Evening star. [volume] (Washington, D.C.) 1854-1972, 1899-10-28
Stocks Close Strong Despite an IN
favorable Bank Statement.
EFFECT OF GOOD EARNINGS
Money Does Not Flow in From
interior as Expected.
GENERAL MARKET REPORTS
peeial DIspatcn to The Evening s-a-.

Special Dispatch TO The Evening S.a-.
NEW YORK, october 2S.-Hlghcr prices
in the London market failed 10 attract any
significant demand from local sources this
morning. owing to the fact that predictions
relative TO the bank statement were mostly
unfaVorable. Dizziness and some irregular
lily prevailed during the first hour, but no
INCUBATION OF Importance WAS encountered.
The publication OF the bank statement was
followed by sharp recovery in prices. the
final figures for the week being around the
best level.
As was the case last week, the figures
were totally at variance with the best esti-
mates made at the close Of Yesterdays
business. The reserve Increased 1857 $50.
bringing the total surplus holdings up q
S.o3S.52 This result IS attained through
a further reduction OF liabilities. the total
deposits decreasing during the week So
10000. The loss in cash. figured conserva-
lively In advance as certain to equal So
100000, has been only $4,000. the smallest
loss in many weeks
The banks have not gained in cash. but
the losses having been reduced below the
six figure limit, may reasonably be ex-
peCted to disappear entirely. A gain in
cash during the coming week is quite prob
able Bankers have expected an inflow
the failure to get the money has never dis
couraged them in their belief that the re-
turn movement would come in ample time
to dispose OF money market fears during
the late fall.
The activity Of the strong financial inter-
ests which have been operating in the rail-
way shares during the past week was fos-
tered largely by assurances from the bank
ing interests that their stock market tran
sactions could be readily financed The
market during the week has been under
the control OF interests which are rarely
surprised by complications In interest rate.
That the market closes strong and with
faith in the decline badly shaken Is due
entirely to the buying OF stocks which
possess a value at current rates which is
reasonably certain to demand greater rec
ognition. The speculative situation has
broadened very nottCeably within the last
few days, and commission houses have
taken the leadership away from the room
element. Confidence is beginning To assert
itself. and not day passes but adds some
thing to the credit of the better managed
railroad props -ties. Earnings which have
come in during the week have been uni
formly encouraging and point to continued
activity in all Legitimate mercantile lines.
The entire speculative outlook for the
tried properties Is one OF extreme bright
ness, and is likely to prove equal to the
task Of taking the market out OF fits indif-
ferent and doubtful course. one element
of weakness is to be contended with how
eVer-namely, the Industrial properties
one week ahead are the fan elections. and
during that period much viii be said OF
future punishment for the Industrial COM
binatons. In stock market circles there is
apt to be "A kind Of cal91suess as to what is
said or done for political effect but the one
source of authority is always dreaded
namely, the courts. From this source
sooner or later the status OF the industrial
combinations Will be definitely fixed. There
are already indications Of nervousness as
TO what that status will be. and there is
consequently only one safe course open 20
the average operator and that is 10 take
70 risks in enterprises OF the untried kind
pending the legal appraisement OF their
rights. Years ago the American Sugar
Company was forced into reorganization
In order TO comply with the trust laws and
some Of the recent concerns may have q
similar experience