New-York tribune., 1908-01-20
xrv-voRK DAILY TRIBUNE MONDAY JANUARY 90 1908

tantion being called to the extensive rise tna'
has occurred in some stocks. notably tseaaihs
NevertI,eless il is also worthy OF note that lux
o,,eroea rise of 50 20 from the lowest point In
November is insignificant as compared Win ',e
preceding decline, and general interest py tht
nh1ic would quickly bring disaster TO the short
.o.orn4 These conflicting arguments are rem
da-ad more confusing by contradictory state
r,a,4e of commercial and industrial conditions
that are nv no means established on basis OF
definite Improvement. Some reports OF the gen
era business situation are very encourasiiis' oN
there are also adverse factors in abundance
No uncertainty exists however, respecting the
Improvement in financial conditions both mere
and abroad. The Bank of England mas again
reduced its official rate Of discount D per cent
now being quoted. which is the same as at this
time last year The Bank of Germany also re-
duced its rate / per cent and the position at
Paris was greatly improved by large reduction
in loans New York banks have restored their
reserves and money is becoming redundant 10
degree that reduces the call rate below per
cent Even time loans on Stock Exchange COL
lateral are made at about per cent, and, best
of ALL large business is reported in CONNER
cial paper. although the interest charge Is sell
dom less than per cent. Easier money is re-
hected in higher quotations for foreign exchange
the advance in sterling rates being accelerated
by sales of our securities by London and lack
of commercial bills to meet the demand for re-
mttance. AS exchange rises there is a renewal
of talk regarding the prospect of gold exports.
but rates are still far from the point at which
shipments of specie would be the most profit
able method Of making remittances, and there
is no evidence that foreign banks disposed
make special inducements to secure gold
Clearing House certificates being retired
very rapidly, and by the end of the month cash
settlements among the banks should be fully
resumed
Domestic trade reports irregular some
sections of the country making much better ex-
hibts than others. but the aggregate is still far
below the volume at this date last year. Mime
apolis and Kansas City the only large CEN
tres reporting a gain in bank exchanges last
week. compared with the corresponding week
in 1907 1906. and for all leading cities the
decrease was more than 20 per cent. Retail
trade is being swelled by clearance sales that
necesstate material concessions in prices, small
profits attending this method of reducing stocks
Of winter goods As supplies are distributed.
however, there is an Improvement in collections,
and orders for spring stocks also increase which
benefits wholesale and jobbing departments that
have been very dull In d few cases the demand
for heavy wearing apparel has improved in re-
sponse TO lower temperature. but the whole
the country has experienced little winter weather
yet. This has facilitated transportation and
there is little complaint as 10 freight deliveries.
but the volume offered has fallen off 10 an ex-
tent that makes the number of idle show q
striking contrast with the inability TO secure
sufficient rolling stock or motive power d year
ago.
Mills and factories are gradually increasing
activity. and more plants Will soon resume If
employees viii accept lower wages. There is
little prospect Of serious controversy on this
point, Curtament of operations has made the
army of unemployed very large, and competition
for work offered must in the long determine
wage scales. Output of pig iron and coke has
been most notably Curtaied, and in the finish
ing departments of the steel industry the only
important resumption of the last week was
al tinplate mills. Footwear producers in New
England expect liberal orders from the buy
ers that gathering in the Boston market
although it is known that the disposition will
be to demand concessions from present prices
before contracts are placed beyond the few cases
where needs urgent Leather and hides are
fairly steady, the future of those markets de-
pending upon shoe sales Textile fabrics are In
a slightly better position Business in cotton
goods has increased but here also there is
urgent demand for reaGjustment of prices
Woollen goods now fairly on the market
only a few lines remaining to be opened. but
demand has not increased sufficiently TO deter
mine which descriptions Will be popular Raw
wool is steady. and better results are expected
at this weeks London auction than at the last
sale Of 1907.
At the commodity exchanges the event of last
week was the sensational rise in cotton prices
Doubtless much of the speculative enthusiasm
was based upon the return of the leader who
largely responsible for the high prices of
four years ago. His prestige does not seem to
have suffered from the disastrous ending of that
campaign, and traders suddenly discovered nu-
merous reasons for substantial rise IN prices
Exports continued large. and the amount that
came into sight 100000 bales smaller than
in the same week Of 1907 while Improvement
was noted in the domestic drygoods trade and
foreign conditions promised To De better in view
Of the lower British bank rate and the higher
price of silver The possibility of serious labor
trouble in Lancashire and the fact that cotton
prices were already Sc % a bale higher than 4
year ago ceased 10 attract attention. No sim
liar activity or strength appeared in the cereal
markets. Wheat held barely steady because of
large exports. but option trading was restricted
by increased offerings from Argentina, which is
now harvesting a good crop and viii compete
for the European markets
William Kpur'S ryifr 0f arro +-,o.