The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1899-11-19
Small Range of Prices Considering
Extent of Activity.
WEEKLY BANK STATEMENT
FOLLOWED BY SLIGHT HARDEN
ING AT POINTS.
Recuperation In the Proportion of
Reserves Almost Wholly Due to
Loan Observation-Disclosures Sensi-,
tive to the Money Situation Dur
ing the Week.

New L OTk, NV III iCN0ctN
thing in today's stock market was the
small range of prices considering the
extent of the activity and the wide dis
tribution of the dealings. There was a
continuous demand during the whole OF
the two hours session, the demand was
fed with a constant supply which look
ed like realizing and which held the
market back from any advance, put
which was discontinued on any signs
of reaction The absorption of Baitl-
more & Ohio preferred continued on a
large scale and lifted the stock point.
Sugar was also notably strong as were
the local traction shares and some OF
the metal stocks. Glucose rose AS.
MINNEAPOLIS and St. Louis preferred
gained 2a4. The large advance in Sugar
invited active realizing and Baltimore
& Ohio was affected by the same cause
The bank statement was followed by
a slight hardening at points, put TINS
did not last and the market closed easy
at mixed net changes. The recuperatlon
in the proportion of bank reserves is
almost wholly dueto loan contractions.
The sum of over $1,000, 900, which has
been paid to the market by the sub
treasury in the last three days for BOND
redemptions. seems to find almost re-
Election on the statement. On the otner-
hand the showing of loan contraction is
cess came early in the period covered
by the statement. The banks have been
lenders during the latter part OF the
week of sufficient sums to largely on
set the earlier contraction. While the
statements seems to underState the
cash gains and to overstate the loan
reduction, the reduction OF the dencit
in reserves met expectations.
The sensitiveness to the stock mar
ket to developments in the money Sit
uation which has been its characteristic
Cor some time past, was emphasized
during the week. The circular of the
secretary of the treasury, offering to
redeem SO, 100000 of government bonds
at Wednesdays market prices, was is
sued after trading had ceased on We'd
nesday, but 1t was the occasion at the
opening of Thursday for an outburst of
animation and a buoyant rise in prices
and the stock market was dominated
by this influence for the rest OF the
week On Monday the opening liQuida-
ton in expectation. of loan contraction
by the banks. incident 10 the increase in
their deficit in surplus reserves, was
promptly checked by the sudden drop
in sterling exchange TO near the gold
import point, and the making of pre-
liminary arrangements for shipments of
gold from London.
The local money market was also fed
by a sporadic supply, due to a special
railroad bond operations. But this
casual supply of money had the effect
OF easing the money market so far as
to affect the sterling exchange, rate,
which rose promptly away from gold
import point, thus disappointing eXpec-
tations of relief from that quarter and
causing a reactionary tendency OF
stocks. -, u So,
The money situation had improved by
Wednesday by reason of some cash ac
c1uations from sundry sources and the
relaxation in the demands of the sub
treasury on the local money supply.
Under these conditions the stock mar
keI was ripe for an active speculative
movement which was precipitated by
the appearance of the treasury circu-
lar. Sales to take profits were on
considerable scale, but were eagerly
absorbed and the large commitments
made in various stocks made 1t mani
fest that the increased money supply
was being rapidly diverted to an expan-
sion of credits for purposes Of, specula-
ton in stocks.
= The extent TO which the treasury's
offer of bond redemption has already
been awaited of is not easily explained
in comparison with the slight response
to the offer to anticipate the fiscal
years government bonds interest. Less
than s per cent of the total amount of
interest thus offered has been taken,
Notwithstanding the continuance of
money stringency in New York.
There has been some recent accumu-
lation OF government bonds by New
York banking interests, partly in the
hope that they would become available
as security for additional government
deposits and partly in the hope that
the government would commence buy
ing bonds. United States new As adj
vanced Ia. the IS, Is. old As reg, q /;
old As coupon, Il and the 5s X in the
bid price for the week.