New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-05-08
MONEY AND BUSINESS.


while tho demand for money for specu-
lative transactions is insignificant In
comparison with the inquiry for accom-
mediation at this time in recent years.
Notwithstanding the absence Of activity
in the speculative markets idle capital Is
moving into investment issues quoted on
the Stock Exchange and handled over
the counter. and from current indica-
tons steady Improvement in prices for
! mortgage securities may be looked for,
our best known and best managed rail-
roads. Money Is easy and In heavy
supply, as shown by the demand OF
| financial institutions for short-term
notes and high grade bonds, including
New York City corporate stock and the
bonds of other municipalities which re-
turn a better income yield than can be
secured on collateral loans. Call money
has not been quoted above 2l2 per cent
since the early part of the year. while
for the longest periods time accommoda
ton has not been above 3A in many
weeks. comparing with AZ to ~ per
cent at this period a year ago. The de-
mand for commercial paper exceeds the
supply. and discounts have declined TO
3i2 to 3s4 per cent for prime four TO six
months single name bills and sixty to
ninety days Endorsed bills receivable.
In the corresponding week OF 1910 the
1 - 1T
quoted at Az TO : per cent Money con-
tinues to move to this centre from most
interior points. although New York funds
are going in fairly large amounts to San
Francisco and Montreal.
In most lines Of trade production is in
excess Of the demand from consumers.
particularly in the iron and steel and
drygoods industry. Inactivity on the
| part Of buyers is due entirely to their
unwillingness 10 make engagements for
! the future pending the elimination of the
various uncertainties in the current sit
uation, as. for instance, the forthcoming
| Supreme Court decisions in antitrust
suits. which the financial community be-
| lIfNtS VIII W idIiufu uOWl tliI'l VII
May II or May %. Notwithstanding
| the light forward business, day-to-day
trade is heavy and. Furthermore, flnan-
ciers and business men exhibit the ut
most confidence in the theory that the
present abundance of money and the low
stocks of merchandise are building a
foundation for ultimate heavy expansion
! in our industries. There is any amount
Of faith In the future. In, expectation OF
better things To come experienced Wall
! street interests are buying stocks on all
declines, but at the moment there is nc
public following IN the market. except in
the bond department, in which purchases
are being made strictly on investment
account. the operations including fair
percentage Of foreign buying. Together
with increasing exports of merchandise
/ the latter transactions are strengthening
our credits abroad. Home manufacture
ers are finding better markets in foreign
countries for their products than at
| homo. and OF course the movement will
be beneficial 10 business as whole
/ In tho cotton goods market curtail-
mept Of production is still under way,
while the movement IN woolens is slow
40 consequence Of tariff agitation The
general cotton goods market, however
shows a hardening tendency in prices.
with an increase reported in actual now
I business. especially for nearby needs.
| Sellers arc not inclined 10 force the
| trade, for the good reason that In spite
of recent advances in quotations the
cost OF production in the larger number
of lines is still i'm excess of the figures
| buyers are willing to pay. Speculation
in cotton futures has been more active
I'm quotations. although favorable
weather and crop reports. larger re-
ccipts at tidewater and liquidation By
bull interests have brought about a
somewhat bearish attitude on the part
OF operators on the local Cotton Ex-
change. Reports from various sections
of the cotton belt state that current
conditions on the plantations arc in
favor of Il big crop. Fanicky conditions
among the shorts in May wheat are re-
flectcd in higher figures for this option,
but there is nothing apparent I'm the
present wheat situation that foreshad-
ows a sustained advance. current sup
plies being heavy with now crop pros
poets excellent. Flour mills have ad-
vancod their quotations owing TO bull
manipulation in the speculative market
Pig iron statistics for the month Of
April show that the iron trade in that
time more than lost the Improvement
reported in March. THE Iron Age" re-
ports. with 2l2 coke and anthracite fur
naces in blast on May |. production at
the rate Of ~. f32 tons . day. compared
with 1O.1J2 tons on April | apd G6,J63
tons on March |. the figures for May
| showing a production at the rate
of 23.S.JO.OOO tons a year. compared with
yearly rate month ago OF more than
-. 10000 tons. The United States steel
Corporation has g., per cent of its fur
mace capacity active. against - per cent
e, the high point late in March. New
business in finished steel lines Is smaller
In volume than that recently reported.
but the larger manufacturers appear To
be quite confident that the falling off in
business is merely passing affair. In
the copper market moderate activity pre-
walls. with "A good export demand re-
ported. The coal trade enjoyed an eX-
| ccllent business in April. but seasonable
weather has now cut down new orders.
Tomorrow IL will be two weeks since