New-York tribune., 1909-03-12
FINANCIAL AFFAIRS
LIGHT DAY IN STOCKS.
Erie Issues Weak and General
Market InactiCe - EdSy
MOneu Rates.

Trading in Yesterdays market reached smah
totals. even in the leading issues. while the
general course of values which showed great II
regularity was not accompanied oy any ilui-
cation of a resumption of activity III lle lHl-L4C
diate future There was some interest IN EIIe
stocks owing 70 a bear attack and hquldatloh
IN them but the movement failed TO ehc"uid59
important selling in other parts or the H9''
though as q rule the character Of dealings re-
Elected efforts by the bear element TO br4ng
about lower quotations. At the close changes
,,-ere about evenly ditided between small net
gains and losses the Fries, among the so-cai'e"
active shares, presenting the chief eNcep'loIS
AT losses Of 27s in the common, IN Ile III
preferred and 2h in the second pre1erred' IN
warranted reports that the Erie company was
drifting toward a receivershp were responsive
for the weakness in the stocks OF the company
and their failure TO rally in the race OF ueiillS
that a recefvership was contemplated was due
merely to the absolute lack Of buying power IN
the market rather than to a general belef that
the Erie system IS net pulling out OF It's trouDies
The Erie is earning its fixed charges, ara II
enuears absurd to talk about receivership pro-
ceedinazs The last monthly report Of the com
panv made an excellent showing, while for the
seven months of the fiscal year net earnings
present a gain of 220 per cent over the corre-
spending period in the preceding year with
surplus after charges, on an estimated baSlS OF
s14 100000 a year, of more than S1GO0OOO- IN
Reading, Southern Pacific and Union Pacihc
net fractional losses were recorded; in ANAL
garnated Copper and United States Steel frac-
tional gains were reported. In Sugar Rennlng
American Tobacco preferred and Columbus ana
Hooking Coal and Iron advances of more than
. r,oints were made. but in these issues there
was no semblance of anything beyond proies-
sional ttading. At the close the general market
was lifeless Bonds also were inactive Win
weakness in the Erie convertible and general As
Tariff uncertainties and further cuts in steel
prices contributed TO the days general duiness
in the securities markets.
Figures of the countrys exports of domestic
products in February furnish reason for the cur
rent strength in the sterling exchange market
and following similar exhibit in the preceding
month explain the tendency of gold to leave the
United States, irrespective of money market
conditions here and abroad and foreign selling
of American securities. In January there was
a falling off in the outward movement of food
nroducts and cotton to the value of $39,376,40S.
as compared with the same time last year, while
in February the decrease amounted 10 $3O,5Sl.-
G97, total for the two months of S69,S51505.
To this sum should be added a loss in January
in shipments OF general merchandise of more
than SlO.000000. and though the figures of the
latter item for February not yet available
it appears safe to count upon nearly as large a
decline as in the preceding month, thus making
an estimated reduction in exports in the first
two months of the year to the value of upward
Of s90.00O,000 Exports in the corresponding pc
riod in 1908 were unusually heavy conse-
ouence of after panic results, but this TACT mas
sterling exchange market and does not indicate
that the showing far this year has been any
where near the normal AS a matter Of fact.
the exports Of domestic products in February
this wear were smaller than in that AnOnth since
1905 Money, is cheaper here than is abroad,
but neither at London nor Paris is there
actual need for the importation Of gold, the
strength of the foreign position being reflected
In the weekly statements of the Bank of France
and the Bank of England, the showing for the
latter in Yesterdays return being better than at
this time in recent history with the exception or
1905 There was a gain in the week in the in
stttution's percentage OF reserve 10 liability Of
nearly . per cent. the hguSes standing at 20-o4'
against a nine-year average of 4753
The United States has exported for London
account more than $15,000.000 gold TO South
America since January I; last Wednesday ST.
100000 Of the metal went direct from here to
the British capital. and if exchange moves TO
slightly higher level further shipments 10 the
same point will be made With demand ster-
ling at 1855 gold coin can be sent from here at
a profit with the Bank of England paying 16s.
I'd for American eagles. Gold bars can be sent
ont at a lower rate but the local Assay Office
is almost bare of the metal in this form. Time
money continues in light demand at easy rates.
with large offerings of out-of town funds for all
maturities the presence Of this factor In the
market serving 10 offset influence on rates
gold Withdrawals and heavier payments by the
banks to the government. The increase in i'm
ports Of merchandise and in internal revenue
receipts so far this month over the same time
o year ago has been greater than the gain in
expenditures total receipts since March
amounting to $1T,SS6.93S. against $14.o12,35S IN
1908, and total expenditures to sIs720.000.
against SI67 e,G00. In 1908 the excess of eX-
penditures from the first Of the month amount
ing TO sS33 0IG. as compared with S2.777 Gal last
wear Growth in imports is reported in the face
Ill