The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1897-09-20
BIG DEMAND FOR MONEY
RESERVE OF NEW YORK BANKS CO.
ING DOWN AT A RAPID RATE.
Feature of Stock Market Was the
GyratiOns of Consolidated Gas
Local Markets Steady.
At New York Saturday. money on call

At New York, Saturday. money on call
was nominal at 1$4Q21z per cent.
Prime mercantile paper, 4Q413 per cent.
Sterling exchange was dull and steady,
with actual business in bankers bills at
$4S4s4Q4S5 for demand and at $4.S314Q4S312
for sixty days; posted rates. $4.S3G484 and
S4S514@4S65a; commercial bills. $4.Sl12Q4.S.
Bar silver, 57Ac; Mexican dollars, 43Ac;
silver certificates closed at 57q59c. At Lon
don bar silver was steady at 2Glsd per
ounce
Exports of specie from the port of New
York for the week amounted to $I45,320 in
silver and $685. in gold The imports for
the week were: Gold, $95,515; silver, $SS,O11;
dry goods and general merchandise, $6,727,-
615.
The New York weekly bank statement
shows the following changes;
Surplus reserve, decrease .......... $6,7l3610
Loans, increase NEUTRALITY-SUSPICIOUS.. 2,669,yO
Specie, decrease ..........-........... 5f9,3VJ
Legal tenders, decrease ............ a,gl20e0
deposits decrease ...-...-....''' o'c3 31 5o5
Circulation, increase ................. 6Zl,20O
The banks now hold SIS. S93. 375 in excess of
the requirements of the % per cent. rule.
The New York Financier says: THAT
present advancing rates for money are well
justified is shown in the statement of the
associated banks of New York city for the
week ending Sept. Is. There is nothing to
indicate an early cessation of the demand
for funds at interior points. The interior
banks are drawing down their deposits In
New York very rapidly. Ii the statement
foreshauows anything it is that loaninS
rates will be advanced to a higher figure
than now prevailing, but this contingency
will only hasten the time OF gold imports,
with a consequent decline in quotations.
That there Will be any stringency is inn
nrOhahiR- continued EXPANSION
stock market confirms this view. For the
first time in their history, perhaps, the
banks now hold over 90 per cent. OF their
cash in gold coin. AS a result OF the fall
crop movement, circulation is expanding"
Total sales of stocks were 246,O14 shares,
including: Atchison, II, 400; Atchison pre-
ferred, 1920; Chesapeake & OHIO, 7,770;
Chicago, Burlington a. Quincy, 1880; Man
haitian, 1075O; Missouri Pacific, 6,MO; North
ern Pacific preferred, $500; Ontario & West
ern, 4,070; Reading, IL, 500; Rock Island, $500;
ST. Paul. $3.50; Southern Railway preferred,
$3.50; Union Pacific Denver & Gulf,
1895; Bay State Gas, 1890; Consolidated
Gas, 1870; Sugar, 5,270; Western Union, 400;
Chicago Great Western, II, $40.
The feature of the dealings at Satur-
days brief session of the New York Stock
Exchange was the extraordinary gyrations
of Consolidated Gas stock. The stock had
been comparatively steady about 240 since
it's jump of 20 points early in the week. but
it took a violent fall of over 16 points from
the opening, and jumped up and down on
the recovery like boiling water in glass
tube. The variations in price on the down
grade were as high as points between con-
Secutive sales, and upon the recovery the
fluctuations jumped over several points at
a time in the most erratic and unstable
manner. The stock closed at 233, a net de-
cline of 6. It's eccentric movement served
to unsettle the whole market and discour-
aged trading generally. The market sagged
somewhat. There was an undertone of
heaYiness in the speculation all day, what
ever strength WAS apparent being in spots.
The indications supplied by the bank state
ment that rates Tor money would rise
further in the future served as a check on
speculation and helped the decline in the
final hour. Manhattan suffered sharp de-
cline of "a on the authoritative denial of
any projected transfer to purchase railway
interests and of any projected change in
motive power. The coalers reacted some
what from yesterdays advance. Delaware
& Hudson rose 11h but losing practically all
the gain. Chicago Great Western mani
tested strength in its August statement
and burlington was carried above st. Paul,
but closed a fraction below. Union Pacific
was under pressure of London selling to
realize after yesterdays heavy buying. Bal
timore q Ohio rose point and reacted, and
Baltimore & Ohio Southwestern preferred
rose over points and retained practically
all the gain. Pittsburg, Cincinnati, Chicago
& ST. Louis preferred advanced points and
Lake Erie & Western preferred u. Wheel
ing & Lake Erie preferred, after declining
nearly point, rallied to above Friday
nights close. Missouri Pacific stocks were
heavy throughout the day. The close
showed prices generally below Friday
The confidence of the bears that the long
expected reaction was due was augmented
from time to time during the week, and a
short interest ha. shown itself in some
what aggressive mood several times. The
bears were not much encouraged by their
efforts Monday and on Tuesday they were
routed as result of the sharp fall in ex-
changss. and the prediction that a gold inn
port movement would Immediately set in
For the rest of the week the market was
extremely irregular and sharp advances oc-
CURED in different stocks through the list
while other leading stocks remained at an
unchanged level. There was heavy iquida-
ton in progress and the steadiness with
which the offerings to realize were alb
tinued breadth and strength of the support
Some of the most remarkable of the adj
vances have been well retained and the
than a week ago. Consolidated Gas is the
only one of the stocks advanced that has
had serious set back, The high prices of
many stocks are based on expectations of
increased dividends, but in no case is the
prospective increase in dividend anything
like in proportion TO the increase which had
taken place in the prices. There is good
ground for the argument that prices
have advanced to higher level than is
warranted The argument is made, on the
other hand. that the rate of return on in
vestment has reached permanently lower
the money market has tended to the same
conviction. The bank statement. however
gives evidence of the rapid absorption of
idle money by the growing needs of COM
merce and industry. 1t is evident also
from the action of the exchange market
that the expanding balance of trade in ia
vor of this country stands as a safeguard
against any stringency in our money mar
ket. Net changes for the week in the ma
Jority of leading stocks are small but
few stocks show large gains. Quite num-
Der of usually neglected and low priced
stocks have been carried to a higher level
The business in bonds has been heavy
but advances were not so marked as during
recent periods some of the speculative is
AnH.
Dealings in government bonds have been
Gull and prices are unchanged except for
the new fours, which are half lower.
The Following table, prepared by l.. w
range Of quotations:
Open High Low Clos
ing est. est. ing.
4cains ExRsess .:........... l57