Omaha daily bee., 1899-11-26
MONEY MARKET IS EASIER
Government Bond Purchases Enable Banks
to Increase Their Holdings.
CONTRACTION MUST STOP SOME TIME
Deposits Are Now Lower aud Loans
Below Average of n Year Ago
Financial News from
London.

NEW YORK. Nov 25.-The Financier
says: The release of government tunus on
bond purchases has enabled the associated
banks of New York City to largely increase
their cash holdings, the surplus reserve OF
Sc, ,652, 200 contrasting sharply with the de-
felt of $4,000 reported year ago. Sih-
gularly enough, however. the banks taken
individually do not seem to have strength
ened their standing much, one large In
stitution reporting a gain in cash greater
than the aggregate of all the banks. The
deposit item shows the same result, so
that the only benefit the other banks have
derived Is in lessoned reserve liability,
which does not offset their losses In cash.
The individual reserves, therefore, are In
some cases lower than last week.
But for all this the money market has
cased up perceptibly. 1t is quite probable
that the statement does not reflect actual
conditions. The contraction in loans. II
may be noted in this particular, is to De
traced to the same institution that ao-
sorbed the cash. it's loss of 5000 900 more
than eaualing the loss of all the banks
The majority of the banks. therefore.
would seem to have lost slightly In cash
and in deposits, and expanded their loans.
SO far as the outlook Is concerned tnere
seems to be disposition toward easier
rates. although the decline may not be
more than nominal. -
The steady contraction which has been
going on at this center for some months
cannot continue indefinitely. Deposlts are
now lower than at this time last year and
loans have shrunk much below the NoNem-
ber QS9S) average. The only difference III
the two exhibits Is that at this time last
year the banks had 900 more surplus
reserve. AS they have the opportunity Tor
securing government funds now and as the
interior movement favorS New York this
discrepancy may quickly disappear. 1t Is
doubtful, however, whether the beginning
of the year will be marked by the wild eX-
panson that opened with January twelve
months ago.
following changes: Surplus reserve, in
creased, s6,964, 225; loans decreased - ''H
500; specie increased. IS, ,232, ,3O0 legal tend
ers, increased 81, OLE, 200; deposits, increased,
81 ,121 200; circulation. increased. $500. The
banks now hold $6.654,200 in excess of the
legal requirements.
The Commercial Advertisers London
financial cablegram says The general
markets were quiet today, with some in
clination to heavinesS under realizing sales.
The selling was due again to anticipation
of dearer money The news concerning the
again to 102A. American shares opened
fairly firm eased off and hardened again
at the close.
The majority of changes were unim-
portant. Baltimore & Ohio and Union Pa
cific issues were strong and there was a
very large demand for Pennsylvania, a
part of which was to cover local options
and part of the buying for American ac-
count. Between 10000 and 10000 shares of
the stock were bought Copper shares
We're easier, Anacondas being quoted az
9as and Bostons at lie.
Money was easy but discounts were
i1rmer, the rate for short bills advancing