The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1898-01-09

ment at the continued stiffness Of the
money market pending the final payment
OF the Union Pacific settlement. This in
volved the withdrawal from the market
of IS, 53s 401 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 8 per cent. on Monday.
BY Wednesday afternoon the funds thus
disbursed began to come back into the mar
ket for investment and the government 8
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 at that center, but
Dy- large inflow of money from interior
points invited by the recent high rates for
money. Notwithstanding that additional de-
posits of $10,528, 800 have lifted the level of
The legal reserve by $2,632075, the heavy
cash increase of 81, 107 800 leaves the sur
plus reserve Sc. AIS. 825 higher than last week
Condltlons indeed promise such pleni-
tude of money that money lenders see
their prospects marred and there is talk
or releasing to the government its depos-
its which were left in New York banks at
the time of part of the Union Pacific pay
ments. These deposits amount to something
over $33, 900. Part of them are secured by
government bonds whose redemption is al
ready provided for, so that their surrender
would involve simply a bookkeeping ex-
change. But the taking up by the govern
ment of the total amount would probably
involve the withdrawal of a sufficient sum
in the money market to serve quite effec-
lively to steady rates Of interest
The high rate for money was
reinforced as factor of stock
market depression by the forebodings ex-
pressed by two prominent railroad presi-
dents on Monday that there would be no
profit in competitive railroad business, as
there has been none, unless Congress would
authorize pooling. Recent bull leaders of
speculation made rather ostentatious dis
play of encouragement over these utter
ances Later developments suggest that
the official trepidation may have been ex-
pected with a view to affecting projected
legislation and that the bull spectators
may have so far overridden their then ex-
isting fears as to lay in an ample line of
stocks looking to the later dispersion of the
cloud on their minds with the rise in prices.
Railroad earnings reported for the week
were effective cure for much of the
gloomy apprehension of railroad officials.
In the foreign exchange market the feature
of the week has been a demand which is
speculative and based on the prevailing
low rate of exchange and the belief that
the need for exchange will grow within
the next few weeks. The average level OF
stock prices has risen between and
lead, Lake Shore being points higher and
New York Central over 4 points higher.
Business in bonds has been of large pro-
portions since Wednesday, and some large
are higher. Sales for the week, ST., 200 900.
Government bonds are all higher on the
week, prices having been bid up 70 for the
old. tours (coupon). u for old fours (regis-
tered X for the fives and l per cent. for
the new tours.
The following table, prepared by L. w.
Louis, Room II, Board of Trade, shows the
range of quotations: