New-York tribune., 1908-08-24
MONEY AND BUSINESS.

,,;- o~aa-s Indicating that small investors |
had decided that subsequently the STOCK couio
bs o,,rcba sed cheaper or needed the money In |
their business 1t revived. AFTER the receh'
rise 70 an average Of over S5 a share ABOVE tho
level or q wear ago it apparently seemed good
time for the short account to start aggressive
operations When tho market began to yieio
bafora tho onslaught there was encouragement
for more vigorous work, and one mouse III par
+iculer assumed large obligations on the snort
side although its selling was disguised by DOING
most of tho business through other houses-
Especial attention was given to the afh piop
critics and the market was suddenly noodeo WIN
depressing rumors about those railways "riAo
sensational statements of that prominent fnan-
cier's injury in automobile accident were cii-
ouIated until there time for denial. II re-
uuires only brief trip through the financial ds-
tr,ct to learn that there are few outside traders
in the brokers' offices, emphasizing the fact that
tho volume of business is disproportionate to the
ar,oun+ Of commission house transactions. \
r,an,nula+tva market of this nature has no Sig
niffcance
Call money at less than 1 per cent in the last
half Of August supplies a financial situation SUI
hciently unusual TO harmonic with present eN-
oeptioaal conditions in other circles Ine oahhS
are clutted with cash. and yet there Is re-
1uctance TO make loans for long periods Hence
the liberal offerings On call at q or per cent
an almost unheard Of rate at the ume "ho"
crop moving demands ere beginning to oe rerI
This Is especially noticeable in the frequent
shinnents of gold 10 Canada from this cenuo
and the Withdrawals from st, Louis by CORE
sno,aents in the earlv cotton districts Foreign
e~cbsnpe ouotstions recede gradually, but not
any, more than the normal anticipatory sales OF
hills against coming exports Of farm products
would warrant, and rates are still so lar lioh'
the gold importing point that the experts arc
b.S4nn,ne to predict that the autumn outgo OF
Grain and cotton will not be paid for but creolts
VIII be allowed to accumulate abroad European
banks are steadily strengthening their posltloh'
and the entire financial world is we'll prepared
fo meet the needs of revivtng business which
promises TO be moro rapid in the near future
+ stest dispatches from Washington indicate that
regular Treasury operations in August MAINTAIN
close balance between receipts and expendi-
lures and gross gold holdings have risen above
sll previous records at over s1.o22ooo.ooO.
Option trading in the leading farm staples has
been seasonabIy active OF late. with violent
fluctuations in prices. Cotton furnished INC
most excitement. declining 81 to s3 q bale IN
q single day. and even after a modera's rally
the week closed at a substantial net loss 1t
has been known for some time that a new leaoer
Of the long account was accumulating largo
TIverpool aggregating possibly 10000 bales
Favorable crop reports and some adverse news
regarding consumption encouraged the short ac-
count 10 become aggressive. and the big opera
tor was forced TO close out much cotton al q
heavy sacrifice. Spot cotton fell Sl6 40 oaIe
baIoyv the cost OF a year ago. touching the lowest
price for the corresponding date In any year
since 1902. Port receipts are running we'll
above last years but exports were also shout
I,- n fhE me
week OF 1907, but the Giles estimate of crop
exceeding 100000 bales was the best argu-
ment for lower prices. supplemented by cables
from Liverpool of per cent reduction in
wages of Lancashire spinners. which Ia expected
TO cause strike Favorable weather for
harvesting spring wheat started a decline in
prices which accelerated by cables of bet
ter crop conditions abroad. but the short ac-
count lacked confidence. quickly covering con-
tracts whenever Chicago interests bought. The
spot position is still very frm the worlds stocks
being moro than fifty million bushels below the
supply Of a year ago. and receipts do not come
forward at primary markets in sufficient bulk to
meet domestic milling requirements and export
orders Conflicting crop reports and small de-
lfveries produced higher price for corn. prac-
| tically rendering exports impossible
Although retail trade shows the usual quiet
that is 10 be expected at this time Of year. many
cities report little or no decrease in comparison
with the volume at the same date in 1907. and
in most cases business is better than In earlier
years Wholesale and 1obbing departments are
we'll attended by country buyers. and small
stocks at the interior necessitate numerous and
frequent orders. although there is almost uni
versal complaint regarding the size Of contracts.
Agricultural districts in which the crops are as
| sured buy more freely than manufacturing CEN
| tres but both maintain attitude of con-
| servatism that may not be overcome until arter
the first week OF November There is an en-
! couraging Improvement in mercantile coliec-
| tions few extensions being asked. while the
number of commercial failures has fallen TO only
about sixty more than In the same week last
wear Arrivals of both merchandise and immi-
grants from abroad continue to fall far short OF
the movement in 1907. the decrease in aliens for
seven months being 20 per cent Trade
| balances are favorable on merchandise account,
es imports fall off moro heavily than exports.
but last month the latter made the lowest
monthly total since August 1904. Manufactur-
| ing reports are not uniform. Cotton mills still
feel the effects of declining prices of raw ma
terial and the recent auction sales that filed i'm
mediate requirements. AS time passes it is bet
fer anpreciated that a heavy load has been re-
moved but buyers who attended the auctions
Ad not remain to operate in regular jobbing
lines. The primary markets for textiles are also
| retarded by the belief that other special sales
| NAV follow Considering the depression and the
vast quantity of goods offered at the auctions,
there is much encouragement in the promptness
with which the goods were absorbed and the
| satisfactory prices obtained. Steel mills and
shoe shops increase output, and building opera
tfons are expanding but industrial progress is
| retarded as much by the strength OF hides by
the weakness of cotton. Stability in the cost OF
| raw materials is most desirable.