The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-09-06

creased Ss,3oo,000, raising the reserve
deficit by just about that amount, a there
was practically no change in the deposit
item. Circulation rose sl1.200.000. 1t Is
possible that the statement also reflected
the process Of making loans TO the South
to help move cotton as we'll as to store 1t.
and II does not appear that the South is
yet ready to avail itself of the emer-
gency currency provision to finance the
large share of tho cotton crop which is
ordinarily exported. lnoeed. the South
does not appear to be at all satisfied
by this provision. because Il Ia merely a
matter of bank loans primarily, and what
the southern cotton grower really wants
Is an out and out valorization OF his
staple by the Government.
The domestic money market Of the week
was practically unchanged although some
attention was attracted by offers Of call
money at per cent to individual lenders.
II is probable that domestic monetary
dealings will become more active and In
teresting as tine international money
market gives evidence of sustained better
ment. II became known yesterday that
the New York Central had been able to
extend It's 100000 OF 5 per cent. one
year notes, maturing on September Is.
extension being for year on a per cent.
basis. The chances arc that "A very large
percentage OF American corporate obliga-
months Immediately ahead can be ex-
tended similarly. now that tho embargo
on financial operations Ia being gradually
raised.
1t is gratifying to note that the bill in
Washington to establish a Government
merchant marine is encountering oppo-
sition and II Is time opposition was offered
20 a large variety OF financial, industrial
and commercial experiments which the
Government IL being urged or has been to
some extent persuaded to undertake.
/ There is danger now that the country q
economic machinery may be tinkered with
disas .rously. and an excellent stage has
been reached for suspending experimental
Efforts until II can be seen more clearly
what else in tho way of new legislation
or official action can he advantageously
proposed.
Tho additional taxation which the Presi-
dent has recommended IL undoubtedly neo-
essary. but law to that end would
! he enacted with better grace by Con-
/ gress r a disposition were shown TO
! practise public economy. The President
| agreement to receive delegation OF rail-
road executives during the coming week
to consider the situation OF the common
| carriers stimulated hopes that the Admin.
istration would recognize the need. which
the Interstate Commerce Commission will
| hardly perceive. OF affording some rate
! relief to the railways.
Apparently some progress was made by
| the cotton international conference toward
clearing up the obstacles which are in the
path OF the opening OF the cotton ex'
changes. although Il II obvious that fur.
ther negotiations between New York and
/ Liverpool are required. The cereal mar
llets were al strong. with a rise OF more
than ten cents bushel tn wheat. There
was a moderate reaction in wheat yester'
day owing 10 speculative profit takins
and It is clear that a very active specula'
ton for the rise In wheat has been pro
NOTED by the European war. That this
Is going TO occasion controversy is mani
fest. At the same time II Is speculation
/ which liz clrrying up the price OF grair
while the supply Is abundant, and 81
guarding against the situation which
would otherwise be created by the VIC
lence OF the advance which must occui
on the discovery Of a famine deficiency.