Bisbee daily review., 1911-07-22


 is the market for securities at this season of the year. The July report of the department of agriculture is- sued on Monday, was superfieiaily, at least. disappOinting. At this it exercised a depressing influence on the Stock exchange price level, and later the situation became one or extreme dullness. It is significant however. that some degree of recoN- erv in quotations ensued and that there was no evidence of the pres sure of general liquidation. A fair interpretation of these developments is that operators are disposed to await more mature development oi the crops. but are not as rule disposed 10 sell out their securities
 The importance of the crop fac tor in the market justifies at this time a calm examination of the az ricultural situation. It is desirable to bear in mind that the govern ment's presentation of harvest pros poets probably showed conditions al their worst. Both corn and sprine wheat had been subjected to protracted period of drouth tha' had eliminated in a heat wave oi great intensity. But the departments figures cover only conditions up to july 1 and in some instances are not even as late as that date. Con sequently, the very general rains that subsequently occurred through out the corn and spring wheat areas, and which warded off the impending serious injury to the crops. were moi considered. Recognition of this faci is probably the real basis for the stubborn firmness that prevailed in the market during the closing days of the week. notwithstanding the extreme dullness already referred to-
 Above the Average.
 But taking the grain report al it's face value. and for argument, ig noring the favorable developments that have since resulted. the harvest prospects must still be regarded faI above the average. The governments report indicates that the winter wheat harvest will reach 45S,000.000 bushels, which is within S,0o0,009 bushels of the actual harvest of last year. The spring wheat promise Is estimated at 245,00OO00 bushels. or 13,600,000 bushels in excess Of last years spring wheat product, making the total wheat outlook 703,- coo bushels, or 7,500,e00 bushels in excess of the 1910 harvest. To prop erly appreciate the favorable char acter of these figures it may be stated that the present outlook, not withstanding the damage. has only been exceeded thrice in the records Of the department of agriculture; namely, by the wheat harvests ol 1909, 1906 and 1901
 The same general remarks apply to corn. If we exclude the bumper crop of last year, the present pros poets for this year have never been exceeded; and in view of the i'm provement that has taken place since the first of the month it is not yet certain that the yield this year will fail to finally become a record-marker. The present outlook for 2.S56;00O.0O0 bushels is less than 170,0O0,000 below last years product, and we have this year the highly important feature of the crop being fully a fortnight early, which means that it will all be gathered and will not. as is usually the case. have a considerable growth suddenly cut off by frosts at the end of the season. The feed crops, oats and hay, are unquestionably much below last year And this is a fact that will mean a large in- crease in the demand for corn as 6 substitute.
 Pessinnism Unfounded.
 Taking a broad view. therefore, of the agricultural prospects. with a bumper yield of cotton-between 14,- O0G,000 and 15,O00. 600 bales-almost assured, with corn not unlikely to reach a high-water mark. and with wheat we'll above the average, it is certainly too early to take a pessimstic view either of the vol ums Of the crops or the prospects for improved trade and industry that will follow continued agricultural prosperity.
 Money Situation.
 Aside from the disappointing char acter of the agricultural report, op- orators have been influenced some what by a sudden decline in New York bank reserves. This decline is probably temporary and is unques tioDably connected, either directly or indirectly, with the payments for the Panama bonds and also with the large semi-annual dividend and in- terest disbursements. Money will un- doubtedly return to the banks as soon as the July dividend and in- terest payments in due course re- gain circulation The sudden decrease in reserves, however, is certainly of a cautionary character, and is sug- gestive of what might have oc- cured had the demand for money come at period of activity on the Stock exchange or of even a normal movement in trade and in- dustry. Money rates themselves have not been appreciably affected, which indicates the thorough grasp that our banking institutions have on the general banking situation. It IS de sirable to bear in mind that the bank reserves that have been so spectaculariy drawn upon do not by any means represent our markets full monetary strength. Europe is greatly indebted to us as the re- suit of the sales of American secur- ities abroad and the large excess Of 1 our exports of products and mer- chandise over our imports. Should | there be any substantial advance