New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-01-01

the average at the opening of 1903 there
has been a decline of a little less than z
points, the bonds upon which tire calcula-
| ton is based being issues actively traded
In on the exchange from day to day and
include the very best investments.
MONETARY CONDITIONS.
Money was easy and extremely plentiful
until the late summer. Since that time
there has been a gradual shrinkage in bank
reserves and a growing f1rmness In rates,
the latter promising to be an important
| factor in the new year despite the fact
that currency soon should return from the
interior In considerable volume. In Che
| larger part Of the year call funds ruled
| under per cent. while time contracts were
| made at from "a to 3at per cent. the De-
cember rate for demand loans going as
| high as per cent, with time maturites at
| "A to per cent. Commercial paper at the
| end OF the year brought from "a to 81
per cent. Money has passed the period OF
| easy rates. and current indications sug-
| gest that 1t will be long time before bor-
| rowers will be able to negotiate loans at
cheap figures, particularly as bank re-
serves are low, while in the current year
there will be a big demand for accommo-
dalton in connection with the financing of
from mercantile centres incident to trade
expansion. Money markets throughout the
world stiffened In the fall of 1909, notewor-
thy instances of which were furnished by
the Bank Of England and the Imperial
Bank of Germany, which advanced their
minimum discount rates to per cent, that
quotation by the British institution COM
pairing with 21s per cent early in the year.
The per cent rate was established by the
latter on October q. and reduction to
"A per cent was made early in December,
the high figure having been effective in
hating the drain upon London for gold
for Continental account. Furthermore the
refusal of the French bankers to renew
loans on American securities forced the
hand of the Bank OF England, the imme-
date effect OF the advance In the discount
rate being reflected in heavy sales of spec
ulative stock by London. The volume Sc
American borrowing abroad was enormous,
and London did not propose to have the
whole of the burden transferred to her
market. A significant feature of the money
market In the year was the long period
or easy money in the face of large exports
or gold. which amounted to more than
S1O4 900, 600.
Monetary conditions in the year were
sound. the strength of the situation being
indicated by the freedom and ease with
which our position permitted us to meet
heavy gold requirements to satisfy the de-
mands of London. Paris. Holland, japan.
canada and South America. exports to the
last named country amounting to more
IMAM *oo'"o0U. representing the payment
by London of it's obligations In Brazil and
Argentina at the expense of the local mar
ket. Foreign exchange ruled against the
tt-o1 I.Y
twelve months, as a consequence of our
falling exports of merchandise and in
creasing imports, International financial
transactions, including borrowing abroad.
travellers credits in Europe and interest on
American securities held by foreigners; but
in spite of this situation our markets VIC re
free from disturbance, though The export
OF gold was helped by the increase in our
pond secured currency, which tended to
drive our best money from the country.
Exports of gold and additions to national
bank notes outstanding, the increase in the
last year amounting to more than $50 600
OOO were not troublesome factors in 1909
but 1t is conceivable that in the event of
an extension of the movement serious re-
suits will follow, all of which calls atten-
ton to the efforts being made by our bank
ers and many of our lawmakers to bring
about real currency reform. progress in
that direction having been one of The note
worthy features of the year just closed
Foreign trade of the United States in 1909
December figures not avalable) amounted
to a total of s2,S92 pa, O45. an increase OF
S;i2S, $50 over the eleven months of the
preceding year, the gain being due entirely
to the larger volume of imports which
amounted to 1892 169, AL more than in 1905
Exports decreased SS,3S3.4i1 Exports cs
breadstuffs declined to the value of A5,17i.-
AS, while shipments of cotton increased
81, IA 251. In the last two years there has
, leen a decline in our export trade to the
amount of $16O.6s5, 40. In the eleven months
of 1909 the excess of exports over imports
amounted in value to $2lS 99S, 103, against
1853, ,015 in the preceding year and $685.
31S,373 in 1907, while in 1909 net exports of
gold were $50 291, 1923, against S2S,734.1SS I'm
1907, and an excess of imports in 19o- DC
s44, 317. when panic conditions here
caused gold to flow this way In the last
year the excess of exports of silver over
imports amounted to S1JSl3.S3S. against
SO, 2S6.7o in the year before. Dutiable I'M
ports in the eleven months ended Novem-
Der. 1908 were valued a S-l4670.1SS. against
$3.50 713, $50 in the corresponding months of
1905 an increase of SIS, 956 299; imports free
of duty in the eleven months ended No
vember. 1869, were s621. 95277S against SITS.
7S9. $50 in the corresponding months of 1908.
an increase of S173 2131
While the high prices of food products
served to contract the outward movement
of grain in the year, an active foreign
inquiry developed for cotton in the autumn
months, in spite of the excessive quota
tions prevailing, which. however, caused
more or less uneasiness among the manu-
facturers of cotton fabrics in this coun-
try and was responsible for considerable
curtailment at the minis. The govern
ments Official estimate of the cotton crop
of 1909 was 1O,0Ss,0o0 bales, against H.
$4,000 bales in 1908 and all $4,000 bales in
1907, the acreage in 1909 being under that
of the two preceding years. The value
of farm products in the year just closed
amounted to the enormous total of S.