The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1897-05-03

closed 61hQ62c. At London bar silver closed
at 2S9sd per ounce.
Exports of specie from the port of New
York for the week amounted to 1851, 022 in
gold and $780, 1O in silver. The imports
were: Gold, $174.976; silver, $29, 434; dry goods,
$3,672, $50; general merchandise. $11, 114,03O.
The New York weekly bank statement
shows the following changes:
Reserve, decrease ......".......... $340,275
Loans, increase ..................... 9S4,o OO
Specie, increase 256, 700
Legal tenders, decrease ............. 1900
Deposits, increase ................. 2,079, 100
circulation, decrease ................. so, 100
The banks now hold $4S, GIT, 625 in excess
of the requirements of the 25-per-cent. rule.
The New York Financier says: THE
statement of the associated banks for the
week does not reflect the actual changes
that have occurred during that time. In the
first place, the payments into the treasury
on customs duties for the week were un-
usually heavy. The Withdrawals of legal
tenders for gold export purposes were in
excess of SIS, 100 DOC, so that the banks must
have parted up to Saturday with a larger
sum than they have been called on to fur
nish since election. Yet in spite of this
fact the statement shows an actual increase
of $ll9, 500 in cash, the gain of $256, 700 in
specie having been offset by a loss of SIT. 200
AANNA AC ldNOI dUlG Ol
the statement is the increase of 1884, 500 in
loans, bringing the total to a point exceed
ed only twice during the current year. The
excess reserve of the banks is really very
much under the $4S.9l7, 65 reported on Nav
l. Ihere is no question that the gold ex-
ports and the heavy imports of merchan-
disc Will have an important influence on the
money market if continued in the present
Volune' For the week ending May l the
total imports at New York were $l4,786. 900.
which is ST. 900 in excess of the imports
Tor the same week last year. The weeks
total, In fact, is heavier than at any time
Total sales of stocks were So, 1895 shares.
tuciudlnS: american Sugar, 800; BurIing-
ton, 3,1OU; Tennessee Coal and Iron 2 nS,.
western Union, 800.
SLOW WEEK IN STOCKS.
me close of the weeks trading on New
fork Change was marked by the same con-
0ltlon of apathy and almost stagnation
which has characterized the market all
through the week. This was accentuated
by the fact that Saturday was a holiday ON
the London exchange and by the definite
announcement from Boston that the ship
ment of gold to Europe on Tuesday next
by a house there would be increased to
%'VOO,00O. The market was left freely in the
hands of professional traders, and was
VI SSIeidi interest. The
prevailing dullness was accompanied by the
heaviness of inertia, and prices sagged even
on the limited offerings of shares. A few
individual properties We're subject to special
nnIaVorable influences and the general mar
ket showed itself sensitive to the sympa-
thetlc effect of these, though the huctua-
tions were within narrow compass. The
average decline for the day was some
thlng over Is. The grangerS were rather
heavier than the general list, the decline in
that. group in the case of Northwest ex-
IGnOlnR m ~ ThA ! aVg vrrAr 4 18TH
held outside of New Jersey Central and
Reading, the former losing IS net after an
INITIAL rise of "a. Tobacco fell only 81 in face
OF the, announcement of the withdrawal
from the directory Of a prominent interest.
Inc largest losses We're in the specialties-
a point each for Tennessee Coal and Iron
and Brooklyn Union Gas, the former on re-
ports of prospective labor troubles. West
ern Union declined Is, to 1873, and Sugar lost
Is. The only gains in the list were in Leath-
er preferred on covering, Pullman, Lacka-
wanna and Consolidated Gas, each of which
Irregular.
The dealers in stocks and bonds have
been occupied all week almost exclusively
with the gold export movement which has
set IN and nave manifested considerable
the shipments. There has been some under
tone of strength in the market finding eX-
preston in the small offerings of securities
at the low level. But prices have been on
a descending scale, almost without excep-
ton: The gold movement has proved a puz-
zle to the best authorities and the ina biIitv
to account for it satisfactorily has been
as much the cause of the stagnation in
stock dealing as any positive apprehensions
of its effects. Last Saturday the opinion
was quite general that no exports of gold
would be made until the then prevailing
rate of exchange, which was $4.SSl for
short sterling, should rise above that figure.
This opinion was based on the fact that on
the previous Monday short sterling had
ruled at $4.&1a, and had touched $4.SS%4 with
out any engagements being made for ship
ment. The exchange houses agreed among
themselves that there would not be sufi-
Gent profit shipping gold to make it worth
their while until demand sterling should
reach %.SS&. Yet yesterday with demand
sterling only just steady at $4.S7A. or 10
below the profitable point agreed upon by
he exchange houses, a shipment of ST.
steamer. This retrospection is necessary. to
properly estimate the disputes that have
arisen as TO whether the gold is going
abroad as a commodity at a premium or
whether it is a legitimate exchange opera
ton: Inc nrst engagement on last Saturday
or SN,OW i'll gold bars which was stated to
pe IN execution of an order. the firm re-
ceiving a commission for making the pur-
chase and the recipients to pay the expense
OF shipping. This was obviously not a reg
ular exchange operation, the commission
ard expense of shipment being in effect a
premium on the gold.
CONCEALING THE CAUSE.
The house which made it, being party to
the exchange agreement not to ship. had
excuse for the operation in that it was not
a regular exchange operation. Yet the next
mousse 10 snip carefully emphasized a state
ment that 1t was done in the regular order
or business 10 ~hquidate an Indebtedness and
because it was cheaper than exchange. How
much OF this contradiction was apology
and r|ecrimination for the breaking of the
exchange agreement can only DE estimated.
The motives for the agreement were said to
be to Keep up the price of exchange unit,
certain stocks in supply were disposed of,
and on the other hand, to avoid the adj
verse effect OF sold exports on some heavy
railroad bonding. operations that are in pro-
cess OF completion. The doubt as to gold
shipment. being in response to the eXhaus-
ton Of our Credft balance abroad, grows out
Of the extraordinarily heavy excess of our
merchandise exports over imports Cor the
nine months OF the fiscal year, an excess
aEgregating 1923, 10000. Those who argue
that the balance OF credits has turned
ports must be largely discounted on ac-
count Of underValuations of imports 10
eVade customs duties. They point To the
heavy tmportations of the last two months
In anticipation and the heavy obligations
incurred for stll heavier importaticns to
come before the new tariff goes into effect:
the large volume of our securities that has
- be paid for; the credits carried abroad
Dy American travellers to be expended
there; the withdrawal of foreign capital
which was placed IN loans in the New York
money market, and paymen OF dividends
ana interest on American securities still
held by foreigners. All these are said to
amply account for the wiping out of the
frade balance in our favor and a legitimate