New-York tribune., 1909-02-15

at an average of 1922, an advance OF LOO
Money market conditions apparently fore
shadow hardening in rates in the near futuIe
A substantial advance is not looked Tor, Out the
loss to the banks on the withdrawal OF govern
-,a,+ 1a,osi+s and the certainty of new Treasury
financing to meet the enormous expenditures VI
the nation at a time when the federal revenue
is light suggest a better price for funds whlch
for many months have ruled at an abnor1nally
lou level And in addition to this future cor
poration demands upon the supply OF Idle money
sbou1d not be lost sight of market lnnu-
ence Mercantile bids for accommodation are
,ninoportaut factors at the moment, and no ap-
preciabIe increase in the supply Of commercial
paper is expected for two or three months 10
come, as merchants requirements to great
extent are restricted to current needs In inter
national finance movements of uncommon I'M
portance are under way, the most striking feature
of which is the reflected ability Of the Bank OF
England to control the foreign exchanges ana
the course Of the precious metals. Paris eN-
change has turned in favor of London, the Bank
of England is replenishing its gold holdings, and
the French capital soon may be compelled TO
become an exporter of the metal
Fundamental conditions in the industrial world
are sound, but improvement in business is max
ing slow progress. Retail trade is restricted,
and the wholesale interests find as a consequence
a poor distribution of merchandise in the greater
number Of lines High prices for commodities
and uncertainty over the character of the
changes that will be made in tariff schedules
tend to discourage buying, though the great
depletion of stocks in the majority of business
enterprises furnishes element OF strength
that must before long lead to greater activity
on the part Of manufacturers. In the drygoods
market the buying movement that set in early
in the year is fairly well sustained a firm
level of prices based on the strength of the raw
material. Both in the East and West cotton
goods are in good demand and the influx OF
country merchants is large enough to encourage
the expectation Of growing activity in this i'm
portant department of the market the spring
months develop. The volume of new forward
business in drygoods from all accounts is heav-
ier than in any other line OF work. Demand for
woollens in certain instances is larger than the
mills can supply up to the early part OF the fall
while the inquiry for autumn lines of imported
woollen and dress goods shows no abatement.
Iron and steel trade conditions show no i'm
provement over the last week. and notwith-
standing lower prices and concessions in the
metal trades active demand from consumers
fails TO develop. Low prices are being made on
structural material, and in spite of this move
ment the chief users are not heavy buyers,
operations soon will expand to an extent that
will cause a material change in the output Of
the structural market. Quotations are fairly
steady for foundry pig iron and steel making
iron is dull at unchanged quotations. Demand
from the railroads is light the transportation
companies buying at present in the neighbor-
hood Of 40 per cent Of their normal rail tonnage.
Steel distributors and consumers feel that the
community Of interest plan OF keeping an agree
ment on prices for finished steel products Will
be disrupted in a struggle for business at
cheaper figures In the copper market pro-
ducers are optimistic over the future. but at
present the trade conditions are disappointing.
and consumers can see nothing ahead but lower
quotations for the metal The stock of copper
on hand however is smaller than recent esti-
mates indicated, and the foreign consumption
is taking between 30 and 60 per cent Of the cur
rent American production,
High prices for wheat interfere with the out
put Of -four the present demand being chiefly
for small lots Little -four is left for resale. and
as a consequence mill interests feel more conf
dent over the future in spite Of the price sitUa-
ton. their expectation Of better forward buy
ing movement being based upon the decreasing
tendency Of stocks on dock. The advance in
winter wheat has had a corresponding effect on
winter wheat -four, and the strength of the cash
situation here and in London and an increase
in the export demand have carried the general
wheat market to new high prices for the sea-
son. Receipts Of corn continue small and quo
tations are strong. Only moderate receipts OF
oats at primary points increase the confidence
OF holders in better prices. While grain ex-
ports showed Improvement last week, the offi-
cial report Of exports Of breadstuffs in January
made a poor exhibit; also that for cotton and
all domestic products. except mineral oils.
fI,, f1-v,, ,acFf,
market for hides has developed weakness owing
TO the poor quality of offerings and the reduced
Inquiry from tanners.
. @-----