The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1898-03-06

cial points of weakness. 1he grangers
were relatively firm and the coacrS also
showed resistance to the decline. Deal
ings in Sugar were large and there
seemed to be good support for tins
stock
As measure of the uneasiness felt by
the financial community over the status
of the country's relations with Spain,
today's statement of New York Clearing
House banks makes a strikihg exhibit.
There is in it evidence of great draw
ing of credits and fixing of reserves. The
statement was a surprise. 1t has been
known that the demands of the country
for money for active use have fallen off
considerably this week, but the state
ment nevertheless shows decrease in
cash reserve of nearly $S,000,000. That
this reflects the withdrawal of deposits
in New York banks by interior institll-
tions as precautionary measure Ia
strengthen their reserves is beyond doubt.
The enormous contraction in loans of
Sl3,622.000 represents the precautionary
measure of the New York banks and eX-
plains why money for purely speculative
purposes has become scarce. why liqui
dation on the Stock Exchange has been
forced and why prices were acutely de-
the loan contraction is due to liquidation
on Sterling Exchange collateral which
has been withdrawn from use in in-
porting gold. But it is the general be-
lief that the gold imports have been
made on the sale of new bills against
London purchasers of American securi-
ties which were heavy last week and
against grain shipments from here. The
net result to the Clearing House banks
is a decrease in deposits of S23. 1880
Gold in transit for New York or re-
ceived today amounts in the aggregate
to $J,S00,000. which will serve as an
offset in part to the banks losses Of
cash. The situation in the stock mar
kct is closely analogous to that which
followed the elimination of the rise in
prices last September. the movement
Of money then to the interior to move
the crops caused n stiffening of money
rates and liquidation of speculative
stock holdings.
Bonds have not been as active as
stocks but have moved in sympathy with
them within Il narrower range.
United States old As and the ends are
u lower and the new As II lower BID.
The total sales of stocks today were
23J. 900 shares, including c. II. & e..
.4.025: Manhattan l.. q, 062: New York
Central $3.50; Northern Pacific PREFER
cd 11.407; Rock Island 10.4S4; st. Paul
1885; Peoples Gas 6.600: Sugar 81,
GAO; Western Union $500.
New York. March 5.-The Evening
Posts London financial cablegram:
The stock market here was quiet and
dull to-day. the only signs OF life being
in industrial shares. the activity in which
is stimulated by fresh issues of concerns
such as IiptOn's Tea Company with Il
capital of 100000 pounds sterling.
There is quite a boom in such company
promotions, which are being overdone,
however
Americans were trhe above the
New York level. hut were fiat and dis
heartened. Grand Trunk was also lower
on cables about the rate war.
Gold is in strong demand for New
York at IT'S 9ad arts 10d, but gold ar
rived to-day from the Cape. which was
not actually bought but was held over
until Monday. y large amount of Japa-
nese yen has been bought by bullion
dealers at is ID. on the belief that Amer
lean gold importers will take it. More
gold il going from Paris. There is Il
Slight increase i'll the amount of Ameri-
cam bills offering.
The Chinese loan negotiations will
probably end next week.