The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1899-11-17
Market Responds to Treasury De-
partment's Offer ofRelief.
RAPID ADVANCE IN PRICES
TRADING WAS BROAD, AMI
MATED AND BUoYANT.
Total Amount of Bonds Offered TO
Sub-treasury Was So, 1874 900
Rumor That Secretary's PROPOSE
ton May Be Extended to Other
Securities-The Grain Markets.

New York. Nov. 1.-THE market for Sc
curities showed an instantaneous response
this morning to the promise of relief to
the money market contained in Secretary
Cages circular offering 10 redeem So, co.
900 of government bonds at the market
price Of Wednesday. The first hour of
the trading witnessed a very broad. AMI
mated and buoyant market. the activity
and strength being very generally dis
tributed throughout the list. The. rapidity
of the advance invited considerable profis-
taking. and there We're quick .recesslons
from the opening level. But the demand
for stocks continued unappeasedy and until
the higher level was reached again. the
buying continued. At the high level there
was a diminution in the demand but the
undertone of the market continued re-
remarkably firm and offerings TO realize
We're quickly absorbed.
The whole market hinged on the days
developments concerning the treasury de-
partment's offer, though the opening
strength was added tc by sympathy with
London, where the markets were affected
by the rumor of the death of the Boer
general. Jeubert The very considerable
amount of bonds brought to the sub
treasury during the day sustained the
strength of the market. The total amount
offered, was 81, 900. but Wall street was
full OF rumors Of very heavy blocks OF
bonds accumulated by banking interests
for the express purpose Of F1yaiiingf them
selves of the first offer TO buy by the
treasury department.. The aggregate
amount covered by these rumorS WIS con-
siderably in excess of the total amount
of bonds to be taken up by the treasury
No confirmation of these rpmers could
be had. however. $500
huoyant tone was impaired TO other
government issues at the cali on the
stock exchange, apparently on the. theory
that the offer of the secretary OF the
treasury might later be extended to in
clude additional bonds. The money mar
ket was somewhat easier in tone, but dad
not yield below per cent. The response
in the foreign exchange market however.
was marked. Posted rates for sterifng
were, marked up a full cent in. tne pound
and actual rates rose Sitci al around IN
spite of the easier money market AZ Ion
don and at cpntiuental cerlters. The
strong tone of the government ponds
would naturally serve 10 discourage the
acceptance by holders of the. offer OF
the treasury department..
So far as the available supply Is con-
eerned IL was known up 70 a recent time
tina: the New York banks would have
difficultv in obtaining additional. govern
ment bonds IA security for government
deposits in the event of an offer by the
treasury department TO Increase Its de-
posts. There has been some accummula-
ton of bones by the banks in the last few
weeks but no reliable, estimate can be
obtained of how far their. Previous hold
holdings were mostly in. use as security
for circulation ADD for goNernmept de-
posits so that their. sale to the govern
ment would not serve 10 increase the
money supply in the market, II is not
believed that private holdings, OF bonds
and holdings byrfidueiary Institutions as
Investments would be drawn upon TO any
extent in response TO the Offer OF redeInp-
The bond, market was active and strong.
the sjfeculatiSe issues and. reorganization
value. sS.576.eO0 United States new IS
advanced Is. the Is and old rs registered
5s and The old As coupon and Isl mt e
>