New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-09-12
HONEY And BUSINESS.


no indication of the development OF q
| broad demand III the immediate 1nture'
| Speculation on the Stock Exchange
amounts to little more than the swap
/ ping operations of an unlmportaht
| professional element, but comifllss!oii
houses are urging their customers 10
| buy at prevailing prices, In expectation
of higher quotations later in the season
While various uncertainties in the gem
eraI situation continue to restrlct wan
Street transactions, they tall TO priiis
about 1iuuida ton or declines in real ana
market values, nor do they weaken con-
| fidsnce in the theory that a foundation
| Is being made for q revival OF an active
buyins movement both for investment
snS speculative account The stock
market has gone through period OF re-
! adjustment and it is now in q position
! to respond to favorable developments.
REIMBURSEMENT, however, must take place
! in other markets before we can hope Tor
permanent betterment of business in
this country. In the mean time 1t is not
unlikely that prices for securities VIII
begin to discount favorable change in
economic conditions. Curtailment In ex-
penditures and lowering Of commodity
prices eventually must take place II we
are to have stable state Of affairs
Local banks hold large reserves, and
as consequence they are experiencing
no difficulty in handling the demand for
funds incident to the harvests. Rates
for loans doubtless will move to a higher
level in the next three months, but moth
ing in the nature of a money squeeze is
looked for by the best Informed bank
ers. especially as the inquiry for stock
market accommodation promises to re-
main inactive for weeks to come. Pre-
vailing conditions, of course, make it
| hard to form any idea Of the extent Of
the movement of currency to the in
terror or Of the demand for accomnlo-
da ton for general business purposes, al
though in view of the size OF the crops
and the necessity that confronts mer-
chants OF repIenishing stocks it is natu-
raj 70 assume that New York bank re-
serves will be materially reduced before
the end Of the current month. Rates on
long time loans are easier than those re-
ported a week ago, with minimum of
~ per cent, while commercial paper IS
not In demand to any extent below per
cent, a figure which keeps the best
drawers out of the market. Easier dis
counts in London and an inflow of cot
ton and grain bills are reflected IN q de-
Ginning tendency in sterling exchange
and the importation of $500, 900 gold
from Mexico.
General trade conditions are mixed
strength being more IN evidence than
weakness. JObbers report a better dis
tribution OF goods for fall requirements,
while the volume Of day to day business
is heavy in most parts OF the country,
with only small margin of profit. how
ever, for manufacturers and producers.
Buyers are doing little in any market on
goods for distant deliveries, and It ap-
pears likely that this situation will con-
tinue until political and railroad rate
uncertainties have been efimina ted.
Railroad gross earnings make favorable
comparisons with 1909, but the cost Of
operating has increased TO such an enor-
nous extent that net returns in the case
of the larger number of companies make
sorry showing. Bank clearings are
under last years record, owing to q
falling off in the operations in the spec
ulative and financial markets, rather
than to trade conditions, the decline at
New York last week, for instance. Of .,
per cent being fully accounted for by a
reduction in Stock Exchange business OF
- per cent from the same week a year
ago The best reports on business come
from the West, where heavy marketing
of farm products at good prices is help
ing trade and collections.
Crop reports are most encoura ging,
with the promise Of record breaking
yield of corn and oats. The country's
farms have not fallen behind the pro-
duction OF last year, except in spring
wheat and barley, while the total har-
vest. based on the government figures
for August, will exceed the total OF 1909
by a substantial number of bushels of |
grain and by million or more bales Of |
cotton. Spot cotton is weak, and at it's |
lowest price last Thursday showed de- |
cline of 81 80 bale since September !. |
light. In the period OF curtalment a |
large amount OF the staple was sold by /
manufacturers for settlement purposes, |
leaving the mills bare of supplies at the |
beginning of a cotton season that is |
marked by unusually light holdings Of |
textiles by jobbers and retailers. Early |
sales of new cotton have been heavy, |
owing to the financial necessities of the |
growers, and spinners have been good |
buyers on the decline in prices. Wheat |
also is lower. due to an absence of an |
active cash demand and big accumula-
tons of stocks ut all points.
Production OF pig iron on September | |
was at the rate of about "A. 500 600 tons |
Il year, against 81 000GyO tons at the
beginning OF 1910 with the output in
August smaller than in any n.onLn since |
July. 1909. At the moment sellers are |
asking on 1911 PRICES from SO cents to !
81 A ton more than the low figures Of !
the current year. but buyers are not dis