The Cairo bulletin., 1909-09-13

railroad may differing vers widely
from what would have been printed
, had he lived a few years longer.
Dizziness May Be Intense.
1t is not unlikely that the period of
dullness which accompanied Mr.. Har-
riman's illness will, after the first
burst of excitement, become even
more protracted until some clear idea
becames possible o fthe new railroad
situation that is to develop. The
violent fluctuations of few weeks
ago were artificial; the strength and
activity i'm the market were largely
the result OF professional manipulation
The market seems to have overlis-
counted trade and industrial improve
ment and must wait for these depart
ments of our activities to catch up
and adjust itself accordingly. The
| iron and steel industry has unde-
,niably made active and practical re-
covery from the recent period of de-
preston, but even in this most spec
tacular instance the conservative
members of the trade are beginning
to advise caution and moderation as
La definite future policy The great
ldry goods trade of the country has
reached state of balance, awaiting
indication whether the progress al
ready made has been too fast or
wnether an additional advance shall
be attempted. In this and other I'M
Iportant trades the point has been
| reached where the retailers are about
to show whether the preparations
made in their behalf by the dis
tributors have or have not been over.
done In other words, disposition
towards conservatism is becoming
manifest all along the line which Is
icertainly subject to none but a favor
able interpretation
Money Situation.
The money situation is also begin
ming to demand attention in any long
range view of market prospects. The
blank statement of last Saturday fore
lshadowed lower prices in the stock
market as it showed clearly that the
banks were very mich extended in
Iloans, with considerably reduced
surplus reserve being $15,750.000, as
against $52,000000 for the CORE
Isponding period last year. with the
generally against New
York. This is usual at this period
Iof the year money going to interior
points for crop moving purposes, and
is likely to continue for some time
Ito come. The extended bank loans
indicate that the big holders Of stocks
lare large borrowers on them, placing
them in position as not to be
Ianxious buyers-only buyers to sus-
tain values as best they can when
drives are made at the market. In
addition we have a heavy trade bal
lance against this country to take in
to consideration which is not fully
counteracted by a total of at least
$500 100000, which our bankers and
large operators are borrowing in
London and on the Continent by
means of finance bills. This $780,
100000 is an addition to our loan ac-
count and it will require payment
when it natures.
The Crops.
Our wheat crop does not promise
IAN export surplus sufficient to supply
grain bills in anything like adequate
proportions: our cotton crop. as al
ready noted, is disappointment and
will therefore be restricted factor
in the foreign exchange situation
and the uncertainties of our tariff re-
lations with France and Germany are
calculated to restrict our export
trade with those countries. There
fore the probabilities are that our
foreign Indebtedness must in large
measure be eventually paid by gold
Except so far as foreign interests
may be induced to take the new Sc.
curties that our railroads will be
compelled to Issue during the next
! few months. These have been tenta.
lively underwritten.
The situation is one suggesting
prudence. Investments should be
undertaken with great discrimination
and caution. The ups and downs OF
he market should only be taken ad
vantage OF for quick in and out trad
ing-not for long prll.
HENRY CLEWS.