The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1900-07-16

Inc imports OF dry goods and merchan-
disc at the port OF New York for the week
were valued at s11.2S4.OO4
The weekly statement of the Associated
New York Banks. issued Saturday, shows
the following changes:
Surplus reserves. 81. $40, 925
Loans, decrease. 1,654.y00
Specie, Increase. 4,3S6. 700
Legal tenders. increase. $4,000
deposits, increase .................. l,64O,3OO
Circulation. 2S6. 500
The banks now hold SIS, 960.125 in excess of
the 70 per cent. legal requirement.
The F1nancier says: 1.-The interesting fea-
ture of the New York clearing house bank
statement for the week ended July IA is an
Increase of 81, 1000 in cash holdings. OF
this gain $4.3S6. 200 was in the form of specie,
two large Institutions reporting the entire
addition to reserves. The statement is more
nearly in accord with the known operations
of the week than was the previous exhibit,
and this leads to the assumption that the
items which did not enter into the state
ment of July Z figure I'm the present one.
The other items do not correspond with the
changes noted. Deposits expanded only
S.640,S0, almost exactly the same amount
that loans declined. The additions of cash,
therefore, do not figure at all in the deposit
item. and for this reason the gain in excess
reserves was unusually heavy, aggregating
tf,Jfo.J-0- Inc surplus now STANDS at nearly
twenty millions. 1t is not likely that this
gain will influence the money market local
~. but international conditions are such
that a change i'm prevailing rates would not
be surprising. The advance in sterling on
July Is was so sharp that gold exports were
out of the question. and, with the impend-f
ing Chinese problem affecting foreign mar
ketS. may produce some rather unexpected
results. The banks here are still gaining
from the interior, although in smaller
volume. and gold receipts from the Klon-
ItLA n-1 80 -. In
serve to Increase the local money supply
soon. The demand for funds is not as
urgent as was the case at this season last
year, owing to a more moderate volume of
business and lessened prices, but the con-
servative opinion inclines TO the belief that
money must go higher before the close of
the fall season. The opening OF the pres
idential campaign, now nearly at hand. will
be a factor In this respect not to be ignored.
New York banks are adding gradually to
the circulation. One bank has a total of
six and a half millions outstanding, an
other four and a half Millions, and three
others over one million each. The gain
since July, 1898, has been about ten mil
Hons
WALL STREET REVIEW.
The sole interest attaching to Satur-
days stock market was as an example of
dullness. In that respect it was a true in
dex of the speculative condition, which is
one of entire uncertainty and lack of con-
1898 ~ NAG wiz
nave constituted themselves the cham
pions OF certain stocks. during the week.
were not in evidence. and only small trades
between the regular frequenters of the
floor were made at any time. Offerings to
sell made unduly large inroads on prices.
because nc one stood ready to buy, and
any demand to buy caused a rapid adj
vance, because no one was on hand TO sell.
Most of the board members were out of
town for a holiday, confident that nothing
could occur which would induce any sud-
den activity TO develop. Some desultory
efforts were made to advance Union Pa
chic. by making bids for the next dividend,
on a specified number of shares, at a high
er figure than the prevailing dividend rate.
But these efforts secured little attention.
The market was. as a whole, lower than
Friday night, when the bank statement
appeared. There was some buying TO cover
shorts, but the large increase in the re-
serves attracted even less attention than
did last weeks unexpected decrease There
was no explanation of the large gain in
cash, and IL was generally accepted as the
working of the average system in the recti-
fcation of last weeks unwarranted show
OF a loss. The sterling exchange market
was nominal, as usual on Saturday, but
the posted rate for demand sterling was
advanced &c in response to the rise in Lon
don discounts. IL is pretty certain that
these developments foreshadow an advance
in the Bank of England's minimum dis
count rate, and the export of gold from
New York next week.
Prices of stocks were higher again, this
week. but the movement was very irregu-
lar, and the highest prices were not main
talned In any case. The movement was
practically a duplication of that of last
week, and gave every appearance of being
almost entirely in professional hands and
under manipulation. The news of the week
offered no reasonable basis of explanation
Tor the action of the market. and IL is
necessary to fall back on technical condi-
tons to find an explanation. 1t is evident,
Tor one thing. that there has been formed
a professional bull party, which is consid-
erably more aggressive and commands
greater resources than any element that
has been active for some time past. The
small offerings OF stocks on the exchange
has convinced this element that the UNI
favorable factors i'm the situation and pros
pect have been sufficiently discounted. and
that no further active liquidation is to be
worse. They were encouraged by the fact
that the process of taking profits on last
weeks rise still left something to the good
on prices They. were assisted in their cam
paign by the persistence of n large out
standing short interest. which was made
nervous by the manipulation for the rise,
and by the elimination OF various factors
upon which they have relied TO cause sell
ing OF stocks. The most important of these
factors was the government crop report.
IN anticipation OF which the bears had put
out large short lines in the grain-carrying
roads and in the Southern cotton lines as
well. The apparent anomaly. which is not
at all unusual. was. therefore, presented of
a rising stock market with bad news.
BEARS WE'RE DISAPPOINTED.
With the confirmation OF the conjecture
that the spring wheat crop was largely i'm
paired and that serious damage had been
wrought TO the cotton crop. the bears
sought TO buy I'm stocks at a profit. but
they found an aggressive bull party bidding
up prices 10 ak the market away from
them Not only that. but the bears were
disappointed I'm the government report on
the corn crop. as they had sold the stocks
OF corn carrying roads short i'm the belief
that the corn crop had already suffered
from bad weather conditions. As the corn
carrying roads are benefited by the COM
parati-ely favorable results OF the winter
wheat crop. the bulls found I'm that group.
and especially I'm Union Pacific. the most
effective field for manipulation. The
bituminous coal carrying railroad stocks
were found available for a rise, owing to
the especially favorable conditions In that
trade. though there was a less important
short interest found in them. 20 be forced
TO cover.
Here and there I'm the specIalties was
found a stock, which had advanced easily,
and brought out little selling. Another
matter which disappointed the expectation
of the bears was the small effect produced
on the money market by the Unexpectedly
weak bank statement for the last week. IL
was admitted Dy some OF the foreign ex-
change houses early In the week that they
might ship gold by this weeks steamer.
thus making further lnroads upon the cash
reserves Of New York banks. But when
steamer day came. the expected shipments