The sun. [volume] (New York [N.Y.]) 1833-1916, 1896-11-05
WEDNESDAY. Nov. 4.

As o natural sequence of Yesterdays emphatic
decision by the people of the United States to
maintain their present monetary system and
present form of Government, all OF the
financial and commercial markets made
decided progress toward normal condi-
tons. The money market dropped at
once to the legal rate Of interest for all
forms Of accommodations, and the supply of
unemployed capital is SO great that it is safe to
venture the prediction that even lower rates will
prevail in the near future. The premium on gold
disa ppeAred and the timid hoarders OF money
and spectators who made ventures on the pos
Bibility of . Bryanite victory searched in vain
for someone to take their gold ana their calls on
gold OF their hands at a slight percentage of the
money they had paid for the coin or the priv
ileges. The foreign exchange market, no
longer supported by \ demand for sterling bills
from spectators and others who found in
that market an opportunity to bet that repudia-
ton might win. or TO protect themselves against
the consequences of such Q result dropped two
cents . pound: and the decline was checked,
apparently. only by the lower rates for money.
In the security market the removal OF the
restraint upon investors, which has made them
FESTIVE and impatient these many months. was
made plain by o degree of activity and an ad-
vance in prices that will make the day a memoir
able ono in the annals of Wall street. Speeula-
Ilpu, IL 10 tfuC. wa COnsplCuUuS IN tO-u2y >
stock market. as 1t always is when an extra
ordinary event affecting values occurs; but
the magnitude of the transactions as a whole
and tho fact that o large part OF the
maximum improvement was retained in spite
of extensive realizing sales by speculative
holders. are well-niRh indubitable proofs
that tho active interest In the market
was not confined, as for some time past.
within the walls of the Stock Exchange or even
by the limits of the district popularly known az
Wall street. The dealings were not only large.
but they were unusually we'll distributed. and
q very large proportion Of them were in small
lots. that ID. in fractions of 100 shares. This last
circumstance indicates tho presence of small in
~vestors. and while some of them may have been
sellers, the majority were unquestionably buy
ers. A careful canvass of commission houses
confirmed the evidence obtained on the floor of
tho EXCHANGE. that those concerns transacted
more business to-day than they have for many
months past. 1t also revealed the fact that
many new accounts were opened. either for
| speculative or Investment purposes.
OvershadowinR all of these developments is .
circumstance entirely new. namely, the abso-
Lutte independence that the New York market
showed of the London market. Tho action OF
half o dozen Stock Exchange houses. including
two of the larger foreign arbitrage firms, in pro-
viding facilities up town last evening for
operating In the London market promptly at tho
opening this morning, was largely instrumental
In demonstrating the fact that American
capital, operators. and sentiment are no longer
dependent upon the lead of European inanciers
and spectators. Sufficient orders were coll
lected and forwarded to London last night.
they probably did not aggregate 90, 900 shares,
TO take the English market out OF the hands
of local elements promptly at tho opening
of business. This innovation. as we'll as The
confidence thus displayed, must have been q
great surprise to the habitues OF Lombard
street and Capel Court, and 1t will unqusstion.
ably be of great value in determining the future
relations between the two markets.
The circumstances that made such an event
possible are worth recounting briefly. Since
the Barring panic. six years ago. tho United
States has absorbed. in spite Of the worldwide
liquidation caused by that catastrophe. the
panic of '93. and tho recent menace to our
financial and political systems. hundreds OF
millions of securities sold by foreign holders
Prior to 1890 1t is generally estimated by for
sign bankers that Europe took from this coun-
try upward of 5000. 000. 900 of, securities an
nually. Since that year the European demand
has been ~spasmodic and slight, and has been
Offset many times over by almost %continu.
GUS and heavy sales Of American securities.
This country has taken those securities and paid
for them until the supply seems TO have been
virtually exhausted; and now that confidence
has been fully restored by the emphatic asser.
ton of the people that they are honest, law abid.
ing. and capable of self government, American
capital was first In the greatest financial centre
OF the world to reap tho legitimate advantage
accruinE from that fact. 1t will be remarkable
indeed, II this unprecedented event, together
with the result OF the election. does not Civ,
thoughtful Europeans q keener realization OF
the commercial and financial possibilities OF thu
United States.
Final sales compare with those of Monday Al
followsi
Nor. 2. Not. a. H:v. 2. Nov. 4
,TksFs. ION l6J( Nor Amer. on 81
AT Sep. gar 26Nl Nor & p. II 10
Am S Ref...ll8A 1917 korthw GIN e ! o41
Am sus r pl01A o Nor P com. l4h l61