New-York tribune., 1909-11-01
,,ONEY AND BUSINESS.


tive expansion in the country's industries.
Int in view of the fact that general
Investment values measure conditions
affecting the actual worth of st"cks
while capital can find more profitable
ernnIovment in the channels of trade
than in securities, the situation does not
encourage the expectation of heavy buy
ing in the immediate future for perma-
nent investment purposes by our prOmi-
nent financial institutions or by individ-
rails The investment demand for bonds
is inactive and New York City issues are
reelected, though banking houses are
confident good inquiry will develop for
the latter in the event of the election
of the Republcan-fusion ticket to-mor-
row. The leading active railway stocks
closed last week at an average Of 1880.
against 129-97 a week ago, and the chief
industries at 1926, gain of 327
Money is easier in all departments,
owing to the recent heavy liquidation of
loans against speculative commitments,
to the offering of cut-Of-tOwn funds at
this centre and to the change in the
movement of domestic exchange on New
York from a big discount at many points
to par or figures near that level Money
rates have not been affected by shipments
Of gold to Canada and South America,
and in view OF the developments in the
market in the last few weeks. including
the drastic advance in the Bank of Eng
lands rate of discount, exports of gold
-itIOrrt fbe acCOnnDa r,ir,ept ~ b{pbor
lean quotations are strong testimony of
the fundamental strength of local none
tary conditions. 1t may be well to note,
ECWeVer that bank reserves show q ma
terial contraction from a week ago, and
that the money situation does not war
rant heavy extension of loans for the
accommodation of stock market speCuIa-
tors. Sterling exchange has not .een
materially affected by Increased exports
of cotton at high prices, owing to the
active demand for remittance against
our obligations abroad, and the strength
Of the market CRADLES London to settle
its accounts in South America at the
expense of New York.
Industrial expansion continues on a
broad scale. Bank clearlngs in all cities
last week showed gain of 38 per cent
over the same week q year ago, railroad
earnings for the third week in October
Increased more than 13 per cent, and the
general distributive trade reflected great
activity on the part of buyers in all parts
u the country. Iron and steel are break
lng past records for production and in
sales OF finished materials, a better feel
iHg prevails in copper circles, miners of
coal are working Iull time, business in
the leather market is steadily improving
and drygoods merchants report an active
demand in spite Of current high prices
Some progress is noted IL the movement
To curidll operations in the cotton mills
because OF The excessive quotation for
raw materials and while alarmists con-
tInue 10 predict a severe shortage in the
cotton crop conservative interests believe
that final figures Will show a much larger
yield than bun spectators are willing to
admit and that any deficiency in this
/ country viii he offset by increased re
turns III other Gotten growing nations.
Extraordinary activity in the steel in
dustry is reflected in the report OF the
United States Steel Corporation for the
! September quarter showing a gain in
ret earnings Of $S,906.41C over the pre-
ccdIng quarter and SIS, 5.639 over the
hrst three months of the year, and in
lhe enormous gain in orders in the
month just closed. Indeed. the demand
IS so active that Il condition bordering
upon serious congestion prevails at the
i4Iiis. In the last few weeks the rail
roads have leen heavy buyers "f steel
ana equipment. and based upon the act
GaI orders from this source the equip
/ ment companies are assured of record
LreaklnS activity for a year to come
ana activity on the part of these cor
/ Germs means q tremendous output by the
blast furnaces and steel mills. Highe,
/ Prices for pig iron fail to check the de
ihand, and it is estimated that new busi-
/ ness III finished steel could fall off ot
/ Per cent and the companies still be
+ pressed 10 fill orders calling for delivery
up 10 the end Of April.
. Speculation in cotton futures is active
/ on rising level of prices, the movement
!
interests Of u crop OF less than 11,50O.00(
pales' with some estimates as low as
| Io'VoO'OOO bales. and on the sharp demand
ior the staple at home and abroad. Re
c-''pts continue large. but their effect upoI
| Quotations is offset by the increase in eX-
ports. The advance that has taken place
III The last twelve months is considered
uEWafranted by many observers, and i
/ certainly would seem that current quota
IONS FULLY discount the unfavorabl'
features of the situation. Increased sup
pleS Of wheat, falling off in the expor
ue'hahd and lower cash markets at th'
southwest have not weakened quotations
'hough some hregularity is noted in tn
market The cash demand at the North
west Is active. Prices for -four have ad
Fahced. and spring wheat mills continu
to grind their fun capacity.
in the slow ripening of Time the hou