New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-11-02
Financial Affairs Steadily
Improving Larger
Bank Surplus.
INVESTORS BUYING
HIGH GRADE BONDS
Demand Sterling Kept Around
Gold Export Point-Freight
Rate Case Prospects.

rurrovement in the local monetary
,os;,iou and in the foreign exchange
m.rket was maintained during the
,v.sk ard some progress was made
.,w.rd systematic cotton relief. Finan-
-, affairs seemed righting themselves
..ronob the ordinary course of bust
nsss and unusual remedies proposed q
mo,,b or so ago appeared less neces-
ssrv Preparation for starting the
eoAersl reserve system created little
disturbance, as the accommodation
t,st 90, member bank draw on its
ow, FINES for payment of stock in the
r.r;onal bank and for deposit of re-
.srys. prevented the strain on this city
-, had been feared. Investment buy
nc AZ short term notes continued, and
SaS;pninr was made toward a similar
,oovemert in high grade bonds. Clear
- ~, % institutions were able 70
~ - ain of 100000 in average
s-rnlps md bankers held daily confer
s.ss Nj h the stock Exchange authori-
- an rlans for resuming security
.r.dinc. The course of the advanced
&c csso continued Disappointing, as
- attitude Of the commissioners gave
ittle announcement toward a favora-
bic decision
AZ long as the Interstate Commerce
cormission is inclined TO persist in
tst;ng narrow view of its powers and
confrine lis judgment TO the simple
cnesfien as 10 whether rates proposed
re reas unable from the point Of view
az esrri.rs and shippers, there seems
little re ison 20 expect a change from
,bs nre,ious verdict. Of course, the
Ser;sion is not vet rendered, and II
rsv he that the commission viii sur
wise me financial district by an APP
prec;stion of It's duties broader than
Il has yet presented.
Steel Industry at Low Ebb.
A. AZ the time Of their former sppli-
cation. assistance 10 the railroads
would spread benefits generally
througi out the nations business. The
nreser enforced economy in railroad
purchss .ng is reflected most clearly in
the steel industry, which is reported at
lis lowest ebb for years. Pittsburgh
mills last week were running at from
10 TO IS per cent of capacity, and re-
duction 10 q so per cent basis in the
Chicago district was predicted. Prices
we're greatly reduced. in some products
10 the lowest for years. Orders on
hand ale pitiful,y small and new bust
ness is In sma.le volume than even
the present restricted output.
4 The United States Steel Corporation,
(which for the first two quarters OF the
year had drawn on its surplus 10 keep
its common stock on per cent basis,
edueed the dividend rate TO = per cent.
Earnings for the quarter had been bet
ter than for the three months preced-
ing. but prospects for immediate i'm
provement were considered not bright
enough 20 Justify another payment out
of the earnings of previous years. The
4 chsirman Of the corporation, however,
Mn speech later in the week recorded
i his faith I'D the firm basis of our ma
q tionsl prosperity and mis- hope for a
decided change for the better in many
lines within the next three months.
Opposition to Cotton Relief Plan.
n The bankers cotton relief plan. as
finally announced had TO contend with
considerable opposition. In the South
( objection was made 20 the necessity Of
assuming more risk than Northern and
! Western institutions, which will prac-
tleally be lending on cotton at III cents
90 pound, while Southern banks accept
It al g. Payment by the borrower Of 3
per cent Of each loan toward a guaran-
tee fund also met with disfavor, al
though it is expected that the expense
to be met out Of this will be small.
4 .New England Institutions. which have
] 10 finance manufacturers needs from
: the time they purchase cotton until II
rs sold, feel that in this way they are
toing their share and should not be
{Speeted in any way to aid in with
holding cotton from the market. Tex
Tile trade publications have taken a
] generally unfavorable attitude toward
4 the project
During the week demand sterling
went IN er AGO, the present export
Ppoint thI ,ugh shipment TO Canada, and
closed around that figure. Increasing
volume o. exports, particularly heavy
Ia wheat and mineral oils purchases
mere by the warning powers, and an
houneement that cotton would not be
fegarce1 IS contraband assisted in the
9,eciine. the same time the London
dlscour market broadened. Bankers
here Il II easy TO maintain credits
IN the lsh capital against which to