The Washington times., 1912-04-07
INTERESTING WEEK ON WALL STREET
WITH FURTHER SHARP PRICE GAINS
Money Market Considerable
Many Maneuvers Specahe With Coppe Leading Early Move
and Steel Setting Late Pace
BY JOHN GRANT DATER.
Representa- tive the Munsey Publications.

analysis to get at the conditions. but II
the banks alone were reporting in ac-
cordance with the old average method
followed by the clearing house from
Its formation In 1856 down to few
years ago, the banks, with all the
above shifting, would stand today with
a surplus reserve of but s13,5Oo above
requirements.
1t is possible that this process of tuck
ing liabilities out OF sight may continue
for while longer, but whether the
money situation is In any wise changed
by these methods, may be doubted. and
what the situation actually is remains
mystery. OF course. the money mar
ket Is of primary importance now, for
the public has evinced disposition to
speculate In stocks II the reserve
situation is anything like that reported
In the weekly statements, II would ap-
pear that there is no super-abundance
of funds for a long continued bull CAM
paign In stocks, conducted coincidently
with improving business conditions. A
stock market full OF professionals and
subject to professional rigging" may
continue without very heavy demands
on bank funds as the present market
has continued. but II an active public
buying movement starts up, demands
on money will be real, and there Will be
different story to tell. The only alter
native to this would be IL the bank
statement should prove to be something
different than It purports to be. and
that for reasons which are obvious
would scarcely be reassuring.
Business Confidence Expanding.
Turning from the perpiexities of the
banking and money situation and the
speculative market. II is pleasing 70
note that a steady growth of business
confidence is reported from many diff
ferent sections of the West and South
and also from numerous of the more
important industries. Teritorially, OF
course. an exception must be noted in
the case OF the flooded districts of the
Mississippi valley, where heavy losses
have been incurred through the overflow
of the river. With this exception, 81
far AS the agricultural se"tions are con.
cerned, all reports of crop conditions
have been of favorable character, and
1t is this that has encouraged CONNER.
cial interests. The forward movement
IN iron and steel continues, as Is illus.
trated by a substantial gain in the pig
iron production for March. Other in
clces of trade. such as gross railway
earnings and bank exchanges all point
toward increasing activity. which If 4,
be no more than seasonal is general
throughout the country.
The discordant note so far as industry
is concerned Is the labor situation, bul
speculative Wall Street continues Ia
ignore every development Of this char
acter. The very narrow margin of man.
ufa;turing profit also attracts wide.
spread attention from business men and
bankers. but thar. too. is ignored by the
speculative market. A discussion OF
the latter feature with representative
men In many different lines, by leading
bank officers OF the city. however. has
resulted in fairly uniform opinion
that while the volume OF commercial
business Is good and is expanding, the
margin of profit Is very slight, and
one might almost say that the present
tendency appears to be one of increased
cost OF production. accompanied by al
inability to raise the price Of finished
products. AS was noted of copper dur.
ing the week. with the advance of price
TO IS cents per pound. buying by manu-.
featuring interests practically ceased
Noting the improving tendencies in tho
stock market, and attributing them [,
more hopeful views or the community
concerning the business and political
outlook. the Commercial and Financial
Chronicle. in its leading article today
says: Perhaps In both respects the
community is discounting the future
with overmuch confidence" 1t NAV be
said that this view is held by very man;
influential bankers at this time