Audubon County journal. (Exira, Iowa) 1884-1993, 1908-01-02
OUTLOOK IS BETTER
PRICES OF COMMODITIES ARE
MUCH LOWER.
1907 MADE A BAD RECORD
However, Only a Limited Number
of Serious Disasters Actu-
ally Occurred.

ally Occurred.
New York, Dec 31.-The year Of
1907 has been one In which there has
been much of financial history.
1t will go down with 1857, 1873 and
1893 as one of the panic years i'll
American finance, but despite the
remarkable stress and strain to which
the financial structre has been sub
jected the year closes with condi-
lions stronger and safer than they
were when the year began.
The year opened with the feeling
in conservative quarters that specu-
lation had already been carried to un
unwarranted height aud that pru-
dence was imposed by conditions up.
on bankers and capitalists. That
this feeling operated to some extent
throughout the year and that there
was a scarcity of capital for absorb
ing new securities, was indicated by
the diminished transactions in stocks
and bonds on the New York stock
exchange.
dealt in up to Christmas of 1907 did
not fall below that of normal years
prior to 1905 it was very much less
than for that year and for 1906. The
banner year prior to 1902 was 1901,
when the number of shares dealt in
was 265,577,354 There was decline
to 160,74S.36S shares in the depres-
sion of 1903 and recovery to $685.
O40,993 in 1905 and 2SS,424234 in
1906 The number of shares dealt in
in 1907 fell to 195.169,192
The field of bonds in 1901 showed
sales amounting to 1898, 800, which
fell in 1903 to $6S4,20O.S50. The
maximum was attained in 1904 when
sales were G30,S1O,560. but was
not grealy reduced in 1905 when sales
stood at $1,O18.59O,420. Signs of ex-
haustion of the capital were already
afforded in 1906 by the decline of such
sales to $670,S 1893, and finally to
1851, 651, 500 in 1907.
The source of the pressure upon
the money market is indicated by the
large issues of securities which took
place during several years prior to
the crisis. The statistics compiled
by leading financial journal in Brus-
sells showed that the total issues
throughout the world averaged for the
five years ending with 1906 about 3d.
400,000,000 annually. In the United
States issues of stock for the first
eleven months of 1907 we're $751;, 359,-
500 and of bonds and notes S1,073,-
100000, making up total of 81 ,831, )
$40, 500
, The extent to which capital re-
! sources had been strained was not
revealed in striking manner to tbs
general public until "the silent panic
of March IA, now almost overshad
owed by later events, but at the time
one of the most serious and remark
able breaks which the market has
ever suffered. The loss of 19 points
in Amalgamated Copper in a single
day. q points in American Smelling
% in Reading, and 25 in Union Paci
fic, added to considerable previous de
clines at slower rate, wiped out
margins, compelled the calling OF
loans and destroyed the fortunes Of
many SPECTATORS The market re
covered only slowly during the spring
and early summer to suffer new re
actions in August; but it was mo-
until mlQ-OCtODef CnSJ Lne SlOr1l
broke in all is force with the col
lapse of the corner in United Copper
the appeal of the Morse-Heinze banks
to the clearing house for help and the
refusal to extend such help until thu
old control was eliminated.
The old year ends with prices o
commodities and securities mucl
lower than a year ago and with liquid
alton largely advanced in the bank
ing field, if not in the field of com
modities.
The great stock of currency absorb
ed during the period of panic is re
turning to the banks and the actor
just taken by the secretary of tn
treasury to recall part of the de
posts of public money in the bank
will tend to check the outward move
ment of gold which in some quarter
is expected within the next fey
months.
The financial structure of the coun
try has stood the strain with only
limited number of serious disaster
and will enter upon the new yea
under much stronger and safer cor
ditions than it began the old year.