The Cairo bulletin., 1911-04-10
Special.
New York, April s, 1911.

Special.
New York, April s, 1911.
The stock market has shown stub
born and significant resistance to I'M
Favorable news. Within tae past few
weeks q series of shocks occurred
which eXerted little or no effect upon
valres. First in importance came the
interstate commerce decision refus-
ing permission for an advance in rail-
road rates; then followed delay in the
oil and tobacco cases; an extra SEES
SIGN Of congress; continued tariff
and reciprocity agitation; the MeXl-
can difficulties; the decline in New
York Central dividend, and the two
decisions handed down on Monday on
limited prices and the commodities
clause, both of which were const ued
as unfavorable to capital, inasmucn
as they support the restraints upon
monopolistic tendencies.
That in spite OF such series OF
discourgaomcnts the market should
maintain its present firm undertone
Is unmistakable evidence of a radical
change in financial sentiment. AS
we have already stated Wall Street
is row getting to be about the most
cheerful spot in the country, and this
in spite of excessive dullness there
and general slackening in trade cir
clos. The reason, OF course, is that
orr leading financiers recognize that
liquidation has been thorough and
that unfavorable influences have been
amply discounted 1t is quite possible
that few weak spots remain, and
that the housekeeping process is not
absolutely finished, but the worst con-
corning such cases is thoroughly un-
derstood and causes no uneasiness,
The main factor in the present stu
alton is the exceptional outlook for
money, Now that April l is past
funds will return to New York, and
during the sumner months at least
we are practically sure of a pletnorlc
supply of money The very slackness
in business will contribute to this re.
suit, foE@banks in all parts of the
country will send their surplus Oh
to New York to seek employment In
the best call loan market which the
country affords, Nor is this all. TIE
favorable change in our foreign trade
resulting in a larger excess of me-
chandise exports, coupled with large
foreign absorption OF our securitiea
means larger influx of gold later on
The money markets of the word ar,
all well supplied and easy rates pre-
vail likewise in London, Paris and
Berlin. Unquestionably the word Is
feeling the effect OF continued large
gold production, which tends to &c
precate it's purchasing power am
thereby cause a corresponding nh
| ton in values. In New York the sur
plus reserve is larger than at any
| corresponding date since 1908. From,
now on thstreserves should begin tc
| show rising tendency. In loan,
there has already been a considerable
expansion, amounting to about 500.
! 000,o90 during the last ten years.
| Business is still going through the
| process OF readiustment which endet
some time ago in securities. Tra :,
generally is quiet, particularly in tht
northwest. Prices of commoditie,
continue to Decline and the bread
stuffs now show drop of 25 per cen
in values, compared with the fiynes
prices last year, while provisions ar
in many cases 40 per cent lower thai
a year ago. There is no lack of wbea
and corn and the scarcity OF mca
is less apparent than year ago. Thi
is largely the result of public econ