Evening star. [volume] (Washington, D.C.) 1854-1972, 1899-11-11
FINANCE AND TRADE
Another Unfavorable Bank State
ment Today Unsettles Stocks.
BEAR RAID ON MANHATTAN
Result of Last Quarterly State
ment's Poor Showing.
GENERAL MARKET REPORTS
Special Dispatch to The Evening Star.

Special Dispatch TO The Evening Star
NEW YORK. November 1.-THE pros
poets of an unfavorahle bank statement
oNershadowed all other considerations in
TO-DAY stock market. save one-the Man
haitian quarterly statement. That the bank
statement would emphasize the unsatisfac-
tory features Of last week was generally
conceded but the debated point was as to
how far the liquidation of the last two
days had discounted the showing. The
olherence Of opinion on this point tended
toward an irregular professional market.
IN which the covering Of short contracts
served to hold prices.
Buying Of securities by London and Chi
cage was of sufficien; volume to attract
favorable comment. The latter demand WIS
thought to reflect the end OF the vests
needs for money and to fores hadow Il re-
turn Of its surplCs TO this center Offers II
lend money were made by Chicago brokers
ana some relief was predicted from s,l,h
operations. Ii may Dc significant Ia nots
that the money offered By the west is a
loan in the striCtest serse
Inc FUNDS are not to come in on deposit
under the per cent interest rate hui theN-
come IN at market rates for money and nm
der the usual limitations of a loan The >
per cent rate on credit balances with a
charge on all collections made for the ac-
count is not sufficiently attractive in it's
net results To attract money from prosper
Gus business ceuters New York has
sooner or later, to come to a better recog-
milton OF the fact that the reign OF its
financial dictatorship is waning
other cities must be taken into consider
auon If not into confidence Nearby New
Jersey banks and the uon-memher local in
sututions afford ample facilities Tor COL
lection purposes.
While mercantile prosperity continues the
Larger cities can get more than = per cent
on their surplus funds. When money be-
gins to return to New York the conditions
may not be just what they have been in
former years. 1t may mean that New York
Is borrowing in competition with the bust
ness world generally or ii may mean that
manufacturers can no longer use their
money 10 advantage and are sending 81 in
bank.
The country IS making no complaint. the
government ia conscious of no stringeucy
except in New York and consequently
government relief is not considered neces-
sarN. III II should be, however, there is the
comforting assurance that it is available.
At present a reduction of loans seems 10 be
certain as the rational means of strength
ehllg resources Overfndulgence on the
part OF the banks and overtrading on the
part OF the borrower are about equally re-
SpohSlble for the present condition. The
remedy Is not pleasant. but there is always
the certainty that at some stage of the
disease it must be applied
Inc hgures of the statement show that
the banks have lost S5.2lT, 400 in lawful
money, or more than million in excess Of
SeHtei Jay estimates. Loans have de-
creased -, l5l,l00, not including yesterdays
heavy liquidation. Deposits have decreased
1907 BOO or about one million less than is
needed TO balance the report The net re-
SUIT is SHOWN by a decrease of 50 GOO i'm
the reserve, bringing the total deficit below
regal requirements up 10 81. 1sS $50 A fur
ther decline in sterling exchange was re-
corded curing the day and rumors of a
return gold movement may be expected
The quarterly statement of the Manbat
tan railroad FOR the quarter ending Spptena-
Der 80, shows a deficit. after dividend 81
s-'S'%s9. The stock of the company was
sold literally right up to the close az ms
mess.