The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1900-01-15
LITTLE TEMPTATION IN WALL
STREET FOR ACTIVE DEALING.
No Inclination to Make n Market for
Foreign HoIders-LocaI Situation
Favorable for Business.


Silver certificates were 5S1kG591zc; bar
silver was SIC, Mexican dollars were 47c.
Bar silver at London was q 3-1sd per ounce.
Exports of gold and silver from the port
OF New York to all countries for the week
aggregated s6f4. 126 In silver bars and coin
and s.. 0i5.e05 in gold
The imports of specie for the week were
s101. SIS in gold and sso.s72 in silver.
The imports OF dry goods and merchan-
disc at the port of New York for the week
were valued at s., s10.75S.
The weekly statement of the associated
New York banks. issued Saturday. shows
the following changes:
Surplus reserve, increase 81. 949, 625
Loans, decrease .-....-...-....-.-.-..- l,3Se,So
Specie, increase ....................... 126f,f00
Legal tenders, increase. 3.I6S.S $40
Deposits, increase ...-.-..--.--.-.-. S5f,3O
Circulation, Increase ................ @,o"
The banks now hold sfs7 $50 in excess
Of the legal requirements.
The Financier says: "The New York
bank statement for the week ending JAN IL
was even better than had been expected.
The surplus reserve increased about $780,
900, and the excess above legal requirements
now stands at sls 7O7.S5o. a sum greater
than the banks have reported since June "a
last. although in August the total was al
most as high. AS the deposits duEing the
week remained almost stationary, the en-
tire cash receipts of the week went to swell
the idle cash In banks, thus accounting for
the unusual expansion. The liquidation that
occurred on the Stock Exchange is reflect
ed in the decrease of sl55S.sO0 in loans. The
statement does not balance. but there is no
question that the position or the banks Is
interior
receipts increased largely at the close of
the week. The gain came almost entirely
from the interior, the exports OF specie 10
Europe the previous Saturday counter
balancing treasury receipts. The banks, In
fact, are gaining as rapidly in surplus this
month as was the case year ago. with the
exception that the expansion in cash now
counts altogether in surplus reserve, where
as a year ago reserve liability occasfoned
by the loan and deposit increases were
looking up from IS, 100000 TO $5,UOOOOO weekly.
For instance, the deposits of the banks
during the month of January last year rose
almost $57000.000, while loans expanded
$2sooo:Ooo. The reserve requirements were
despite this fact, surplus reserve actually
gained $1S000.0O0. This year. so far. loans
have risen less than s.. ooo 600. and deposits
only a little over s9,OC0,O0O. while the excess
reserve l. less than $600O,000 heavier. The
expansion. therefore, this year does not
compare with that Of a year ago, although
the gain i'm reserve is on a plane more
nearly equal with that which occurred last
year. 1t Is not TO be overlooked In this
connection that the banks last December
and January were not losing gold TO Eu-
rope, as has been the case lately. THESE
facts go TO show that, with everything
favoring speculative activity. movement
of that nature has been impossible. The
banks have not been In a position TO pro-
vide the money, even had the incentive
been of the strongest
wALL-sTREET REVIEW.
The strictly professional limits Of the
trading on the Stock Exchange Saturday
was well illustrated by the almost COM
plete obliteration of the mornings advance
in the movements to take profits after the
appearance of the bank statement. This ex-
hibit was in itself a favorable one, as were
all the other incidents of the day, and it
conformed closely to the preliminary esti-
mates on which the buying had been based
The selling to take profits was responsible
for the advance in prices, and was, per con-
ira, sufficient TO bring prices back to about
the starting point. The activity in Sugar
certificates continued. the price rising an
extreme three points against the shorts,
whose covering demand helped on the adj
vance. The bears quickly detected the real
fzing after the bank statement and forced
Sugar down Az points. Brooklyn Transit
and Tobacco showed close sympathy and
some other specialties lost point over.
A decline of 1ssc in New York Central
showed some special pressure against that
stock. Otherwise gains had been fractional
and the reaction did not exceed them.
There was some selling for London ac-
count, as prices rose above the London
parity. A fractional recovery in London
discount rates, and a jump of pfennigs
In the sterling exchange rate at Berlin
were without explanation. The bank state
ment fully accounts for the increased dis
position Of New York bankers to place time
loans at present rates. and their reappear-
ance as buyers of commercial paper. The
decline In money rates is also bringing re-
newed demand for railroad bonds from
some of the great companies. Some heavy
individual transactions in bonds are re-
corded.
The central fact In the situation in the
stock market is that the buying demand is
ltstless and narrow and without stimula-
ton by any favorable DEVELOPMENTS in the
buying has almost ceased, either because
prices are above an attractive level, or be-
cause the available funds from dividend or
interest disbursements have found invest
ments. Investment buying does not, in it
self, serve to advance prices greatly, but IL
has a large sentimental effect as ii insures
the constant diminution of the floating sup
ply OF stocks, held merely for an advance
In prices. The market has suffered from the
generalization in special stocks in addition
20 the withdrawal of influence of invest
ment buying. There has been. besides, sell
Ing for London account. which was only
discontinued when the reduction in the dis
count rates of the Banks OF England.
France and Germany gave confidence in
the reality of the relaxation In money
rates. The volume of foreign selling was
not large and would have been easily alb
sorbed In an ordinary movement for an ad-
vance, but as the foreign selling grew out
of the needs of the London money market
and served to increase the pressure for
gold on New York. there was no disposition
TO hold up prices to afford a market for
London sellers to make profits Notwith-
standing the small demand for stocks. the
supply was scarce, and railroad stocks
have responded quickly all week to any
sort OF buying demand.
COMPLETE LIQUIDATION
The market gives evidence that the
liquidation OF speculative holdings of
stocks has been pretty thorough State
ments OF the New York clearing house
banks, well those OF the great for
eign banks. show that spectators the
world over have been selling their hold
tngs, paying of loans and withdrawing
from the field Many commission houses
and brokerage offices in Wall street which
found busy occupation all of last year
have ceased to invite custom pending the
development OF new factors in the out.
look. This closing out OF accounts. now
safely attained. has involved some heavy
losses and no small bitterness of spirit
which Is reflected in the discussion by