The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1910-11-21
palladium Specially


New York. Nov. 2l.--In spite of dull
ness a stronger undertone appears to
be developing on the Stoch Exchange.
This is partly due to clearing of the
the encouragement afforded by a big
corn crop, the favorable prospects of
the Interstate Commerce Commission
agreeing to fair advance in railroad
rates to offset the increased wages to
meet the demands made upon them
and to the gradual disappearance OF
apprehensions regarding the money
market. Perhaps the money situation
Is just now the controlling factor.
There had been a good deal of I'M
easiness owing to strained credit sit
uation. as emphasized by continued
excess OF loans over deposits. The
situation, however. is gradually i'm
proving; the period OF greatest de-
mand incident to crop movement has
been safely passed, and funds shipped
west for that purpose are already be-
ginning to return to this point. The
lower price of corn has induced some
compelled others to invest more freely
in cattle, which can be profitably fat
tened at the present price OF that
staple. Such operations OF course took
up considerable money. The Western
situation. however, is gradually work
ing out It's own solution. and bank
returns made in response to the last
call show better situation than was
expected. In the east 1t is believed
that the period of greatest strain has
been safely passed. In London and
Paris easier conditions also prevail,
so that the improvement in monetary
conditions Is practically worldwide.
| Many capital applications have re-
Gently been postponed owing to un-
favorable conditions. but the more
favorable monetary outlook renders
| 1t probable that more or less new f.
nancing will be taken up in January.
II not sooner. Some of our great
corporations are absolutely In need OF
funds to complete enterprises ALREADY
under way. and SO long as they are
willing and able to meet money mar
ket conditions the probability is that
issues within reasonable amounts can
be readily placed. In October and
November the output Of new securi-
ties was much below previous years.
a fact which should assist the invest
ment market in December and jan
uary. There are also some signs OF
Improvement in the bond market and
with the January disbursements not
far distant it is expected that there
will be a somewhat better inquiry for
this class of investments. Several
important new issues are under con-
sideration, including $5O.00O,00O New
York City bonds. Two or three rail.
road loans nave already been an.
nounced and others will follow. 1t Is
probable the knowledge that these
new issues must be placed. also re-
cognition OF betterment in intrinsic
conditions, has induced some of our
strongest bankers to take more hope
full views regarding the future. The
strength of the market during the las,
, few weeks has certainly been artifi
cial and could not be attributed to
either investment operations or pub
lie buying OF stocks for speculative
| purposes. There is still an importan,
contingent on the market who believe
. the situation would be more substan
tial IL prices had not been forced tc
such an artificial level.
The Improvement in monetary con
. ditions is not confined to New York
but is reflected in other foreign mar
kets. Paris. shows the most comfort
aLle position of any point. Exchange
ON that point declined to a poin,
where geld could have been shipped
1T . proft to New York, except thai
p.ris insisted upon . premium fol
, the precious metal. Paris. it II
worthy CT note. Is showing more
] kindly interest In American securi
J ties. and the question of listing some
! OF our FIRST class shares is being con
} sidered.
A development of considerable i'm
portance is the changed drift in oul
|. foreign trade, exports continuing Il
expand while imports correspondence,
shrink. thus tending to restoration o
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