The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1898-01-10


Mexican dollars 45%4c. At London bar silver
closed uncertain al 26 7-16d an ounce.
The exports of specie from the port of
New York for the week amounted to $32, 900
In gold and 81, 1O2.513 In silver. Imports We're:
Gold, $S17.S31; silver, s157,2lS; dry goods.
s2.SS0,l52; general merchandise, $7,2S7,1s4.
The New York weekly bank statement
shows the following changes:
Surplus reserve, increase. .......... $6,475, S25
Loans, increase ,9y0, 30
Specie, increase observation-disclosures. l. S57 500
Legal tenders, increase .............. 1850. 100
Deposits, Increase ................. 10, 528, 500
SHculdlloi, increase ........-.-....... 4,(OO
The banks hold $22 264. SIS in excess of
the requirements of the IS per cent. rule,
The New York Financier says: THE con-
ditions outlined in the analysis of the New
York bank statement for Dec. 81 Indicating
an easier money market are reflected in a
still more noteworthy degree in the exhibit
OF the clearing house institutions for the
week ending Jan. g. The banks have gained
heavily in cash and deposits, and the sur
plus is $6475,S25 larger than seven days
ago. The statement includes the dividend
period covering the first of the year. What
this means is shown in the fact that the
clearings for the week in New York exceed
x,OOOOO0,OO0. The expansion of $10,52S, 800 in
deposits and the gain of $9,107, 900 cash rep
resent the payment OF interest which
has been made. Part of the increase, how
ever, can be attributed to the interior move
ment, which is bringing $2,0OO0OO to New
York every week. This money was first
attracted by the temporary high rates pre-
vailiIg, but its return from this time
Will be a purely nominal operation. The
reserves of the New York banks for years
past have been swelled from January well
into the spring season by interior remit
tances, the expansion being regulated by
current business conditions. There is no
reason for believing that this movement will
be less now than in former years. and the
only inference is that money will be easier.
AS the trade balance in favor of the United
States seems to be growing, it would not
be strange If the investments in sterling
however, is dependent solely the course
of money rates abroad. The Bank of Eng
lund's reserve is lower than for years, but
as a heavy increase is usually made after
the beginning of the year, it looks as if
money in Europe were following the same
course al in the United States In that case
the surplus funds of this country will have
to seek domestic channels for employment.
IT need not be repeated that IL will neces-
state most favorable outlook to absorb
the full total of the money now available.
The fact that the treasury is getting on
q self-Sustaining basis may relieve the sit
uation somewhat by stopping the steady
stream that has been pouring into the mar
ket because of continued deficiencies. An
other FACTOR is the gradual withdrawal or
government deposits now in the New York
banks. The demand for loans is increasing
also. and will operate to s te; tGS rates;
Guiding: Chicago, Burlington & Quincy. H..
400; Illinois Central, 4,671; Manhattan, 1857;
900; Northern Pacific, 1850; Northern Pa
cific preferred II, 49, Rock Island, $780, st.
Paul, 1880; Union Pacific, $500; Northern
Pacific, Denver & Gulf, $3.50; Wabash pre-
ferred, 4,070: American Tobacco, 4,94J; Chi
cago Great Western, $3.50; General Electric,
6,1S5; Sugar. Is 40; Tennessee Coal and Iron,
$3.50; Western Union, 1928.
There profit taking on quite large
scale in the New York stock market yes
r.nI aIx In
prices in the early trading That there
should be taking of quick profits after such
a sharp rise as that of the. last two days
was to be expected and the professional
dealers who bought stocks late on Wednes-
day and Thursday sold their holdings of
the most active and strongest issues. The
realizing was quite pronounced in it's effect
on New York Central and Sugar. which
reacted more than point from the nigh
level of the morning. There was evidence
of continued realizing. also, In the local
traction companies. These properties have
advanced steadily all through the dullness
and depression of the last Few weeks, ar
parently on pool operations. and the pres
ent general strength of the market is beint
awaited of to take profits in these. Some
of the anthracite group also continued UNI
der depression. Notwithstanding these
dictionary tendencies, the general tone of
the speculation continued strong and con-
fident Business was on large scale and
embraced a large number of different is
sues. some of the usually inactive stocks
being brought into prominence by sharp
advances. The pressure of large sums of
newly disbursed money seeking relnyest-
grade investment stocks. the Vanderbilts
advancing or an average point or more.
Lake Shore was helped by the report that
some $40 600 of that company's old high
interest-bearing bonds had already been
exchanged for new refunding three-and-a-
interest charges of $5Ss.S75. The demand
for bonds also continued very heavy There
york. Chicago & ST Louis Tours. at 1O7.
Prices of high-grade bonds generally are
now at the highest, and the pressure of in
vestment funds forces money into the mid
die and lower grade issues. Realizing at
the close reduced prices considerably from
the best and in some cases wiped out ear
Her gains This caused an easy closing,
with net changes mixed between gains and
losses.
STRONG WEEK ON CHANGE.
The expected has happened in the stock
market this week in outbreak of some
thing very like a furore of speculation and
an upward rush of prices of pretty much
all grades of securities. There was halt
in the anticipated awakening Monday
and Tuesday and some declines due to sew
eraI causes. but primarily to disappoint-
ment at the continued stiffness of the
money market pending the final payment
of the Union Pacific settlement. This in
voived the withdrawal from the market
of $S.5SS,40l and its payment into the treas
ury and this operation, together with accu-
mutation of funds incident to regular Janu-
airy disbursements, resulted in raising the
rate of money to . per cent on Monday.
BY Wednesday afternoon the funds thus
disbursed began to come back into the mar
sset for investment and the governments
outgo of interest and redemption had offset
the Union Pacific payments. The decline
in prices of stock earlier in the week were
quickly retrieved and professional opera
tors and commission house brokers acting
for outside spectators and investors began
TO vie with each otner in marking up prices.
The bank statement shows the complete
rehabilitation OF the New York money mar
ket which has been accomplished not only
by the release of funds al that center, but
by a large inflow OF Bioney from interior
points invited by the recent high rates for
money Notwithstanding that additional de-
pOsits of $1052S 300 have lifted the level of
the legal reserve by s., 632 0s5, the heavy
cash Increase of $9.i01,S00 leaves the sur
plus reserve S6,II5.S25 higher than last week.
Conditions indeed promise such pleni-
tude OF money that money lenders see
their prospects married and there is talk
Of releasing TO the government its depos-
the time OF part of the Union Pacific pay
ments. These deposits amount TO something
over $35, 900 900. Part of them are secured by
government bonds whose redemption is al
ready provided for. so that their surrender
would involve simply 6 bookkeeping ex-
change. But the taking up by the govern
ment Of the total amount would probably
involve tine withdrawal of a sufficient sum
IN the money market TO serve quite effec-
lively 70 steady rates or interest.