The Scranton tribune. [volume] (Scranton, Pa.) 1891-1910, 1894-01-01

the enormous depreciation in the
u values of speculative securities
and commodities in all the markets of
the world. In London the deprscia-
tion in values OF securities traded in
there amounted to $685. 900, 900. but
large as is this amount the depreciation
in the market value OF securities dealt
in ut the New York stock exchange
has been many times greater. This is
indicated by the fact that the market
value Of twenty. five representative
railroad and industrial stocks dscreas.
ed over S935. 0OO 900 in the past year
A calculation of the depreciation on all
the bonds and stocks listed, il it were
possible, would show the losses to
have been stupendous.
The depreciation has not been con-
fined to the speculative markets; it ex'
tended to every branch OF trade and
industry, and the losses in strictly bus
iness enterprises have been simply
enormous. The wonder is. not that
failures have been so many, but that
they have been so few.
UNCERTAINTY OF THE MONEY MARKET.
The money market had a severe
shaking up during the year, at times
panicky to q degree that loans could
hardly be obtained at any rate, even
on the best gilt-edge collatsrals. The
stringency began in February, when
the banks practically withdrew from
the time loan market, and borrowers
were forced to satisfy their needs by
= borrowing on call. AT this time the
'sressury gold reserve was falling
rapidly and the New York banks came
to its relief by giving SO 10000 gold
in exchange for legal tenders. Tho ac-
tion OF congress IN voting to continue
the operation Of the Sherman silver law
until the new congress should meet, in.
sensified the feeling Of uncertainty re.
specling our currency and induced
foreign bankers to call sterling loans,
One Of the most striking features of
the financial disturbances of the year
was the mastery manner in which the
presidents of the New York banks
handled the situation. Their prompt
ness to recognize the gravity Of the
crisis and their equally prompt meas.
ures to meet it have been fully recog-
nized and appreciated by all classes
of the business community. The is.
sue of clearing house loan certifi-.
Gates enabled them to utilize their
entire resources and give their GUS
toners the full benefit of the same.
That this was done is shown by the
fact that during the critical period
the amount of their loans was largely
in excess of their deposits Thus at the
close of 1892 the loans amounted to
$437, 722, 900, deposits to $444. 589 400,
aud the surplus reserve to So, ,939, $50
On Feb. A. 1898. loans we're $464. 910,-
200. deposits $495, 475, 900, and surplus
reserve SIS. 654. 009 the latter having
been $23, 143, 800 on Jan. 49,
DEPOSITS DECLINE
From the total of Feb. deposits de-
clined to 1870 479, 80 on Aug. 49, while
loans fell off to onlyl$lO6. $40. 200 in the
same time, a decrease of 1924. 99A 400
In deposits. aud Only $58 $40, 900 in
loans. In the same time from a sur
plus of over 1923. 000 900 the banks re-
serve fell off until on Aug 10 they were
$16. 545 375 below the legal reserve re-
qnired against deposits. Since Aug.
10 deposits have rapidly increased and
now stand $499, TAT, ZOO or over $54. =
600, 900 more than at thA close of 1892.
Loans continued to be reduced until
Sept. %, when thev We're down to
1892. 145, 600. Since then they have in
creased to $416,287. 900, Opr $21, 500, 900
less than at the end of 1872 The low
est point OF the total reserve was $76.
500, 800 Aug. 10, since which time il
has risen to $202 $40, 700 The surplus
reserve on Dec "a was S7t 937, 775, an
increase Of $94 500, 900 since Aug. 10,
and is $71, 900, 900 greater Il IN at the
end Of 1902 In fact the plethora of
money is now so great that blnkers are
at their wits end to find some channe
of profitable employment for \at least
part of it. The following table ex-
plains itself:
TABLE SHOWING MARKET VALUE IN 1929