New-York tribune., 1911-03-20
MONEY AND BTSINESS.

sion. and the fact that money Is growing
easier the world over, while sentiment Is
becoming more confident and cheerful
I'm financial circles. encourages the ex-
pectation Of a gradual broadening ten
dency in all our markets. DistrlputlNe
trade is quiet and improvement in most
lines Is slow and conservative. but there
is, nevertheless, distinct gain In general
operations as compared with those re-
ported in the last quarter OF 1910, al
though as measured by the volume OF
bank clearings and other business tests
industrial transactions are still lighter
than they were at this time year ago
In view Of the various uncertainties IN
the situation, including the result OF
the forthcoming extra session OF Con-
gress. a hand to mouth policy on the
part Of buyers IS not surprising, but IT
is we'll to note that in banking parlors
no uneasiness IS felt over the outlook
and no postponement Of plans now under
discussion is contemplated. Bankers ap-
pear TO be satisfied with their well
founded theory that present uncertain
ties contain no element OF danger 10 the
country's welfare, and that with the
elimination Of these factors new era
OF Industrial progress will he initiated.
Large supplies Of money, a growing
trade balance and an increasing Euro
pean demand for our securities are the
important developments that encourage
optimism in the financial community.
This feeling has not given way 10 reck-
less speculation in the stock market and
the very fact that operations on the
Stock Exchange are being conducted IN
n most conservative manner lends addi-
tional strength 10 the idea of coming
heathful expansion I'm all our leading
markets. Money rates are lower than
they We're a week ago. and the demand
for time accommodation is so inactive
that the financial institutions are placing
their surplus funds In short-term notes
at all available opportunities. while
New York IS in n position 10 draw gold
from Europe no efforts have been made
to bring over the metal In settlement Of
the surprisingly large account we have
accumulated abroad in recent months,
and from current, indications there APP
pears TO be little chance Of withdrawing
any Of our balance from the London and
Paris markets, for the good reason that
additional funds are not needed here.
It IS estimated that through the plac-
ing Of American securities with foreign
bankers and from our excess Of ship
ments of merchandise over imports the
country has accumulated credits in Lon
don and Paris 10 the extent OF upward
Of $500 100000; and It IS not improbable
that this fund will grow and eventually
become one OF the most important fac
tors I'm our national progress. For the
eight months ended February 2S the De-
partment Of Commerce and Labor re-
ports the unprecedented total Of exports
to the value Of S1.433. .s79.517, which is
more than S41S.ONO.O0O IN excess Of I'm
ports. tho exhibit being especially siGnif-
cant. as at this time last year the
tendency Of foreign trade was against
months Of the fiscal year beginning
July ! imports actually exceeded ex-
ports In February shipments OF cotton
werc heavy. but tho Increase IN the total
outward movement was due not to ex-
pansion I'm any ono line. hut to n general
gain in the outflow Of commodities Dc
mand for money at interior mercantile
points IS moderately active. but the out
of-town institutions appear 10 he we'll
enough supplied with funds without
drawing on their balances here. In
deed. I'm the week just closed the flow Of
currency was in favor OF New York.
Prices for old crop cotton are stronger.
while they show a firm undertone on the
kent within narrow limits, but many
traders appear to be restless and anxious
to operate on a broader scale on tho bull
side on the theory that the statistical
position Of cotton is becoming stronger
and that tho supply of the staple viii be
exhausted before the end of the present
cotton year. Curtallmcnt Of production.
however, continues and buyers Of cotton
goods are still obsesscd with tho idea
that prices viii 30 lower. Current busl-
ness I'm drygoods IS chiefly of a day-to-
day character. with extreme caution
noted among buyers, silks and woollcns
supplying the best feature of the mar
ket. Prices of farm products are far
under the levels reported at this time
last year, but with the approach OF the |
season check 10 the downward |
movement may naturally be looked for. !
owing to the uncertainty over the out
come of the harvests and to the usual |
reports issued In the spring for |
speculative purposes.
New daily orders for finished steel ma |
terials appear To be lighter than they |
were i'm February. The mills, how
ever are much more actively engaged |
than at any time since last October. |
while I'm trade centres a gradual expan- |
sion in the iron and steel industry il |
looked for Statistical re-
ports on pig iron have helped sentiment.
The enormous extent of the iron and |
steel business i'm this country Is reflected
In the report of the United States Steel |
Corporation for the last calendar wear
showing combined sales and earnings OF |
$ fO3 .96l .i24. as compared with S646-
3S2. 2.225l in 1909, and an amount available |