Evening star., 1915-07-04

eign exchange, the United States Rub
Der episode and a sudden break in st.
Paul shares. closed with the attempt on
the life Of J. P. Morgan.
The rising price of capital continues
to be the leading phenomena Of the
markets. This weeks sale OF New
York city bonds confirmed the evidence
on this point of last weeks British
loan. Bond prices reflected the process
of readjustment to the new basis of re-
turn. Pending the completion of this
process. capital remains reluctant for
sues of new securities were the small
est in any similar period for some
years. Hence the immense surplus re-
serves in banks, low money rates and
high prices of short-term notes COM
pared with bonds.
American Bond Sales Abroad.
Foreign sales of American bonds have
been large, induced by the increased
returns on the new British loan. Lon
don exchange. nevertheless. sank to
new low levels. The price of the New
York city loan counteracted the Brit
ish flotation. The favorable trade bal
ance, having exceeded the billion-dol-
lar mark for the fiscal year. continues
to mount. 'affording grounds" COM
ments the British prime minister, II
don't say for anxiety. but for serious
thought"
Bank Of England gold in Ottawa ap-
proaches depletion. A fresh computa-
tion of recognized authority discloses
much smaller holdings of American Sc
curities abroad than previously accept
ed estimates. Nevertheless. arrange
ment Of foreign loans here seems dim
cult. There are circumstantial reports
Of another large British loan here, to
be altogether exempt from tax by the
borrowers. II is clear. however. that
American banks prefer American bonds
owned abroad as collateral security for
loans.
Approach of a double holiday and the
imminence of Germany's reply to WASH
ington's note on marine warfare con-
duced to market dullness. General
trade conditions gave promise of i'm
provement in various lines with in
creased demand for iron and steel.
Iron and Steel Review.
Conditions In the steel trade are sat
isfactory. The industry. as a whole, is
operating between so per cent and IS
per cent of total ingot capacity. The
finishing mills have rs to 100 per cent
of capacity employed, the bar and tin
plate mills being most active. In the
middle of last November the steel
plants were operating only 20 per cent
or less of total ingot capacity, the
minimum since the organization Of the
steel corporation.
Railroad equipment orders were some
what disappointing last week. but the
Burlington placed the Kansas City
bridge contract, requiring 5.400 tons of
steel, and is negotiating for 1000 cars
The Chicago, st. Paul. Minneapolis and
Omaha is in the market for 1000 cars.
while the New York Central, Baltimore
and Ohio and Wheeling and Lake Erie
are about to place heavy orders for
spikes, bolts and other track supplies.
Several miscellaneous orders for rails
were placed for export and about 1000
tons Of light sections for domestic in
dustrial lines.
The Buffalo mill has taken another
order for $4,000 tons Of shrapnel bars
for France and other contracts for
100000 tons of bars are pending, more
than half of which is for export. Among
other prospective export contracts are
14O, 900 boxes Of tin plate and 5000
tons Of wire rods. Canada and Great
Britain have taken 1000 tons of struc-
tural shapes.
June Fabricated Contracts.
A preliminary estimate Of June fabri-
Grated contracts is $4,000 tons. of which
10000 tons were placed last week. in
$4,000 tons for the Pennsyl-
~ A II.Au