Evening star. [volume] (Washington, D.C.) 1854-1972, 1899-10-05
Check to the Recent Liquidation in
Stocks.
FEWER CONCESSIONS OFFERED
Easing Up in the Money Rate in
New York.
GENERAL MARKET REPORTS


Special Dispatch TO The Evening Star.
NEW YORK. October "a further ad-
vance of 1-2 per cent in the Bank of Eng
lands rate of discount had the effect of
hating speculation in the foreign markets.
but the local operators failed to attach
much Importance to the conditions prompt
ing the advance. The demand for gold in
Europe very naturally forced the bank to
protect its reserves. pending absolute
knowledge of the Transvaal difficulty. Eff
forts to avoid the outbreak have not been
abandoned and hope is still expressed that
hostilities may be averted
The local money market worked down to-
ward more normal rates again today loans
being made from 6 to $ per cent during the
afternoon. The subtreasury was debtor at
the clearing house today making its debt
balance for the week over 81 100000. The
long list of credit balances and losses of
cash to the subtreasury have al last been
interrupted. and the weekly statement of
averages should show some increases in
bank balances.
Easy money does not follow very closely
upon % to 10 per cent rates. and the first
decline to the legal rate cannot be regarded
as more than. temporary. Another fort
night may be required to give the money
market the necessary defniteness to war
rant new undertakings
The conservative policy of buying only
on concessions seems likely to be followed
for a time by practically all commission
houses. Railroad earnings exceed the re-
turns for last year, and when 1t IS remem-
bered that the increases of that period
We're of record proportions the real signifi-
canoe of present gains is magnifed. The
present week has added literally to this
substantial form of betterment for stock
values.
Money is higher in England than at any
time in six years. but it is not likely that
America will have TO remit for foreign-held
securities in order to increase the supply
of funds. Having taken back such securi-
ties during the last dear money period in
volume suggestive of an unlimited capa city,
and having added materially to their value
since 1t is not likely that Europe will re-
duce its holdings overmuch for the pres
ent.
ing is the local banking condition. Once
that is permanently improved, the security
markets Will need no artificial urging to
force substantial Improvement
The coal stocks are being bought care
fully, especially those paving dividends.
and on all sides may be seen evidences Of
preparation for a strong movement in them.
The Pacific stocks are being picked up
under the influence of their earnings and
some of the higher priced railroads are be-
ing bought in anticipation Of their going
permanently into the Investment class.
The industrial list is being supported by
inside interests and responds easily to any
new demand. Liquidation has been check
cd all along the line, and while immediate
activity on a large scale is not justified,
perhaps, 1t is evident that something at
present unforeseen must develop to force
a resumption of the decline.
a traders market with a slight Improve
ment in every advance and a decrease in
the extent of each recession would be a
likely product of present conditions.