New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1912-10-28
Financial Houses Requiring
Help, However, Have Already
Provided for Contingencies.
NO FAILURES ANTICIPATED
Danger of European War Not
Overlooked, but Stock
Markets as a Whole
Rule Steadier.
[By Cable to The Tribune. ]

London, oct. 27.-Stock markets were
subject 10 adverse influences last week,
but on the whole the tone became bet
ter as the week neared its close. This
was because it seems likely that the
settlement will pass over without the
trouble that was feared earlier With
out question there are many weak
spots but the financial houses requir-
ing help had sufficient foresight not to
wait until the last minute, but to ar
range their affairs in advance. and thus
It is probable that the settlement will
not record any failures.
The Continental bourses are also
steadying and becoming firmer in tone,
and all advices to hand are to the eff
feet that financiers on the Continent
are also busy preparing in advance for
the trOubous days of the settlements
soon 10 come. Altogether, from this
point Of view, the news of the week has
been increasingly encouraging and
more than sufficiently good TO counter
act Developments in the Balkans.
The success of the allies, il is
thought, somewhat increases the posi-
bility Of Intervention and diminishes
the prospect Of a return TO the status
quo In other words, the success Of the
allies is held to entail greater uncer-
tainty than would a victory by the
Turks.
Financial men who are anxiously
watching the chancelleries are keeping
a particularly keen eye on the efforts
Of NJ. Poincart. the French Premier, to
secure a working European concert. 1t
is realized that it is going to be mighty
difficult to prevent the victorious allies
from securing and retaining the sub
stantial fruits Of their victories, and
that it is going to be specially difficult
10 deal with Austria if she sees the
Balkan allies attempting to close her in
and cut off her outlet through the san
jak Of Novipazar by an extension Of the
Servian boundaries. 1t is Servia's am
btion to secure d seaport on the Adri-
attic.
This situation tends TO make theposi-
ton of the markets increasingly diff
cult.
In the money market various factors
brought about an advance. In the open
market the rate Of discount went
nearly TO the Banks minimum Of . per
cent. Two months bills ruled at 9-16
per cent. three and four months bills
at As and six months paper at AS per
cent. Saturday to Monday loans were
in strong demand yesterday at 312 to
81 per cent. while weekly fixtures were
80 and frequently per cent.
The situation in New York is being
watched with particular interest. 1t is
Known, Of course, that gold shipments
10 the United States have stopped only
because America bought such large
amounts of securities during the re-
cent dsbacle, and that the need for gold
imports is just as great now as it was
at the time that the gold was taken,
but il is generally understood that the
Secretary Of the Treasury will find the
additional currency required. Some
what higher rates in New York may
bring out d substantial amount Of cash
from the Treasury and remove the dan
ger Of a demand on Europe for gold.
At present the Bank Of England
holds d stock Of S1S7 10000 gold, and
though this will be depleted in the next
fortnight by Withdrawals for Scotland.
the amounts arriving from abroad will
be large, not only from South Africa,
but from India Nearly $1O.OO0,OO0 in
gold is being sent here from India to
pay for the silver 1t has already bought.
The arrivals of gold from South Africa
and India will easily take care of the
additional sums which may have to go
10 Egypt or South America, and were it
not for the situation on the Continent
and for the need Of the Bank main
tanning a relatively high degree Of
strength in existing circumstances, it
would also permit of the shipment Of a
s~Etain amount Of gold to America.
A net addition Of S565,OOO to the
saak's reserve last week brought the
total to S137 10000. The proportion
Of reserve to liabilities is 1888, show
ing small increase for the week.
-D--