The sun., 1912-07-07

those supplied Of the banks operations at
the Sub-rreasury. The banks on the one
day Of the flrst OF the new half year lost to
the Sub-Treasury on the days transa ctions
q. .i37. 400. For the week to and includin4
Wednesday the loss Of the banks to the
Sub-Treasury has been 5,sai .tUn. Tho
one days loss was thus almost half those OF
the week. IL was made up in addition TO
a shipment OF s?.UU.OW gold to Paris Of
payments to the Government Of interest
on deposits. taxes ON bank circulation and
corporation tax collections.
Though conditions prevailing in the
markets are easy now. changes are loQked
for fairly shortly. when the movemen of
money for the getting in of the crops begins
There II in the slightly larger activity Of
the time and commercial paper market.,
net sufflcient OF q movement at preseN. -
mark . pronounced tendency TO chanASA
conditions. But while biz changes arc not
looked for. the usual tendency for higher
rates which tend to accompany the move
ment OF money for the crops which starts
in about two weeks is expected
The situation abroad was without event
, last week. At the big financial centres.
where the situation las been delicate and
even strained. the heavy midyear settle.
ments were concluded satisfactorily. There
is present here. however. the feeling
that though the new half year is safely
on its way the situation abroad IL none too
sound apd that Developments with effects
/ upon home markets may he looked for
spencer Trssk h Co. summarize this view
in their monthly letter. saying
| The quarter which merits tho most
attention does not lie in this country hut
! in Europe. Although the mid year settle
ments have passed on with lea. troublc
than originally anticipated the financial
atmosphere there Ia none too clear and
We believe the crisis will come when we
who have now large credit balances abroad
! vii need all our available funds IN tsas
care Of the expected EXPANSION in hus,-
ness
! The intcresting point of the week in ,hS
foreign exchange market was tho frmneA
displayed throughout. Expectations wer,
for a decline. on the strength of tho cash
losses Of the banks A buying movement
Of shorts who had acted on these eypecta-
tiOns and been disappointed helped TO
| maint ain the frinness In the market. ft
is expected that this week iwilll sec Tho
beginning Of the gathering Of credits here
in preparation for the movement Of the
crops. Extensive loans of New Work
abroad will now begin to mature. with the
likelihood that most will he called in. New
York bankers may borrow abroad. ~
The market last week was high enough
to encourage the continuance OF gold ex-
ports. The two gold exports 10 Paris of
.? .ooO .ooo each had no apprecisble effect
on the market. The continued exports of
gold TO Franco are causing mild interest.
ON the present movement SsoUO0 has
been exported within two weeks. Of the
total OF gold exports since January I Of
$40. ic5.O0 so 900 .OO0 has been engaged
for Paris and HOLES, nm for South American
countries.
The hrst shipment OF gold TO Canada 80
far this year was made during the week.
The shipment was rather unexpected. in
asmuch as II did not take place when Mont
real exchange on New York was quoted
at u discount. the rate later going 10 par.
The shippers stated that the engagement Of
the gold had no sisnihcance In the market
but was q special transaction to meet the
requirements Of the individual bank.