The age-herald., 1898-09-20
sugar
Tn Wall Street.

New York, September 19.-The stock mar ket started off this morning as though 1t had shaken off the incubus of the recent tight money scare, but the marked weak ness of sugar, which made up two-fifths of the total transactions, unsettled the tone early ana carried prices below Satur- days level. The decline was quite steady and general for the remainder of the day Evidently last weeks sharp recovery was the result of extensive covering of short lines by specuators, and the general specu- lative public is now prepared to pause and take breath to study how far the last os- cillation of the market has brought prices to the true level of values. It is more and more evident that the late apprehension over a squeeze in money was largely f1c- titious. How far the efforts to manipu- late the money rate were influenced by the natural desire of money lenders to obtain better rates and how far by purpose to effect reaction in the stock market can not be definitely ascertained but 1t might be ascertained that every powerful man eial interests who have dominating voice in the control of vast surplus capital had taken their profits in stocks and were vii ling to see a reaction. It is obvious, how ever. that their motive in taking prohts, must have been a conviction that prices were equal to or in excess of their true value. The problem of today's speculator is whether the reaction has carried prices below their value or whether conditions have so far changed as to have increaseG their value
 The monthly report of the treasury bu- reau of statistics just issued throws light on the money question. The amount Of circulation after dedueting sums in the treasury on August 1 was $162 ,205, great CT than one year before. Saturdays treas- ury bad increased since that time little over S63. coo, ,00o
 A little over $6s, ,O0o, ,ooo This would leave an increased circulation for the year of about 500 900 GOO, not counting the imports of gold and the increase in bank cfrcula- ton since August 1. Neither does this take account of the large increase in the last few weeks of government deposits with the banks. There is room, therefore, for very largely increased use of money in the country in spite of the treasury ab-, sorption by the loan. The actual surplus reserve of New York banks, although re- duced to less than $5,0o0 900, also requires some qualifying considerations. For one thing, the government deposits are secured by government bonds, thus obviating the necessity of actual cash reserves to secure them Some of these banks do not report their government deposits at all in making out clearing statements. Furthermore, the surplus reported is above the 25 per cent
 
 required by law to maintain only 15 per cent. of reserve. These facts explain why She measures of relief offered by the treas- ury department have not been avaiIed of
 bohds were dull, but yielded slightly in the late trading. Total cash, s1 ,965, ,OOO
 Government bonds were unchanged.
 Money on call firm, 4c@4lkc; last loan. 4 per cent; prime mercantile paper, 4c65c: sterling exchange steady with actual busi- ness in bankers bills at s4S324 a14S4 for de- mand and at As1A@4s2 for sixty days; posted rates, $iS3tl4. S31k and %.S564 S51b; commercial bills. s4S1; silver certificates. SO1Rcd6l1ac. bar silver 607so; Mexican dol lars. 47ssc.
 Government bonds steady.
 State bonds dull Ratlrosd bonds ca sier.
 Total sales of stocks today SsS. 400 shares. Including: 5,392 Atchison, preferred; 10 4O5 BurlingIon, 3,7oo Louisville and Nashville: S7.20s Northern Pacific; 7,507 Northern Pa cifo. preferred; io59O Union Pacific; 14S45 St. Paul; 15,430 Union Pacific, preferred; 21,s00 Tobacco: i46, ,40a Sugar.