The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1910-05-30
OF PAST WEEK
BRING CONFIDENCE

New York, May 2a.-The principal
events of last week were construed Ia
yorably from financial s,andnoin1
nevertheless, to push stocks for sale
and at declining prices. Preparation
is believed To be going on in that way
for the possible strain on money mar
kets of the coming autumn. when the
movement of the crops and the re-
Sufrement for funds thus involved
might cmbarrass an over-eXtended
credit position, such as was shown
by the last national bank return to
the Controller of the Currency. Spccu-
lative liquidation was actively pursued
not only in stocks but in the grain
cotton market. The completion of ar
rangements for placing issues of
American bonds abroad has formed an
additional element of relief for the
money market.
So far as prices of commodities have
been placed on an artificial level by
speculation or by other causes. a re-
adjustment is of prime Importance
from every point of view The ap-
prehension of tho banking community
over the abnormal situation OF the
country's foreign trade has been frank !.
ly expressed, and the prices maintained
here arc held responsible both for
the heavy excess of imports over pre-
vious years and the deficiency of eN-
ports. The process of speculative de-
fiation. while painful. is REGARDED as
essential and as conducive 10 salutarY
results,
Such results are are, the more mo. ass sssu, ed
fall in commodity prices afforded by
the favorable crop prospects There
is steady growth of confidence that
the wears harvests will prove abund :
ant. notwithstanding the backwardnes7
of the season and the hazards to which
the crops have been subjected, Alons:
with the promise for the crops goes
The increased need for money. and the
banking facilities. for which prepsra-
ton is regarded as essential.
Last week saw the belated official
announcement of the sale in France
IF s5o,ooOOoo of st, Paul bonds and of
$40, 100000 Of Cleveland, Cincinnati.
Chicago and St Louis bonds, The fact
chat long expectation had blunted the
Immediate effect of this news on the
stock market does not alter. its es
sential Importance as much-needcd
supply Of capital for enterprise in this
country. The methods of French bank
ers and the habits of French Investors
assure permanent character for these
Investments that add greatly TO the
Importance OF accounts to this source
of capital supply.
Tho feeling in New York BANKING
| circles regarding the. longer imam
cial outlook is seen in the interest
shown in the course of the govern
ment finances. Panama Canal eXpendi'
lures bring up the question Of posi-
| BILE withdrawal of government ldepos1t:
from tho banks or the issue Of cana
| bonds as an alternative. The necessit'
/ Is realized of a per cent. interest rat
| TO float bond Issue. and refusal o.
| the part Of Congress to provide a high
err tax on the bank note issues Nnde
these bonds as an offset against u
profit compared with fhat unaer ~
3 Der cent bonds. would cause dro1
in the latter to below par in IN
! market, it Is claimed. thus calling 70
A deposit of additional bonds TO sccnr
The Increased activity in the iro1
| market at the reduced prices Is We
/ garded as giving promise of the ex
/ pected turn towards betterment In ina
lp5nstry