Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1890-08-21
THE BEARS CHECKED.
The Treasury Offer Creates Some Consterna.
tion-WaitinE 10 Ascertain the Effect
of 1.-THE Market Closes
Dull and Henvy.

Dull and Henvy.
NEW YORK, August 20-The circular of the
Treasury Department issued late last evening,
In regard to the purchase of the ~ per cents,
was q check for the time being upon the opera
tious OF the bears and carried. for the time
being, considerable anxiety into their ranks.
While there were grave doubts expressed by
some financial authorities that any large
amount of bonds could be secured owing to the
fact that they are held so largely by institutions
for special purposes, the immediate effect upon
the stock market was one of stimulation in the
matter of prices. A large number of the weaker
bears hastened to cover, and at the opening
this morning the demand from the shorts was
urgent enough to open the active stocks from
Il to "A per cent higher than they closed last
evening. The movement was soon exhausted,
however, and further advances were slight.
The disposition to trade was never at lower
ebb, all preferrIng to await the outcome of the
offer of the Secretary. The offerings as an
nounced at noon were, to say the least rather
disappointing to the bulls, but the threat that
if this means should fail to get the money out
of the Treasury other means would be taken
acted still as a restricting influence upon opera
tions OH the short side, and the dullness for the
remainder of the day was most intense.
The offerings OF tomorrow are now awaited
with anxiety, and If larger than to-day's may
bring some improvement in prices, but If not
resumption of the late hammering may be ex-
pected. There was less heard about the strikes
to-day, and the crop news received was. if any
thing, more favorable, which should have en-
couraged the bulls. but the high rates for
money were still maintained, and 25 per cent
loans are not inviting to the would-De specu-
lator. In the afternoon the bears showed
some encouragement in consequence of the
small offerings of bonds under the circular,
and more animation in the market was accom-
panied by some recession in in prices. The
movements were generally slight, only Oregon
Transcontinental receipts dropped IL per cent,
while Lackawanna and Sugar Refneries lost
fractional amounts. The market finally closed
dull and heavy generally at slight concessions
from the opening prices. Wall street, both
yesterday and to-day, has had a severe test,
and it mas been shown that there is still very
strong undertone and scant supply of stocks.
The final changes generally slight ad-
vances. but CaEada Pacific rose 1A.
The railroad bond market still remains very
dull, and without features of importance and
no pronounced tone, although the changes to-
day were generally in the direction of lower
figures among those of Importance. The sales
were only Sag 000 with no special animation
anywhere in tine list. Long Island fves lost 2L
at liz, while the only advance of note was Ten
nessee Coal, Birmingham Division, skies 5 to SO.
Government bonds have been dull and strong.
State bonds have been dull and featureless.
The Post says: The Secretary offers to buy
the bonds, paying par for the principal and all
interest up to May 81 1891. 1t is, in fact an Of
fer of only 81 03s6, or &c advance over 81 O25
paid for the bonds last week. A large part Of
these bonds are no doubt held by fiduciary in
stItutions as perfectly guaranteed security
rather than an interest paying investment and
it will require every inducemenr the Secretary
can offer to bring this capital out of the state of
limbo into the money market again, and there
fore he should not try to make two bites Of
cherry.
While money on call touched 80 per cent per
annum to-day in the New York stock market,
it was 81 to 316 for bankers balances in hon
don, and yet TINS enormous difference caused
no change in the rates of sterling exchange.
There Is no doubt that the stringency here has
been aggravated by the banks and trust COM
panies. They have double purpose to serve.
First, they get high rates for their money
from day to day, and next they expect to make
the Secretary of the Treasuary buy their bonds
at the highest price in order to relieve the
money market; though for that matter he
seems to have no alternate except to bid the
highest prices
The following table shows the prices OF active
stocks on the New York Stock Exchange yester-
day. Corrected daily for THE DISPATCH by
WHITNEY g. STEPHENSON, old Pittsburg MEM
bers of New York Stock Exchange, 81 Fourth