New-York tribune., 1911-04-03
MONEY AND BUSINESS.

MONEY AND BUSINESS.
Trade conditions are sound, but new
business develops slowly. There is.
however, marked confidence in indus
trial and banking circles OF gradual I'M
provement in all lines, this optimism be-
ing backed by the accommodating sup
plies OF money throughout the world,
our growing excess of exports OF mer-
chandise over imports. the expectation
OF another year Of bountful crops and
the thorough liquidation that has taken
place in the financial markets. lnfluen-
tial bankers believe that the factors or
uncertainty in the general situation
have been discounted. They will not run
into a panic IL the Supreme Court de-
cides against the Standard OIL ana
American Tobacco companies, nor Will
the wheels Of business cease to move.
The financial situation is stronger than
It has been at this time in many years,
the Importance Of which cannot be over
estimated in calculations regarding the
course Of our industries in the months
TO come. while soil conditions in the
great agricultural section OF the coun-
try and the increased acreage mapped
out promise harvests that Will add ma
terialy to the wealth Of the nation.
Measured by the volume Of bank clear
'ings throughout the country general
trade shows a material falling off from
this period last year, but analysis OF the
figures discloses the fact that a large
part OF the reduction In payments
through clearing houses Is due to the
inactivity in the speculative markets.
Quarterly interest and dividend pay
ment arrangements have been made
without the slightest disturbance In the
money market at home or abroad, and
at this centre. where sterling exchange
generally advances at the end Of the
month or the quarter in response to
demand for remittance. quotations act
ually have tended toward lower level.
Our bankers have liberal credits In Eu-
rope and big balances here, and In case
Of resumption Of activity In money
and business after the rendering OF i'm
portant Supreme Court decisions there
will be no shortage Of accommodation
for speculative and industrial purposes.
Money rates are extremely easy at this
point. and foreign discounts have de-
clined. Call mopey Is not remunera-
tive TO lenders at prevailing quotations,
and many Of the larger Wall Street insti-
tutions prefer to lock up their funds In
their vaults rather than make loans un-
der 21a per cent. Short term notes sup
ply a better medium for the investment
OF bank money than collateral loans. and
the present absorption Of this class Of
securities is heavy. Bonds are In fair
demand and investment funds are NOV
ing into high class railroad stocks. while
speculation Oh the local exchange is
practically at q standstill. Savings bank
deposits continue to increase, but it Is
disappointing to find that the ratio OF
surplus to total deposits IS below what
conservative bankers consider should be
the minimum. Savings bank trustees
might read with profit the strong ad-
dress on this subject recently delivered
before the Finance Forum by John
Harsen Rhoades, himself trustee Of a
prominent savings institution.
The market for most lines Of cotton
goods is quiet. Jobbers apparently are
looking for a further decline in prices.
and as consequence they show no dis
position to make extended commitments.
&c
and there appears little chance Of i'm
provement in the immediate future, al
though in retail drygoods houses the de-
mand for spring and summer lines Is
normal Prices for the raw material
are we'll sustained and speculation in
futures Is moderately active. but no spe-
cial efforts are being made to carry quo
tations 10 higher level. the chief inter-
est at ,he moment being In the May
option. New low records for the year
have just been made I'm the domestic
wheat markets on better conditions In
the spring wheat belt and on the known
that has taken place In the
fall planted crop. while many operators
believe that quotations will reach a still
lower range as II consequence Of the
heavy visible supply In the world. which
is now 3O.OO0.oo0 bushels In excess of the
total reported year ago. Trading in
-four IL on n restricted basis. as 1t al
ways liz I'm a falling market. Exports "f
both wheat and corn are increasing
Less activity IL reported In pig iron
than was recently noted. while the de
mand for finished steel products IL not as
heavy as II was a month ago. general
conditions In the industry however. be-
ing relatively satisfactory. Wire prod
ucts continue to supply the chief activity.
and according to THE Iron Age" some of
the mills will he kept busy until the mid
die OF the year on orders already booked.