Abstract

Finance

Among the particularly interesting comparisons, made possible by the returns, just published, of the whole U.S. national banks, were the figures of the loan account, at New York and outside of New York. Up to the end of summer the New York bank position was unusually comfortable. The widespread and thorough liquidation, after the breakdown of 1907 had brought bank liabilities to a low level. Simultaneously, the releasing of currency from the channels of trade sent that currency into bank reserves, where it found already lodged the $100,000,000 gold, imported during panic times. Since reserve money was still leaving the Associated Banks for the West at tile rate of five to ten millions weekly, and since speculation was still rioting on the Stock Exchange, a deficit in reserves, below the 25 percents requirement, seemed unavoidable.