The times. [volume] (Washington [D.C.]) 1897-1901, 1900-10-21

NEW YORK, Oct. 2o.-The dec.dd i'm
provement in the domestic monetary Sit
alton that was discernible at the close of
last week caused a radical change in the
attitude toward the security market of
those who control large amounts of ca oi-
tai either for investment CT for business
operations.
The sudden development of strong
and active market on Monday I'D to ex-
tensive realizing of purely speculative
ventures on the long side. AS the mar
ket continued to hold lis Improvement
during the next day or two. houses wi h
close European connections that had
bought calls on American stocks in tn
London market sold freely against th2sa
options TO secure their profits, and the
slight reaction thus brought about en-
couraged professional dealers 10 turn 10
the short side and even to make op, n
attacks upon values. The course OF
prices during the last half of the week
shows that the operators referred TO wnD
have been able to shape the course Of
the market within narrow limits during
the dull and waiting summer ssas IN wer i.
entirely wrong in their diagnosis Of the
situation.
The market has not only stood the
perfectly natural pressure that has leen
exerted during the week, but has ad-
ranced in spite of it. As a matter of
fact, the manner in which stocks have
been absorbed stimulated fresh buying.
That the demand fer stocks is not Unite !
to Wall Street is shown by the constant
increase in the volume of comm ssion
business, particularly the h-uses that
h,x
munication with other cities.
In forecasting any market it should be
taken into consideration that the Amer
lean people are ever alert to take chance
involving possibility of profit IL the OPP
eraticn is based upon the present and
prospective prosperity of the country.
The present situation is unparalleled as
the United States has now become a
power in the money markets of the world
as a creditor nation. 1t has liQuidated
its foreign obligations to an enormous
extent and is now lending immense sums
abroad.
Besides, Europe owes this country I'M
known amounts on account of trade bal
ance which is steadily increasing. This
condition of affairs assures a comfort
able future for borrowers here for long
time to come. Although domestic bankers
from the other side, il is coming in large
amounts, and the course of the foreign
exchange market indicates that the total
will foot up very large sum. Receipts
today were s1,O00.000, making the total
amount received on the present movement
$lo. 105, 900. 1t was also announced that
600 was received at San Francisco
today from Australia
The weekly statement OF averages Of
the associated banks reflects not only the
small amount of lawful money lost this
week. but also the heavy loss at the end
of last week, which was not shown in last
Saturdays bank statement The decrease
OF over 100000 in the loans indicates
that the shifting of obligations from
banks to trust companies has continued
this week. The decrease in deposits
brought about by the two changes noted
calls for nearly So, 500, 900 less reserve
than last week. The net result brings the
surplus down to little less than 81 000-
000 circumstance that is not alarming
In view of the receipts of e. Id from abroad
and the decided falling of in the ship
ments Of currency to the interior.
The stock market was strong and active
all the morning. OF course there were
numerous small counter currents in it.
but they were entirely superficial, owing
to the magnitude of the dealings and the
underlying tendency of the speculation A
conspicuous feature Of the dealings was
the activity and strength in the iron and
steel stocks. The largest transactions
were in Federal Steel common at a net
advance of Il -S per cent. Other net
gains in this group were those OF 3 l-2 per
cent in American Steel Hoop common
FLA per cent in National Steel. in
Tennessee Coal and Ircn, l-2 in National
Tube common. and Ia per cent in Colo
radn Etrol