The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1900-06-17
a DAY OF LIQUIDATION
1T FOLLOWS A WEEK OF THE MOST
MARKED STAGNATION.
Price Movements of the Week With
out fsnificance-The Money Mar
kets-Locel Trade Conditions.

At New York Saturday money on call
was easy at 2 per cent.
Prime mercantile paper, 3izG4 per cent
Sterling exchange was steady with actual
business in bankers bills at S4.s71sd4s7A
for demand and $4.S4&4 CASTS for sixty days;
posted rates, s4.S51s and si.SS1z; commercial
bills, s4s4a4S4A.
Silver certificates were e0d61c: bar silver,
o0l4c; Mexican dollars, 47%c. At London
silver bars sold at q 11-16d an ounce.
Exports of precious metals for the week
from the port of New York were $3.57O5S5
in gold, and SS49.0l5 in silver bars and coin.
Specie imports at New York for the week
ended Saturday were SIS SOP in gold and
s371,51S in silver.
Imports of dry goods and merchandise
for the week at the port of New York were
valued at ss,24S5s3.
The weekly statement of the associated
New York banks, issued Saturday, shows
the following changes:
Surplus reserves, decrease. ........... $S75,500
Loans, increase ........--..........s3,Z4S , 5OO
Specie, decrease .--.--.-.----.-.....l,S 5o,O OO
Legal tenders, increase. 700, tW
deposits, increase ...-....--.-..--.-..z,Uz4e OO
Circulation, increase ..--..-.........-.. $500
The banks now hold s17.49S,750 in excess
oil the requirements of the . per cent. rule.
wALL-sTREET REVIEW.
Saturdays stock market abandoned the
attitude of waiting, in which il has been
so long steadfast, and gave itself over to
active liquidation. with all the appearances
OF a state of alarm. Two expected Incl
dents were the cause of this change. First
of these was the action of the directors
OF the Northern Pacific announcing the re-
duction of the dividend on the common.
This was accepted a well-considered
and well-informed decision from conserva-
tive authorities that a deficiency in the
wheat crop in the Northwest was to be
faced this year. and that a period of de-
Ginning railroad earnings was to be ex-
pected as a result Of this and the reaction
in general business The effect was pro-
nounced on the stocks of grain-carrying
roads. especially in the Northwest, and
the numerous group OF stocks which have
-iSen IN price on the score or good earn
mgs and hopes OF liberal dividend dis
tursements. The policy of conservatism in
dividend disbursements adopted by the
Northern Pacific, IL was taken for granted
would have an influence on other railroad
directors. The report of a strike of the
employees Of the Tennessee Coal and Iron
Company weakened that stock and other
hike properties by sympathy. This might
be called the first phase of the short Sat-
Crday's session BY the end of the first
hour, what with the demand OF shorts to
cover and supporting orders by the friends
of different stocks. the decline had been
arrested and the pressure of liquidation re-
Taxed at rally in prices. The second and
decisive phase began with a rumor and
was precipitated into weakness by the pub
Ecation of a bulletin reporting the destruc-
ton OF the foreign legations at Picking and
the killing of the German minister there.
This, though without confirmation. caused
some weakness and some stocks were
thrown over. After a momentary pause.
when room shorts began 10 cover the de-
cline was renewed and the closing was ac-
tive and weak al the lowest. The principal
active stocks lost from ] to Pr points rs
result of the two hours trading. North
ern Pacific shows a loss of AZ: Great
Northern preferred. 3, and st. Louis 5
points.
The movement Of prices on the Stock Isx-
market was entirely in the hands OF "r,om
traders" who operate on their own uc-
count. and generally count on closing an
profit or their loss, as the case may be.
Sometimes they carry contract over
night. which has the effect OF leaving the
impression OF net changes In prices at the
end OF the day. only TO be rectifed on the
next day. The inertia OF the market in face
of these professional operations Is pretty
reached the normal, and the real owners
Of stocks are holding them to await more
definite developments regarding the future.
There * no apparent pressure Of liquida-
ton and this Is evidence that holders feel
that, at the worst. current unfavorabie fac
tors have been sufficiently discounted In
the decline already enected. and they do
not care to sell unless they prospects
of more discouraging conditions TO develop.
NO SIGN OF RETIREMENT.
On the other hand. there is evidence
that there is any confidence felt in any
quarter of the world of capital that condi-
tons are ripe for Improvement. or that
prices of securities are liable TO rise. The
fnfallsble index OF any such confidence
would be buying demand for stocks. OF
such demand. there Is none. and even the
bond market has fallen into a condition
approachfng stagnafion not equaied since
the days OF unsettled opinion. when the