The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1897-12-25

silver certhcates, 5f12dooc; par silver,
5TAc Mexican dollars. 45ssc. At London
bar silver closed firm at 2624d an ounce.
The weekly bank statement shows the
following changes
Surplus reserve, decrease. 81. 202 900
Loans, increase ....................... 1927 600
Specie, increase. l36 quo
Legal tenders, decrease. .............. 4,529000
deposits, decrease. .................... i3o6 UV
Circulation, decrease. .................. 1850
The banks now hold 81 ,523, 460 in excess of
the requirements of the 25-per-cent. rule
The New York Financier says this week:
1.-The statement of the New York clearing
house banks for the five days ending Dec.
"a is seemingly contradictory in its results,
although an examination of the reports of
the individual banks proves that the opera
lions which brought about the changes
were entirely logical, so far as the totals
are concerned. The increase of 49, 27, 900 in
leans, with decrease of $75S,S00 in deposits,
instead of the increase which usually at
tends loan expansion, was confusing
factor, but, on the other hand, there was
a decrease of s4,529 600 in cash. The infer
ence is that the money loaned has gone
out of bank, and this is borne out by the
report of the National City Bank, which
has made the largest fluctuations in its av-
erages. 1t has expanded it's loans to no less
than So, 500, 000 or amount nearly as
large as the total increase for all the banks,
and 1t has decreased its reserve in the same
amount while it's deposits show scarcely
any variation from the previous week. This
bank is so prominently identified with the
Union Pacific reorganization settlements
that the statement thus becomes almost
self-explanatory. The result of the weeks
business has been to reduce the excess re
serve of the banks 81, 202, 800, leaving but
$11, 1913 $50 more than required by the 25-per-
cent. requirement. This is the smallest re-
serve reported since October, 1885, when call
money was quoted at from to per cent.
But the present outlook does not lndlcate
any such stringeney. The reduction IS que que
on Union Pacific account, and as the gov
eminent is now beginning to disburse
larger amounts to meet the principal or
maturing bonds. the effect will be to offset
any stringency that otherwise might occur.
Many of these checks will be available for
bank use Monday, and in addition about
one-half of the $S,000,000 to be paid by the
Union Pacific committee on account Will
be deposited by the treasury in banks.
Money will be firm over the close of the
year, but any Stringency after that time is
bound to still further depress the price of
exchange, and this, despite the high rates
for money abroad, would bring specie I'M
ports
cluding: c., b. & O., 2O,7S0;. Manhattan.
44.065; Metropolitan Street-railway. L. 1870;
Mssogri Pacific sSSs; Ne syo Jersey T CentEal
cific preferred. 1860: Reading, $500, Rock Isl
and 9525; St. Paul. 1855; American To-
Peoples Gas, 1870; Colorado Fuel and Iron,
3.31O; Lead. 4,SO0; Sugar, $500, and Western
The New York Street-railway shares.
which have been such a notable feature in
the stock market all the week, opened with
and though there were sharp reactions dur
ing the day on proiit-taklng, these stocks
closed at the highest ThirG-avende added
points to it's price making 2 gain of Y
points on the week. The weeks gains were
also extended in Metropolitan, TO 81, and in
Manhattan. to SIS. The great buoyancy in
these specalties spread through the list,
reaching first the securities of other local
corporations, then the industrial specialties
generally, and finally the railroad list. The
level of prices in the industrials and in the
grangers was at one time from to points
above Thursday nights close. The high
point was not fully maintained. at the close
in the general list. but substantial net gains
We're the rule. During the. afternoon the
market took on distinct holiday charac-
ter and fell at times into stagnation, prices
yielding sharply, but being restored by the
final stiffening in Metropolitan Street-rai-
way and Third-avenue. There was no par
ticular news to account for the movement
Of prices. though the bank statement with
its further decrease of over $4,000,0 900 in the
surplus reserve, had the effect of checking
the activity in the market for the time be-
ing. In fact. the market did not take
the same animation again during the
mainder of the day. even when the
nouncement was made of the engagement
for shipment from England by to-day's
steamer of 100000 in gold. The bank state
ment was about what was expected and re-
dected a portion of last weeks Union Pa
cif1c operations not included in last weeks
statement. The heavy balances of over
50. 100000 in yesterdays clearing house state
ment undoubtedly reflects operati in con-
nection with Mondays payment of $S,500000
on account of the Union Pacific sale. Steady
shipment of gold, while 1T indicates certain
relief available in case of undue stringency
in the local money market, also indicates
money rates is likely to endure for a consid-
cradle time without relief. 1t has come to
be generally recognized that large imports
of gold will be necessary to settle our exist
ing trade balance with Europe, as the ex-
pected import movement of merchandise
does not develop. But the present hardness
would be of short duration and would thus
defer the gold movement as long as high
rates continue to prevail in London and Ber-
lin There was expectation after yester-
days engagement was announced that there
would be further gold importation next
THE WEEK ON CHANGE.
The stock market has been characteristic
of the period Immediately preceding the
holidays. Dealings have averaged less than
100000 shares a day and movement of
prices has been sluggish and narrow ex-
cept in special cases. The condition was
due in part to the natural disposition 10
close up accounts AZ the end of the year
and partly to the neglect of business in
favor of preparations for the holidays.
1ueIe Is natural tendency Tor prices 10
sag in such market. but prices have yield
ed only slightly during the week, and have
fully recovered. They were partly sus-
tanned by the strength of individual stocks
due to special causes and partly by a de-
cline of the fears of any violent stringency
In the money market before the first of the
year. Statements from the Treasury De-
partment at Washington make it evident
that u quantity of currency skies is being
presented for redemption sufficient to in
sure relief in the money market for the
effects of the Union Pacific payments into
the treasury. Last weeks payment about
Is 5000 was turned into the treasury in
cash. A similar amount is due TO the treas
ury next Monday, but the secretary of the
treasury announces that he will leave ST.
$50 of this amount on deposit III New
York banks If the government bonds as Sc
curity are forthcoming. The Treasury De-
parrment estimates that disbursements for
redemption of the Pacific bonds up 10 Dec.
q will amount to $l5.000,0o0 The payments
heretofore made by the Union Pacific SYM
dictate To the government are still on de-
posit I'm New York banks. 1t will thus be
geen that the money market is secured
against disturbance from the Union Pa
rific operations before Jan. J. after which
ths supply OF money will be replenished by
dividend and interest disbursements. The
denominations necessary for these dis
hursements are still to be reckoned within
me period before New Years After that
1aae the final payment OF s.. 500 600 by the
Union Pacific committee Is to be made on