New-York tribune., 1908-05-11
MONEY AND BUSINESS.

New high record prices for the year y ere at
tanned in the security uparket last week. al
though investors were called urou 50 absorb
additional issues and there. Was much proht
taking by speculative holders. The rise has
now reached notaxorthy dimensions. even if IT
emanatos from something speculative as h
belief in early return of general business ac-
tiyity Il is diftcult 10 estimate how much
prosperity is discounted by tho average rocoy.
cry Of 81 share in railways, go IN industral Is
and $50 in traction stocks from the lowest noiut
Of the depression that was touched in Novem-
ber Transactions at the Stock Exchange arc
almost as active year ago. weekly sales
amounting to about $500 600 shares but there
is stilI a decline Of 10 per cent in prices as
compared with May. 1907 Bonds nave al
tracted more attention than at the same time
last year and the issue by New York city
was very we'll received The strength of rail
way shares is not due to any Improvement in
gross earnings as tho April figures thus tar
available show 4 loss of about % per cent COM
pared with the same month last year. Plans
for advancing freight rates do not proceed
favorably, as might be expected AT a time when
the tendency of commodity prices IS Gownwar /
and dull business needs the stimulus Of at
tTactive terms all along the line.
Money continues cheap loans for sixty days
being made at 212 per cent on good Stock Ex-
change collateral, and. what is much more help
ful to business. commercial paper of the best
quality can be sold at 21a per cent. Mercantile
operations are greatly stimulated by this avail
able supply Of money at easy terms. Although
the Treasury is withdrawing large sums from
local banks, there is steady movement from
the interior that maintains reserves far above
the point required by law and leading finan-
Ciers evidently expect that this condition will
continue when they offer to lend at a. per
cent for periods of six to twelve months Con-
siderable money will be tied up temporarily bv
pending bond issues but in most cases the
subscriptions Will be deposited in the banks
and become available Immediately. while the
domestic position is strengthened by the credits
created abroad as bonds find foreign nurcbas-
oIs This element was responsible for the de
cine III foreign exchange that stopped exports
Of gold The official report for April showed
small increase Of two cents per capita in the
amount Of money in circulation but including
Treasury stocks there was a slight decrease on
account Of gold exports
General trade has encountered new o5
stacle IN perSistently adverse weather. A hack
ward season caused complaint at this time Ia =.
year also. but the last six months Of dernoraI-
lzatlon have not supplied the power of resist
ance noted in 1907. In some respects Nav has
brought more confidence and the huilding
haoes are enjoying greater activity permits
issued in April largely exceeding similar figures
for any preceding month this year The num-
Der OF unemployed is gradually decreasing. AL
though several strikes against reduced wages
delay Improvement and more cotton mills ara
closed by lack of orders. Last weeks bank ex-
changes made much better comparisons with
those Of 1907 than has been the rule of late
active speculation in securities and grain ac
counting for part of the gain. Although the set
back Is not matter of mental attitude recov-
cry viii come more quickly if optimistic senti-
ments can be made to prevail. and the ST Louis
Prosperity Association is doing good work by its
dissemination OF cheerfulness.
Activity has not increased in the leading in
dustries. although there are more evidences each
week That depleted stocks in all positions must
soon bring into sight lot OF business At the
"ooIlen mills there is no incentive TO accumulate