The sun. [volume] (New York [N.Y.]) 1833-1916, 1900-07-08
FINANCIAL AND COMNsRCTAL.
SATURDAY, July /

SATURDAY, July T.
The weekly statement OF averages OF the
Associated Banks was both a surprise and a
disappointment to the Street. All OF the pre-
~linilnary estimates regarding the changes In
the holdings OF cash. based upon the known
movements OF money during the week, indi-
Gated a gain In lawful money Of at least 81, oOo,-
900. The statement. OF the contrary. shows
q loss Of nearly that amount, about equally
divided between legal tenders and specie.
Bank officers are unable to explain this unex
pected loss. A decrease OF over IS. 500. COO in the
loans probably results from further sales Of
sterling bills that have been carried by the
banks and their customers for investment ac-
count. The statement IL more markedly In
consistent than usual. the decrease in deposits
not being as large as is called for by the loss In
cash and by the decrease In loans. by over
a, 900. 900. The net result IL a decrease in the
surplus reserve Of 81, 0,OOO. 1t is doubtful
whether the statement will exercise any i'm
mediate influence upon the money market as
speculation is AT a low ebb and the mercantile
community is making only moderate demands
for accommodations. SO far as demands
on this centre TO move the crops Is concerned
the chances are that they will be lighter than
usual this year. owing to the increase In the
wealth OF the West and Southwest and the con-
siderable addition to bank note circulation
that has taken place In consequence OF recent
financial legislation.
To-day's stock market was exceedingly quiet
and the tone was fairly steady until after the
publication Of the bank statement. That event
was followed by effective selling, chiefly by the
Room traders. While the list as a rule closed
lower than yesterday. the only noteworthy de-
clines were In Missouri Pacific. Reading first
preferred, Metropolitan Street Railway and u
few OF the less active shares. Illinois Central
was exceptionally strong on the publication
Of an authoritative statement that the stock
will be placed upon a 8 per cent. basis when the
next dividend is declared. A statement by tho
chairman Of the Board Of Directors OF the
Louisville and Nashville Company that the
semi-anpual dividend upon the stock OF that
company, which will be declared next Tuesday.
will be at the rate Of 4 per cent. per annum. had
no effect upon its market prices.
The speculation In stocks this week has been
based apparently almost entirely upon domes-
tic political developments. These were util-
lied by q few shrewd traders. some Of whom
have been absent from the Street for a number
Of weeks. The Indications are that the improve
mont In prices which they and their following
brought about was taken advantage OF by
operators who have been upon the ground all
the time, TO take profits upon stocks which they
picked up at lower prices. That the public Is
not In the rket to any appreciable extent Is
shown by IL, small dealings In bonds which, In
spite Of the heavy July l disbursements, have
averaged less than 81. 900. 900 par value per day.
There are limitations from Chicago that the
grain spectators at that centre will endeavor
next week to promote the movement they have
undertaken In the market for corn, by laying
stress upon whatever damage may have been
done 10 that cereal through unfavorable weather.
The most interesting local development this
week Is the effort that the principal interests In
the iron and steel industry are making to ar
rive at an understanding that will result In con-
certed action regarding production and prices.
An authoritative statement regarding this mat
ter Is printed In another column. The closing
OF the stock market was In the main heavy.