The morning journal-courier. (New Haven, Conn.) 1907-1913, 1908-06-08
MONEY AND TRADE
Financial Condition Shows q
Steady Improvement-The
New Currency Law.
NO STRlNGENCY PROSPECT
Liberal Orders In Cotton and Wool
Prove Actual Better
mCnt.

New York June 6-Although stock
cradle advance Notwithstanding easy
money, good crop reports and improv-
ed business prospects are n combina-
tlon which retard any great downward
reaction OF Importance for the present
at least An important influence In the
situation is the monetary outlook, In
spite OF large gold exports, and heavy
Withdrawals of government deposits,
thero Is n big surplus of loanahle funds
In the banks that Is likely to await em-
ployment until tho fall crop demands
assert themselves and general business
becomes moro active Even then there
Is no prospect Of stringency, as Is
shown by the low rates for six months
time money such ease, OF course. re-
fleets post-panlc conditions, and Is the
consequences of a lessened volume OF
business and lower prices. our banks,
however. are in an exceedingly strong
position, and tho financial situation
shows steady improvement each week,
Tho most important financial event OF
the week was the passage of the cur
rency hill by congress While II Is not
satisfactory as a permanent measure,
and can only be regarded MS q tenn
porary expedent, II will. nevertheless,
have a steadyng influence in financial
affairs Tho generally recognized fact
that In an emergency $3.50 10000 OF new
money IS obtanable by the banks and
can be put into circulation AT once, will
prevent widespread and serious panics
occurring hereafter r. therefore, such
pancs are thus prevented tho emer-
gency currency law may serve its pur-
pose without the money II authorizes
being called into use II being fully
understood that s5Oo,ooo,OOO can he oh
tanned when absolutely necessary, the
probability Is that It will be seldom. II
ever, wanted.
Considerable encouragement can he
derived from crop conditions Thus far
the season has been exceedingly favor
able. the injury from excessive rains
having been inconslderable General
business shows signs of improvement.
The volume of transactions Is still far
below normal, but buyers are taking
hold and mills arc resuming In n man
nor that Is encouraging and proves
that the recovery Is actual and not i'm
aginary Some very liberal orders for
both cotton and WOODEN goods have
been placed this week; and the iron
trade Is being stimulated by lower
prices IN spite Of recent official an
nouncements that quotations would be
maintained. II would he idle, how
ever, 10 expect too sudden or pronoun
ced n revival. A period of mldsum.
mer quiet Is close Mt hand, and II vii
be some time before business Is re-
! sumed on the former scale, and thei
| II VIII be only upon a lower lever %
values and costs, our railroad sltua
tlon Is stlll unsatisfactory. earning
showing heavy losses owing TO dimin
ished volume OF traffic No very grea
! Improvement IN this respect can b,
lcxpected before the crop movemen
begins.
Business failures In May were nearl
s2700O,o0o. or almost double those o
the same month last year During tn
first five months of 1903 total failure
We're sl6O,0000O0 MS against $4,000, 90
for the same period In 1907
HENRY CLEws.