The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1898-06-06


5SI4c and uncertain; Mexican dollars, 4512c
At London bar silver closed steady at 2712d
an ounce.
The imports of dry goods and general mer-
chandise at New York for the week ending
Saturday were 81 558 .261. The gold and silver
movement at New York for the week was:
Exports of gold $1,000; silver. 919169; i'm
ports of gold, $94,275; of silver. $lO,S41.
The New York weekly bank statement
shows the following changes:
Surplus reserve, decrease. .......... ~ ,l49 wy
Loans increase S505 w
Specie, increase ........................ l64OlU0
Legal tenders, increase ............... Zio ,5o0
Deposits, increase ..................l5,+ 4S zo0
Circulation, decrease .rs............,'' o'4U
The banks now hold $52.24970O in excess
of the requirements of the law.
The New York Financier says; THE New
York banks, contrary 4o all expectations,
seem to have found use for all the money
they received from various sources last
week. 1t had been confidently predicted
that the statement for the seven days end
ing June would show large gain in sur
plus reserve, but the actual facts as re-
vealed by the clearing house totals are that
while cash increased $1.S9s.4QO the expansion
In deposits of $1Sf3,2OO swelled the reserve
requirements over S3.350,0o0, bringing about
a decrease in surplus holdings of 81, $4,000
Naturally, such a result tends to place the
money market on firmer basis, although
with excess cash amounting to more than
So 600 in bank vaults here, there is little
likelihood rates will attain higher level
The heavy increase of $l1,S90,9O0 in loans is
an-encouraging feature. The expansion can
be traced for the most part to seven of the
larger banks, but some of the smaller in
stitutions, having solid mercantile connec-
tons, show a gratifying gain,
THE CASH INCREASE.
THE increase in cash was smaller than
conditions supposedly called for, and de-
Quoting the gain of 100000 in specie and
legals which one bank made. the statement
shows that the remaining sixtyfour banks
have 100000 less cash on hand than re-
ported at the close of the previous week.
In the face of known facts this is peculiar
showing, and the averages are confusing to
say the least. The deposit growth. however
is logical when the loan expansion is taken
into consideration. The banks are rapidly
regainng the high point attained previous
to the opening of March. Since April 80
they have added $3l,5OO,O0O to their loans,
while deposits are nearly $5l.00O.G0O larger.
The loan total for the current week, how
ever. is $40,OCO0O0 lower than that reported
$20,0o0G00 than on the same date. The loan
decrease represents in large par; sterling
bills sold to expedite gold imports. while
the material difference in the decrease in
deposits as compared with loans is evidence
of gold received and still held. 1t also shows
In measure the extent of the return in
terror movement and the heavy disDurse-
ments by the government since the begin
ming of the war"
rotal safes of stocks were 10000 shares,
including; Atchison, 5sl25; Atchison pre-
G.. G, {. 4 St l., Il. $50: t. & N, S,ii5
Manhattan, 1920; Missouri Pacific, 1922;
456; Northern Pacific preferred, 14122; Rock
Island S,4SJ; St Paul, 1870: Southern pre-
Tobacco, 1920; Chicago Great Western. 1850;
Peoples Cas- $780,. General Electric, 6.0S5;
Pacific Mall H. Alps; Sugar. 1850; Leather
+ There was no trace left Saturday of the
reactlonary tendency manifest in the stock
market late Friday. The change might be
adoption by the Senate Of the section of the
revenue bill authorizing an issue of bonds
and treasury certificates: second the pro-
fessional spectators, WHO sold stocks and
took their profits early in the week, were
anxious TO get back at low nrices. The sec
1t was evident before the opening of the
market Saturday that 1t would be difficult
London had advanced Americans a large
fraction all around. London made much
of the actionmof the Senate in adopting the
bonding provision, and was also influenced
by the persistent rumors from Paris and
even from Madrid that Spain was seeking
way TO peace. Paris bought Spanish tours
heavily on this rumor, and effected sharp
advance in the price 1t is probable that
the buying of Americans in London was in
part on eabled orders from New York by
purchasers too eager TO wait for the OPEN
ing here. No account was taken of the re-
ported sinking of an American collier in the
mouth of Santiago harbor, as it was ac-
cepted as a measure for blocking the har-
Dor.
AN EFFECTIVE RUMOR.
The rumor of the destruction of the Span
ish feet had more effect, and prices adj
vanced buoyantly all through the list. When
the bank statement first appeared there was
some pressure to sell by traders who make
it rule to always sell stocks when the
banks surplus reserves show decrease
But better analysis of the return soon led
to renewed. buying. The use of money re-
fiected in the loan expansion is a healthful
feature of the business outlook. The clos
ing was active and strong near top prices
net GAINS IN the case OF most active stocks
ranging between one and two points and
in exceptional cases above tnat.
The announcement of the decision on the
ROCK Island dividend on Tuesday had the
effect of making this realizing particularly
marked In Rock Island and its group of
allied stocks. The newly awakened outside
demand was sufficient to absorb these real
izing offerings and to broaden the market
so as 70 bring into activity nearly the whole
list. There was manifest disposition to
divert speculative profits from the high
priced dividend stocks into the middle and
lower grade stocks. The taking of profits
developed bear party which was anxious
for lower prices in order to buy stocks
again. They worked for a reaction until
they succeeded in achieving it ON Friday
But they bought stocks Saturday again
under the conviction of the general strength
in the outlook.
Attention is attracted by the governments
statement OF the amount of money in cir
cuIation in the country on June /, which is
stated at 81 S39 ,S9S, 256 exclusive of the hold
ings of the United States treasury. This
Is a circulation per capita of Sab
The increase in the circulation in May
alone was s3S. l36, s1s, of which $50, 81 was
of gold For the year the circulating
medium was expanded $3.50 16i. 1851, and of
this 1923, 3f9. 1853 is of gold. The countrys net
gold imports OF nearly $100, coo in liquida-
tion of the trade balance appears in the
circulation. But that this amount Of net
imports of gold comes anywhere near effect
ing a final settlement of the trade balance
of the year is not conceivable. The trade
balance for the fiscal year In our favor will
certainly approach nearly $500. 000. 900. COM
pared B%fh the greatest previous favorable
balance of less than $500 000,0 900.
Bonds have distinctly shown the broaden
Ing pressure OF idle money seeking employ
ment In enlarged business and higher prices.
United States new tours have advanced IA,
the old tours, coupon, !, the twos II, the