat
Fall trade has opened remarkably we'll, con-
sidering the reduced earnings of wage workers
in many industries and the unseasonaole
weather that delays retail purchases OF wear
ing apparel. Jobbers and manufacturers are
we'll occupied at most centres in augmenting
the depleted stocks of dealers, especially at
agricultural points Freight traffic is heavier
because of these shipments, but there is still
more or less complaint regarding collections
Comparison with the volume of business year
exchanges. Minneapolis makes the best ex-
hibit, the large gain being explained by the
heavy movement of wheat and good increase
in flour milling Kansas City continues its
notable weekly record of moderately larger
cearngs than in 1907. New York supplies
good gain, which must be charged to speculative
activity. The loss is small at Boston. Chicago
Cincinnati and ST. Louis, while least favorable
exhibits are made by Pittsburg, New Orleans
and Cleveland. Carrying the comparison OF
bank exchanges back two years, it is found that
gains and losses almost balance
Farm staples are still irregular. although
most important crops are harvested or nearing
maturity, with every prospect of big yields
Snot cotton declined a dollar a bale when cables
indicated prolonged strife at Lancashire cotton
mills but part of the loss was recovered, as
exports continued far above those of the cor
responding week last year. Another sustain
ing factor was the report that a West Indian
storm was approaching the Southern coast, and
a more tangible influence was increased activity
at domestic mills. The amount coming INTO
sight each week is much larger than last year
sentenber thus far supplying gain of 10000
bales Speculation is only fairly active IN the
face of these conflicting elements. and eau
tious traders are disposed to await the official
cron report on Friday, while more definite in
formation about British spinning conditions
would also be helpful. Everything is rising IN
the wheat market. especially statistics OF sup
ply, receipts and exports Arrivals at primary
markets last week about double the nor
NAL movement, yet prices were not depressed
becausa exports were also heavy and domestic
-four mills were running at full capacity QUO
tations also had the support of unfavorable
weather for ploughing and planting in the
winter wheat belt
Industrial conditions have improved, the
number of unemployed gradually diminishing,
although in some instances resumption is ac-
coooplished only by the acceptance of moderate
reductions in wages, as at the paper nllls'
Flour production is very heavy. and there is a
fairly busy situation at shoe shops, despite the
handicap of high priced leather. Statesmen re-
MORT a good demand for spring sample lots of
footwear but supplementary orders for fall and
winter goods are not numerous, and New Eng
land nroducers will soon have much idle
cbinerv unless contracts are secured. The weak
ness of foreign hides encourages buyers of the
finished product to defer purchases Cotton and
voollen mills have much more business on their
hooks a good demand for prompt shipment OF
porsteds indicating that initial fall purchases
were made on an overconservatfve basis. Sen
tinent in the cotton goods industry is improved
nv the acute foreign situation, which may stlr1-
ulate export business materially unless an early
settlement is reached. outside demand is also
the best feature of the iron and steel industry.
large tonnage of export business constantly
coming 10 the mills, and in several domestic
branches the last week has brought out contracts
of fair size. Sentiment is helped by the belief
that the railways will soon appear as buyers Of
rolling stock and equipment.