New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-08-08
MONEY AND BUSINESS.

Sentiment in Wall Street circles Is
business in the securities market. owing
to the idea that forced liquidation has
run its course and that prices are low
enough to attract speculative and in
vestment buying. A moderately heavy
amount of stock has been taken by cash
buyers in recent weeks, but evidence is
lacking of a widespread investment in
quiry for either stocks or bonds not
withstanding accommodating bank re-
serves and the satisfactory income that
may be obtained on our best class OF
railroad and industrial issues Forces
that have been active in depressing
prices for many months, particularly in
the market for railway mortgage Sc
curities, apparently have largely. spent
houses it is believed that from now on
bear factors will exert a les.ening hold
upon quotations. though the possibility
of somewhat lower figures Is admit
ted It would seem, however that only
the development of some positive ad-
verse influence could bring about a re-
sumption of panicky liquidation. Rail-
road bonds, as a rule, are cheap at pre-
vailing levels. and It is likely that
prices In this department Of the market
will present sustained improvement we'll
in advance of any similar movement in
stocks.
Solid bonds are down from to 10
points from their high points Of 1909,
while railroad shares show losses of
from 20 to 60 points, with the average
for the leading rails at about 10. against
the high of 1874 last year. and that Of
the chief industrials at 49, decline Of
81 points from 1909 In last weeks
market the railroad shares closed
points above the low range of July
and the industrials points. Currency
continues to move to New York from
the interior, the gain in the last six
business days amounting to almost S.
100000, but the course Of domestic ex-
change suggests the probab ility of a
turn in the tide at no distant time owing
to the coming needs of Western and
Southern banks in connection with the
financing of harvest requirements. AS
a matter of fact, most of the currency
received by the local Institutions In re-
cent weeks represents shipments from
nearby points, chiefly from the vaca-
ton resorts, where there appears to be
no contraction in individual expend-
lures and no indication Of depressed
business conditions While the outgo of
currency from New York doubtless will
be heavy In the autumn, bankers are
not looking forward to disturbance In
the local money market owing to the
wise precautions they have taken to
strengthen reserves at this centre and
to the recent development Of greater
conservatism in the West, which earlier
in the summer showed g. bank position
of extreme weakness. due to tremen-
dous speculative activities. involving a
heavy overexpansion of loans In that
part of the country.
Money rates are higher at interior
cities than they are in New York, and
the fall IN exchange in Chicago ST.
Louis and St Paul from a premium to
a discount accentuates the probability
OF heavy demands upon our financial in
stitutions. Discounts in London are
firmer and the Bank of England's per-
centage of reserve to liability Is lower
than reported a week ago, reflection
of which is found in higher sterling QUO
tatons in this market, which is now at a
level that does not make gold imports
profitable Ease in money here is more
of an indication of the liquidation that
has taken place in the stock market and
the absence of a new speculative inquiry
for loans than of general business con-
ditions. Our Industries continue to show
an irregular tendency, but reports from
trade centres do not bear out the idea
that tremendous shrinkage in business
operations is developing Retail trade at
present is confined in large part to clear
ance sales of summer goods at price con-
cessions, while the jobbing demand
shows some improvement, chiefly in the
West Conservatism appears to be the
keynote in the business world. which Is
going through a period Of healthy read
justment
Bank clearings for July as compared
with the figures for the same month last
year. show small declines in New York,
Boston and Chicago. Elsewhere, az a
rule, gains are reported, the chief excep-
ton at minor points being supplied by
Fall River. where loss of lS per cent
reflects the decreased volume of trans
actions in the cotton goods trade 1t is
worth noting. however. that improve
ment in demand Is under way In the
market for cotton goods and that au-
thorities believe prices on all classes of