New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1912-07-08
REVIEW AND DIGEST
Markets and Business Reflect
Politics and Crops.

DISAPPOINTMENT dHeCteu the HoNeile"''
of the stock market during last week.
Beneath the surface OF operations the
strong faith generated by the continuous
betterment of the business Of the coun-
try was in evidence at every attempt Of
the bears to force the market into lower
levels, by profit taking and short selling
In the action Of stocks in their irregu-
larity there was an indication of the
apprehension of the political outcome In
the final Presidential election and the
consequent effect on commerce and In
dustry The uncertainty Of Progressive
ness Is such to the average mind that
any attempt to grasp Its full meaning
leaves tinge Of the speculative, and
traders recognize the disaster which
may follow too much confidence in I'M
certain movements. The unknown and
relatively problematical result necessa-
rily must keep dependent issues IN
state where guesses must be at random.
Neither Mr.. Taft's nor Mr.. Wilson's ex-
ecutive action may be predicted at this
time which one or the other shall occupy
the White House. Mr.. Wilson Is an I'M
known as a national Executive, and, ire
spectiVe of the Democratic platform on
which he was elected, his personal opin-
ions, If precedent may be accepted, viii
largely govern his actions. Mr.. Taft
may change the policy that has marked
his present administration and adopt
constructive ideas following his efforts
TO readjust and conform corporations to
the right meaning and Interpretation Of
the law. In the mean time the business
Of the country may continue to separate
itself from politics, as IT has given evil
denCe OF doing during the last few
months. and the reign Of prosperity may
be fully established by the time the No
vember elections have signalled the sue
cessful contestant for national Presiden-
tial preferment. With the stock market
and investments there Will be irregu-
larity in the interim, due to tempera-
mental influences reflected by pools and
the semi sensational gossip, which Is
ever a part of speculative movements.
The first disappointment Of the market
last week was the cotton crop report or
the government, which estimated much
larger area of abandoned acreage and
low percentage. AS fact generally rec
ognized, the question of an increasing
volume Of commercial and industrial ac-
tivity depends very largely on our crops
this year, and any unfavorable reports OF
crop prospects will have an accordingly
depressing influence on business and the
stock market. In the world OF money
there seems to be little to cause imme-
date worry. Gradually the tone OF I'M
proyement has continued In centres
where for a year or more past uncer-
tainty and apprehension have marked
the status Of financial conditions. The
end Of the half-year settlements passed
without bringing forth any consequences
Of disturbing nature at home or abroad.
though both in London and Berlin there
were grave fears of failures and high
money resulting as the settlement day
rolled around. The home dividend and
interest settlement was effected with
ease and money rates remain within
comparable range. though there are
prospects Of a hardening as the com
mercial uses Of money become more evil
dent by n larger distribution OF COM
mercial paper. The loss OF cash 10 the
Sub Urea sury by the New York banks
during the week has occasioned comment
end caused some Of the banks TO with
draw time money offers, which naturally
reduces the supply of loanable funds, re-
fected, of course, throughout the princi-
pal outside centres of this country from
which New York banks must draw bal
ances for their own protection. Present
| indications are that the banks, both West
and South have sufficient reserve funds
to finance the crops, and the strong
financial position Of the United States is
emphasized by the ease with which dur
ing the period from January to July
this year S18,00o,00 Of gold have been
exported with little apparent disturbance
Of our money markets. Considering the
| expectation of this large sum Of gold, the
question has arisen why it should go
abroad and its real destination. Tho
suspicion has been aroused that the
! eventual destination Of the later expor-
tations of gold from this country Is Ger
many, though France has been the os-
tensible objective point. 1t Is thought
that some time later Great Britain and
France will need some assistance from
this country to aid them in their com
mercial liquidations with Argentina
Considering the trade relations Of the
United States with Argentina, the bal
ance is about equal. Bankers here have
exported gold to Argentina for year
or more, and there is a prospect OF added
expectations this year, all OF which may
be classed as international banking finan-
cling rather than trade balance settle
ments. The irritations which have ex-
listed for some time past In the United
States Treasury Department found their
final break on Wednesday. when the an
nouncement was made Of the forced
resignation Of Mr.. A. p. Andrew, the AS
sistant Secretary The effect Of this
breaking OF ties in the administration
family has little significance except in It's
possible political outcome. From the
point OF view Of financial or commercial
complications no import will be alb
stracted.
-o--
THE PRINT CLOTH MARKET.