New-York tribune., 1909-01-25

markets power Of absorption, and there Is some
danger of congestion unless an increased IN
u1liry soon develops. Leading active railway
shares closed the week at an average price OF
1875, against 1880 in the week before, while
the prominent industrials ended at an average
OF 1892, gain of AZ.
Money continues to accumulate at this centre
as a consequence of a heavy movement OF cur
rencv from the interior and excess government
payments: gold exports in moderate volume
withdrawals of federal deposits from the ma
tional banks and arrangements by the trust
companies to increase their cash reserves unuer
the law compelling them to do so by February L
failing to reduce to any extent surplus hoidlhss
of the Clearing House institutions. Rates Ior
money are at a low level. The mercanthe oe
mand is unusually inactive for this perlou VI
she wear and the absence of such an inquiry
for accommodation has induced the purchase ny
the banks of short term notes, from WHICH '"0
return is more profitable than from operations iii
the loan market. Our banks are almCse sur
feited with idle money and the expansion that
has taken place In loans In recent nion''''
ounIv nrotected by an enormous gain IN re-
sources Demands upon capltai aOroao
upon an extensive scale at time wneh inc
pa,1, of England is in a weaker position than IL
has been at this period in the last eight years
and unless the Bank of France releases soAu ''
ceases to be & competitor for the weekly oilei
ines Of the South African metal IN the open
London market higher discounts may DC loohCu
for at the British capital Exchange at far4S
., Iopdon ia In favor of the first named point
while sterling rates at New York commune u
rule at the gold shipping level.
,rho,0b the mercantile demand for money Is
light. developments in trade circles present n'
REASON for encouragement. Progress is indl-
and ron
come reports of strong underlying condltiohs'
with confidence on the part of manufacturers
and PRODUCERS over the outlook for conserVd-
tivelv pullish spring business. Wholesaie anu
tohhing trades have received fair sized oroeis
for immediate delivery. the best reports coIi''7
from the leading drygoods centres OF 'he f'a9''
where the demand for cotton goods SHOWS spe
cial Improvement Print cloths at hrsl h""us
are active at New England points. buyeiS u
cotton goods for shipment TO the Far East 10
oc+i,,. in the local market estimated sales since
the middle OF December amounting 10 more '''a"
90 OO0 OOO wards the bulk of the exports going
a. C,,,.a rba trnnrovement in the China and
,naio trade has induced more independence
,-,ors manufacturers of cotton goods, Whlle the
err,,asa oS the raw material market also Is d
factor in this respect. Speculation in coItoi
for future delivery has been on larger sO'
OF an advancing price movement anu sP
have been busy buying summer ana ran ii'oii'"
The spot market is strong, with br'sk oeIiaiu
in the South where exporters and dealefs "l'
IN the fall sold heavily for delivery iloii'l0
ahead are not finding It as easy as expecteu u
al t,eir contracts. Total receipts of cotton last
week were S5S bales, against 256'oZ9 paie'
in the preceding week. making total Fe9eip'7
r-or, sentember / 7.O45.916 bales, as compared
,,,b sol 3f4 bales in the corresponding period
in 1908
Manufacturing plants continue TO work on
basis we'll under normal capacity. but greaeer
degree OF activity is noted in some sectlohs' WIN
,ho rror,,sa Of steady employment OF ma
cbinerv Consumers demands are restricted oy
uncertainty over the character OF the chdhse7 W
he made in tariff schedules. this being parucu-
IarIv prorounced in the market FOR steer prou-
ucts, where a waiting tendency is rehec'eu ~
the majority Of lines. Compared with year
ago however conditions In the iron ana s'eet
trade show vast improvement. an indicatloh oL
,,bt,b &c found IN the operations OF the largest
nroducer Of finished materials. which Is working
unon q basis of about so per cent. against ~
ner cent at this time in 1908. There has oeeh
an active reduction in furnace STOCKS anu DIS
consequence 1t is believed the tonnage OF I'd"
nrod,Ictg recently contracted for VIII De eashS
absorbed Expected heavy buying by the Fdll-
roads has not developed, but the requirements
of ehe companies are large, and TRACES aieo'e"
believe that in the near future suhstantlal or
ders will be placed for steel rails ne" EQUIP
n,ent and bridge and structural Materials i"e
conner market is weaker. as a result OF an maj
tive huving demand, consumers evidently wait
,.a ,n tho expectation of a readjustment to
,o,,sr level notwithstanding the predictions oy
sor,a veil informed observers that the price VIII
90 above IS cents a pound before it goes below
IA cents. ;,
In the wheat -four market a stagnant conm-
.,o, o1 erfairs prevails Prices have remained
r.o+icaIlv stationary in the last week. the de-
r,and from most sources having shown SUD
stantfal shrinkage with the output OF the m1lls
IN excess of the demand. The export trade Is
5ulY Prices for wheat, however. on the Chicago
Roard OF Trade and on the local Produce EX-
change have advanced a result OF the reia-
t!veIv small visible supply in Europe the ralIlhs
off in the shipments from Argentina ana De
creasins receipts at western points. Receipts
of corn also have been light and prices have
ehoy,n a steady advance. Oats strong in
e,r,aathy The market for leather is firm on a
good demand better supply being reported as
a consequence of an increased output by tanners
Shoe manufacturers have covered to great
extent their heavy orders. but more buyers are
renorted in the market especially for heavy and
medium footwear Railway traffic conditions
are i,nnroyinr. particularly in the West and
Southwest. and though comparisons OF earnings
are made with a period year ago when trans
portatfon receipts were at a low ebb, the gains
are sufficiently large to encourage most hope
f,,I feeling over the future of the railway busi-
ness The volume Of payments through clearing
houses for all cities last week increased 19 per
cent over the corresponding time in 1908.
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