The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-10-07
FINANCIAL NEWS
AND COMMENT
Gold Fund Committee Supplies
Foreign Exchange Above
the Market.
STERLING BILLS STRONG

Possibly the international money mar
ket reflected yesterday the aspect OF the
war news. The suggestion OF official ad-
vices that the German offensive might
be again making some Roadway against
the allies did not meet prevailing Wall
Street ideas as to what ought to happen
for the benefit of tho financial situation
At the same time 1t was reported that
London acceptance favors were being once
more extended moderately TO our bankers.
and there might have been some reflection
OF this In easing rates for foreign ex-
change.
The confusing position OF the foreign
exchanges continued to be demonstrated
by the fact that rates hardened. In the
late dealings demand sterling was quoted
at 4.95is. with cables at 496&. Ger
man exchange persisted in its decline a
decline which is causing some conjecture
that by a roundabout process German
finance is making effort to establish
credits here.
So far as domestic money conditions
went the most encouraging thing was
the sustained improvement OF business IN
the short time notes. which are more
obviously money market matter than
a matter OF the securities market, al
though the securities market In the large
IL only "A vast department Of the money
market. out OF town reports showed
that there was an increasing absorption
OF commercial paper and there were some
definite indications of larger buying by
local institutions. notably by trust com.
panies at prices ranging from per cent.
up.
call was issued for the third pay
ment Of banking subscriptions on the New
York city loan account, the amount TO be
realized being about si.sOO, 900. making
the total so far somewhat less than
$4,000 Don: About 5000 900 gold was
taken from the Sub-Treasury for ship
ment to Canada.
Because Of tho operations OF the gold
fund committee the movement OF foreign
exchange was subject Of particular at
tention From announcements made by
the committee that demand sterling was
supplied on saturday at 1854 and on
Monday Mt 495t,. the inference was
drawn that tho committees general poll
icy was to sell remittance n little above
tho open market rates.
This would tend to stimulate EFFORTS IA
huy exchange outside without recourse "a
tho pool and enable the committee TO use
its facilities to set IN some limitations
of control against rising tendencies The
strength OF cables being more pronounced
than the strength Of demand yesterday
excited some comment because on Mon
readiness TO I'LL applications FOR cable
transfers
Among the matters of routine news
which come In for notice was the state
ment Of last weeks export trade at the
port OF New York showing n shrinkage OF
about onc-th,rd In the value ~ shipments
, compared with tho previous week. From
this II might be inferred that our outward
trade movement is being materially ham
pored by the war measure uses which
Great Britain IL making OF its naval SUI
premacy
An interesting development was the
representation made by n Missouri stock
holder nj the annual meeting OF the
Northern Pacific Railroad that the car
ricrs should NOT wait on the Interstate
Commerce Commission hut should seeN
70 obtain quicker relief by taking M
rate advances with the state commissions
The Atchison directors declared the regu
lar quarterly dividend Of /, per cent.
Wheat showed renewed weakness. Corn
and oats declined. The distressed cotton
situation was variouslv Illuminated by the
action taken nj banking conference in
St Louis and by rumors Of progress with
the syndicate scheme 10 finance the New
York Liverpool position and 40 prepare
the way for the reopenlng Of the cotton
exchanges Greater GOO. an he accom-
plished by the restoration OF tho future
market for cotton than by any other
means The St Louis scheme for bank
ing pool to lend sl50.000O0 on cotton
nj 6 cents a mound is not likely 10 arouse
enthusiasm in the South which Insists
that It's staple Is worth nj least IN cents
"A pound however remote from reality
that price may he.