The sun. [volume] (New York [N.Y.]) 1833-1916, 1893-08-10
tina, NAV dIssppear to-morrov

| reap harvest that may disappear tomorrow
| certainly in the near future.
somewhat similar opportunity to. take adj
vantage OF tho stringent money ma rket and
| currency famine is offered to investors in Sc
curitiea Il has been improved TO an extent in
tho stock market. but apparently little atten-
ton has been paid to the bargains
offered in the bond market These are
not limited to comparatively new is
sues and those actively dealt in.
| The conservatism or precaution OF savings
| bank managers and other investors has re-
suited in offerings through mediums other
| than the Stock Exchange OF considerable
amounts OF tho prior lien issues OF
somo OF the most substantial railway
| corporations. For example. certain Of the
| most desirable issues OF the New York Cen
| trail the Lake Shore. the Lackawanna and
| equally successful companies. which have
| commanded premiums that have been well
nigh prohibitive to the average investor. can
| now be obtained upon a 5 q cent basis or a
little less. Such opportunities as these are
not ely to last long. for as soon as the money
market begins to approach a normal condition
the supply OF securities OF this class. which is
obviously very limited. will speedily become
exhausted.
House banks to raise their rates OF discount
to country CORES pondents was at first misun-
derstood by Wall street For time the inl-
precision prevailed that the banks were acting
in concert and that the higher rates applied to
all classes Of business. This Is not tho case.
number OF the banks dealing largely
with the interior have como to the con-
clusion that many Of their correspondents
are asking for rediscounts and for ex-
tensions solely to preserve their cash
resources. which. as a rule. are known to be
large. With the view. therefore. OF mpeling
the interior banks to rely upon their own re-
sources the banks have decided to charge IL
= cent. for redscounts and 10 q cent for ex-
tensions.
1t Is believed that these rates will soon con-
vince country bankers that 1t is cheaper to pay
of their loans than TO extend them. and 1t also
will enable them to exact rates that will prob
ably bring out some OF the money that Is being
boarded. In further justification OF their
action the city banks cite that many OF them
are now borrowing on Clearing House ccrtitl-
Gates at q D cent. a fact that entities them to
charge higher rate than that for the funds
they obtain through the Clearing House.
Clearing House loan certificates to the amount
OF 100000 were taken out to-day. making the
total issue outstanding S3G.365.OO0.
The fact that the amount OF these certificates
outstanding is the largest in the history OF the
Clearing House has provoked unfavorahle
comments from those who have not taken
pains To determine the relative magnitude OF
the issue. When the banks took out S26.565.-
600 Clearing House loan certificates in 1873
their net deposits were approximately Sl6S-
100000. The issue OF certificates was 1914 q
cent. Of the deposits. At present the deposits
are approximately $373.00OOOC. and the
a.
"a e cent. OF that amount. To make the issue
relatively as large as in 1873 the banks would
have to take out $57, 100000 Of certificates.
The principal dealings in stocks to-day were
in General Electric. st. Paul. and Sugar Re-
filming which were about equally active. and
in Western Union. Chicago Gas, and c.. Is. and
Quincy. which completed the list OF half n
dozen stocks in which the trading exceeded
10000 shares. General Electric was sold down
nearly six points in tho early dealings on
rumors that paper OF the company had gone to
protest. Those who attached Importance to this
report, which was promptly denied by the
Treasurer Of the company. apparently forgot
that syndicate was formed last week to pro-
vide the company with all the money it re-
uuires to fund its floating Indebtedness Tho
stock recovered about two-thirds Of its early
loss and closed y cent. lower than yesterday.
which was the only important net decline
recorded.
The speculation In Sugar Refining. St Paul
and in fact, throughout the list. merely re-
fected the changing views OF professional
operators. The rates which nearly all the ac-
tive stocks command for use would seem to
i'm ply the existence Of a large short interest.
That such an interest exists no one will deny,
but indications are not wanting that the COM
parative scarcity Of stocks is more largely re-
sponsible for the premiums paid than an ex-
traordinary borrowing demand for them. The
closing was strong. with many stocks selling
at the best prices
Final sales compare with those OF yesterday