Omaha daily bee., 1910-07-31
TALK BRINGS No LAMBS
Optimistic Wall Street Finds Buyers.
So Wary of Lure.
POSTAL SAVINGS IN ENGLAND
some Figures ON the Totals OF the
Government Hank In the United
KinEdOm-why silver II
Going Higher.
IN pREsToN Q. ADAMS.

by PRESTON c. ADAMS.
NEW YORK, July 3o.-tSpecial Dispatch
to The Bee )-Men are a suspicious crowd
down In WAN street and prone to believe
that men of high finance are experts In tho
use OF words To conceal thoughts, For
Gary, Paul Morton, James Speyer and
Frank A. Vanderlip should know business
conditions In the country II anybody does
and with the ordinary man their predic-
tons as to the business future carries
weight
But with the men who buy and sell in
Wall street II is different. Recently all
these gentlemen were quoted as being most
optimistic as to the business future OF the
country. Was there a rush to buy in the
stock market2 Well not so you could notice
II. As a matter of fact these interviews
We're at once followed by a story selling
movement which hammered several points
off the price of stocks, and so Il goes.
In view OF the establishment OF a postal
savings bank system in the United states
a review by Consul General John l.. Grif-
fiths of London of the operation OF the
government bank OF the United Kingdom,
where tho deposits are mounting up toward
billion dollars, is OF interest
Totals of the Business.
In 1905 there were 1S37S,s9I deposits, ag-
gregating S2l7,9T7On, and s,922,l69 with
drswals, aggregating 500 gl6,7l4 The
amount withdrawn during 1908 exceeds the
amount deposited by S2,OS9 7O3. but in 1907,
when financial conditions were less stable
the amount Withdrawn exceeded the amount
deposited by $40, TS5,sSs. The largest number
OF Withdrawals on any one day was IS, 4S6,
and OF the entire number OF Withdrawals
in 1908, 5,9l0.4S5 were made on demand.
The total sum to the credit of the II, obs 25l
depositors In the postoftice savings bank
on December 81 1905 was $751; 7gl $50 an
increase OF SIS, 800 400 i'm the year
In the United states the capital subscribed
by Investors during the half year ending
June 80 exceeded the striking sum of
In London the total was only 500, 1000 900
smaller, amounting to f1SS,O00,OOO, or $40
VG,OOC record breaking total.
Included In the English flotations are
EGG, 10000 Cs1S2, 900, 900, representing Amer
lean securities, largely bonds placed by
American railroads with British investors.
These bonds are necessarily duplicated In
the figures OF both countries. IL is prob
able, however, that this country has a
greater lead over England in capital crea-
tons than the comparisons suggest as the
list OF financial applications does not take
into consideration the many small COM
panies on this side that have placed Sc
curlties with investors. The system OF pub
lie offerings of securities in London is ia
this respect more adaptable for exact conn
hand the English flotations are largely for
colonial and foreign enterprises; ours are
almost completely domestic.
Price of silver.
Investigation here into the recent re-
markable advance in silver brings out that
an ambitious speculative movement has
been projected and entered upon by the
India Specie bank, a financial institution
controlled by natives of India and possess
ing large means.
Basng their calculations upon the help
ful monsoon the inspiring crop prospects
and expectations OF government purchases
these native bankers have formed the con-
cluslon that the demand for silver will be
sufficiently extensive to carry the price
much higher, and they have accordingly
puI chased some $15, 100000 worth OF the
white metal in Bombay and London For
this sum they have received approximately
3O,OOO,OOO ounces, which, represents a very
large percentage Of the available supplies.
The scarcity thus brought about In India
has led to the shipment, according to pri-
vate cables received here, of 81, $50 900 worth
of the metal from Shanghai to Bombay.
The Indian spectators have been encour-
aged in their operations by a belief that the
lndIan government will have to buy silver
at this time, after having been out of the
market since 1907, but other authorities
doubt whether such purchases will be
necessary, at least for some time.
End of the Cotton War.
The fight between the old crop longs and
the shorts In the cotton market, which mas
been on for months, will evidently not end
before the END of the season.
The cotton year ends on August 81 and
from September l 1t is another year. NV
crop cotton begins to move before SJp-
TENDER l, but not In sufficient quantities.
to make the new cotton the controlling ele-
ment in the market. In some seasons the
crop has been SO Late that new crop cotton
has been OF little weight on the market
during September. There has never been u
year in which 1t was possible to deliver
new crop cotton on August contracts In
New York at a profit; and the fact that
the season is rather late this year, makes
1t out of the question to count upon the
delivery on any new crop cotton next
month.
In the history of the New York market
there has never been such contest in real
bales as has been fought since January l.
The future trading has not been In paper
cotton" but-thanks to the southern and
western men who believed that cotton waa
cheap--it has been real cotton market
Information received by the currency
bureau in the Treasury department and
made public by the comptroller OF the cur
rency, has rendered II evident that the
banks OF the middle west are, In some
sections. at least, undertaking to put them
selves into better condition before the COM
ing of the fall demands. Most of the fig
ures show a decided Improvement over the
conditions exhibited at the time of the
last call
Revival in Iron.
There are signs of revival in inquiry for
pig iron though stocks have piled upin fur
mace yards during the first two weeks Of
the new quarter. Restrictions of produc-
ton In Pittsburg and valley territory has
reached the stage where practically all the
interests, not having contracts calling for
shipments this month, have suspended
opera lions. II the Pittsburg and valley pro
ducers can avoid It there will be no over
production OF pig iron during the present
quarter.
Producers and consumers seemingly have
accepted the price levels prevailing at the
close Of June as the absolute minimum OF
the market. There has been no attempt "a
shade these figures. Foundry Iron has
moved in small lots on the basis or Sl45C
furnace for No. 2. and some small tonnages
NJ basic have changed hands at Sl47b val
leys though II is possible this price could
he shaded on a substantial Inquiry for Sec
ond quarter.
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