The San Francisco call., 1899-12-23
BrddStreefs Financial Revieau.

NEW YORK. Dec 22.-Bradstreets financial
review tomorrow will say:
Wall street at the end OF last week was be-
ginning 10 think that speculative LIQUIDATION
had run its course and that unfavorable money
market conditions here and abroad had ex-
hausted their effect. This optimism. however
was Quickly overturped by series OF disturb
ing events.
A severe British reverse in South Africa
which demoralized the London markets and
rendered large Withdrawals or gold from New
York 10 that city more probable was the first
OF the series. This was followed by .deveIop
ments indicating that the financial and bust
ness complications at Boston might have fur
ther consequences. Finally a New York in
stitution-the Produce Exchange Trust Com,
pany-which had been the object of an I'M
favorable rumor. was actually closed on Mon
DAY. In the sensitive and nervous condition
OF speculation of the money market the last
development was all that was needed 10 start
very pronounced liquidation. In fact at
times, on last Monday the combination OF ex-
treme rates for money and OF the selling
which indicates that holders were dronnin"
stocks and brokers selling out their custom
ers' accounts. regardless of intrinsic values
produced an impression akin 10 a panic. 1t
seems that some institutions called loans rather
indiscriminately. and that in many cases
lenders renewed their disposition to reject in
dustrtal collateral with little regard 10 prices
The call loan rate. therefore. quickly rose 10
20 and 100 per cent. and finally to as high as
lss per cent. The proposition Of the Secretary
OF the Treasury TO give relief by increasing
the Government deposits in the banks did not
at first find favor with the street. which had
been led 70 expect that Mr.. Gage would call
for tenders for a large amount OF bonds The
excitement, In fact, was not ailayed until a
group OF leading New. York banks made a
the stock Exchange. their action promptly re-
dqeing the e.. current Insa rate to per cent.
market had become fairly demoralzed and
active stocks had declined from s TO is points
was restored and prices recovered. The trane
sactions on MONDAY rising TO over 1.6Oo 900
element which reigned. while the fact that
in many cases the lowest prices OF the Yea r
were touched is significant to the severity
the Stock Exchange. By Tuesday the un
favorable rumors which usually spring up at
such times had been sifted down and no inn
mediate dangers could be detected London
had also partially regained Its courage and
metropolis took steps TO check any needless
Generalization. Their most important stens
TO form combination 70 lend SIS 600 6o0
OF deposits OF internal revenue receipts in
the national banks II is stated that on Tues
banks In this way; while the high rates for
money at New York apparently attracted
money from the Interior. There was conse-
quently general and rather sharp recovery
on Tuesday. but Wednesday an irres,,Isyr =
continuance OF this movement was checked by
break OF some l3 points in the price 81
Brooklyn Transit and by the engagement Of
$500 GOO more gold for export. the marker al
together neglecting such an important dsvai
trail dividend putting the stock on a per cent
basis. On Thursday. in spite OF the Compare
tive ease OF money. the market was heavy
and at times decidedly weak The clements
which on that day assumed prominence. were
the alleged danger OF further severe liouida
ton in London and the preparations which
the exchange here plainly indicated for heavv
gold shipments to-day. Nor did the street faiI
to remark the strength of the Continentai
money markets or the advance In the official
rates OF the banks OF Germany and France.
Though the Bank OF England made no change
in its figures. the London open market figures
for discount were up TO 6h per cent and All
the indications Were that the strain which the
January payments put the foreign financial
center would be OF serious IL not dangerous
character. which could hardly fail TO have
its reflection here.