New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-09-28
OF TIE
K IN FINANCE
.,t Exchange Opening
Normal Exchange
ed Money Rates.
Gam IN RESERVE
BY LOCAL BANKS
e,slso IN Bonds and Unlisted
s,oeks Less Restricted
TIE Cotton Problem.

a.-.,,I response to the creation OF
~ fund Of siOO,0OO,OO0 by re.
cites last week mag be expected
a nstsrially in restoring q normal
exchange market here. The
n,lvsly small subscription from
- lsr the new city loan, offered at
y, cent, indicated EurOpe's attitude
I our securities, and we must
- Fssonable sterling rates with
- o pay for the stocks and bonds
- % bay back from abroad. Part
. Al tfst instalmeht Of geld raised
Z 81 REV pool will be deposited in
s,h shd wheat, -four aud other ex-
- are steadily making up in part
4. 6,ersased shipment Of cotton to
q oshsf side
ssr exchange rates, however, are
IL ere step toward & complete re-
,ion Of security trading. We had
- While q chance 70 learn what 1t
-, % Be the only market open for
sted security trading, and re-
aG the experiment Is q question
~ proceeding In England negotia-
~, SSft under way last week with
4, rotefnmsnt for assistance toward
4siug the London Exchange. I'M
bs lts necessity as 3 eembstant
seing industry at its highest pos
- fetlVity, the British government
~ already assumed the burden Of
eing from loss different classes
a isiness which il has been deemed
necessary 10 subsidlge. SO 1t
~ be that 8 guarantee against loss
4 uebtnge members through foreign
80, which il is understood is being
Sa3 iog, may finally be granted, Be-
nfties registered in the name Of Ger
- ou5 Austrian owners will not be
! ~ 2sIivery IN London, and this
~ d some slight protection to that
stlts. against outside liquidation.
ssa WITH exchange rates somewhere
"a teFhal and the trading in secure
resumed In London there must be
ial money market, something that
Z ftstht does not exist. Great blocks
y s,eaflties are in this city waiting
"a Ebb5rtuhity TO be sold by European
Mtd. The banks themselves have
40 az collateral loans outstanding,
80 bari Of which will be called. Do
aHt lioaidation as well Hs domestic
ami may well be heavy. All this
sl 6osn demand on local financial in-
ttisas for funds to finance security
HtlhR, and abnormslly high rates
3 lhd time would aceentuate any
tssauard movement
ntaslGfy Position Here Improves.
At n6aatary position here is, of
atfst, approving, Currency ship.
ans from the interior now include
lastltr proportion Of reserve money.
Ia ksla fund while il is taking from
ca sltf6 of cash at the same time
aHasb Participation of other cities
isss us from preparation for car
nH ne full burden Of payment to
hA Sale throughout the country
q u new obligations Of the City Of
NJ York will result in payment here
h htss amounts. Possibly the publi-
afh by the Secretary Of the Treas
III 81 q list Of interior banks holding
ufaSoRably high reserves may re-
se little gold.
User trading in unlisted stocks and
& bonds listed and unlisted should
WA ssme gain Of funds by local con.
al 70 be applied to reduction OF
h1hs AZ yet, however, this business
! bslng conducted cautiously and the
ta AMOUNT involved is not great. 1t
! too important to preserve the quo
hsioE level on which accommodation 10
Stained from the banks to ATTEMPT
fy Widespread open dealings at much
bElF prices.
Of course, during the autumn
tiaiAs the needs Of commercial bors
ntsF5 that are now only partially
a,li6ed will be further concentrated
q hls city Mercantile paper be-
aa2i due in great volume between
- aad the end Of the year, and in
ifli banks, which in the aggregate
w great mass Of such obligations,
Nv tsptet payment at maturity. The
lHBaefB cannot meet this through