The daily Gate City. [volume] (Keokuk, Iowa) 1855-1916, 1911-07-17
Corn Acreage This Year is the Larg-
est Ever Reported But Condition
Is TrlfIe Below the
Usual Average.
BUSINESS is SLOW
Banking Situation Is Not Satisfactory
as Few Weeks Ago and
Railroads Continue to
curtalI.
frank NJ. Illusions Weekly Financial
7 offar


Letter.
CHICAGO, July 17.-Weather condi-
tons of the last week have been re-
assuring, and while official statistical
information put out by the govern
ment indicates that the hot, dry
weather during June has played some
thing akin to havoc with crop condi-
tions, continuation of rains during
the next few weeks will go far to pre-
vent serious damage in the corn belt
and to modify the effects of the dam
age in the southwest and In those
states where the hay crop has been
practically destroyed Few people
realize the value to the farmer OF the
hay crop for the reason that this value
is not actively and daily computed in
crop information, yet upon the pro-
duction of hay and of oats the farmer
relies to great extent for the feed
for his live stock, and Indirectly it
figures very heavily in the gross re.
ceipts from the farm.
According to the figures of the agri-
cultural department there will be
much less than two-thirds of nor
NAL crop of hay and only about three
fourths of last years crop of oats,
yet the oats crop will probably aggre.
gate only about IL per cent less than
the average for the last five years A
| shortage of these two crops will have
an important bearing on the value of
f,yr 1xy Por c1~1
there be lack of such feed stuffs as
oats and hay the farmer will be forced
to rely upon corn to a great extent for
feed for his live stock, unless we have
fair amount of rain to start the
pastures anew
The corn acreage this year is the
largest ever reported, but the condi-
ton OF the corn crop on July LIST was
about per cent below the average,
which would indicate production OF
approximately per cent less than last
years record crop, but nearly per
cent more than the average produc-
ton during the last five years Since
the first of July the hot and dry
weather has no doubt caused some de-
terioration of the corn crop, yet the
rains of the last week may, to con-
siderable extent, revive the corn and
offset some of the damage.
Turning to the wheat crop, the in
dicated yield of 45S,000,O0D bushels Of
winter wheat compares with 464, 000,-
900 bushels last year, while 245O0O,-
600 of spring wheat is estimated
against 231O00,0O0 bushels last year,
making total of both kinds of wheat
of 703,000,000 bushels compared with
695, 100000 bushels a year ago. Just
now the spring wheat is passing
through the critical period and the
dry weather In the northwest may
cause further damage. 1t would not be
surprising, however, that the aggre-
gate yield Of wheat would reach last
years figures.
Business conditions continue very
slow, and developments at the eastern
money centers such as New York
clearly indicate that the banking stu
alton is not as satisfactory as appear
ed on the surface few weeks ago.
In the last two weeks the surplus re-
serve in the New York associated
banks had been drawn down from
nearly sS7,oO0,OO0 to less than SO 1000.
900, development which clearly
shows how rapidly change in the
situation can be brought about by a
combination of unfavorable circum-
stances. 1t should be kept In mind
however, that the sS7 1000 900 surplus
was an abnormal surplus and was
brought about through methods adopt
ed by the clearing house at the time
the trust companies were admitted
to membership. Had the reserves
been computed on the same basis as
they are now, very much smaller
total would have been reported, yet
there has been a tremendous shrink
age in that surplus and no doubt the
greater part of that shrinkage is d.
rectly traceable to the payment for
the Panama bonds.
The bond operation has taken some
s53, 900, 900 out of circulation temper
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