The copper era and Morenci leader., 1914-08-21
0 j R Fl N A n GAL
P0 SITIO n Is
SECU RE
Co-Operation of Government With
Sanks Has Eliminated Possibility
of Serious Disturbance-OutIook En-

BANKS Has Eliminated Possibilit
OF Serious Disturbance-OutIook Er
Inc cooperation of the treasur,
department of the government wit
leadlng banking institutions has S,
strengthened credit and financial cor
ditions in the United States tina
tnere is no possible danger of a panic
Our banks are in strong position t.
supply the needs of all borrower,
possessing good credit.
mere is somewhat severe derange
ment OF credit in the outside world
however, due to the fact that the
small banking institutions of the
newer countries are accustomed for
Tue most part to clear their accounts
through London and Berlin. For
some little time to come this may
serve to restrict our trade with South
america and other countries, but if
the combined navies Of Great Britain.
france and Russia are able to either
destroy the hostile fleets or drive
them to cover, London will provide
foreign exchange facilities and credit
Wherever needed outside of the war
zone.
Our manufacturing and merchan-
olsing concerns are beginning to re-
celve requests for samples and for
various commodities from South
america. The disposition at the
present moment seems to be. to re-
quire cash payments however, as our
panks are in a position to accept
drafts for collection only and at the
risk of the shipper.
Money and Investments.
me money market is trying to adj
Just itself to the new conditions. The
protective measures such as emer-
sency currency and clearing house
cert1f1cates are being availed of by
the banks and sentiment has Gained
down considerably.
Most OF the banks in New York and
Boston are probably under the re-
CURED reserve. AS a consequence the
country may be said to be on a strict
ly credit basis.
ed in the call market is at per cent.
Inc banks are taking care of the ]
stronger commercial interests nj the
matter of time loans at mostly 6 per
cent.
The financial position of borrowers
is being scrutinized closely by the
banks. This discrimination which
does not occur in flush money times
is of course already working some
hardship on the weaker business
houses
n
ION would take some of the gold on /
he Kronprinzessin Cecilie and de-
oos1t 1t in Canada indicates that the /
sank of England has found a way to
lraw further on our store of the l
money metal.
AN extension of the Bank of Eng
and's vaults to Ottawa" is the way
ne New York banker explained the |,
love. On the other hand, this action
nay be the first step in clearing up
he foreign exchange market.
Swapping of debts and credits has
AIKEN place in a large way between
ankers in this country and Europe.
ms mas helped to clear up the sit
alton a great deal
There is still practically no market
,r foreign exchange, but the clearing
International credit states by this
Mapping process has been helpful.
mat is wanted now is to open I'D
If foreign commerce SO the United
tates may build up a credit balance
broad.
Business Situation
Some corporations manufa curing
'mmod1tles in demand by the ma
pms at war are operating at their
most capacity without being able to
but a small portion of the orders
hich have come in.
One leading packing house states
at 1t received a single order from
foreign country, for its army and
Wy, which it was unable to fiji be-
use it could not obtain the raw
ateria1 =
The American Sugar Refining COM
ny was fortunate in possessing a
'ge stock of raw sugar before the
cent advance in prices took place
VOC IN fh1
npiy because of its foresight in
king such large purchases, will be
: largest ever known.
Fhe Generalization of the beet
gar industry abroad, which centers
the countries now at war, has
ated an enormous foreign demand
American sugar with the result
sensational advance in price.
Every domestic corporation which
PES into competition with foreign
n the home market is
fitting by the cessation of ship.
nts from abroad.
hose manufa cturing industries
lch depend in measure on for
n nations for their raw materials,
American industries with foreign
hts, are suffering severely from
present situation.
he steel industry feels the stop
e of imports of ferro-maganese
the supply in this country has not
n sufficiently developed as yet to
It the local demand, and those who IL
the mines are undecided whether =
inter- upon the manufacture of it or .-.-
as it will take 80 to 60 days to
ip the plant, and sudden termina-
of the war would put an end to =:
prices.
slary at Morenci, was sentenced
1 one to three years
ilario Rico, for assault with
lily weapon, was sentenced to a
, of three to six years.