The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1900-12-10

and Si.e6z; commercial bills,
Silver certificates were 64q65c; bar silver.
Sic: Mexican dollars. 0hc. Bar silver was
- 13-1ed an ounce in London.
Imports OF specie for the week at the port OF
New York were SAL 4s in gold and $50. SIS in sill
yer. Exports Of gold and silver aggregate ST.
2se. III in silver bars and coin and s27. $50 in gold.
Imports OF dry goods and merchandise were
valued at 81. 5000
The weekly statement Of the associated New
York banks, issued Saturday, shows the follow
ing changes:
Deposits, decrease. 1856, 200
Circulation, decrease. e. 100
Legal tenders. decrease. 1,9l5.yO0
specie soS 90 ~
Reserve required, decrease. ST. $50
Surplus reserve. decrease. 5,l64,5JO
The Financier says. THE upward trend in
the cash reserves Of the clearing house baIiks
received a sudden check. last week, through re-
newed demands by the South and West for
funds and steady absorptions by the treasury.
Both these factors were in evidence. early in
the week. and estimates OF actual losses suf-
fered by the banks ran as high as 81, 900. 900. The
tatement shows a falling Off in cash of some
thing over So. 600. coo. and as reserve requirements
against deposits were not materially lessened,
the surplus was cut in two. standing at s.. 701, rs,
as against $40. Ss5. 675 for the previous week. The
lean item shows an increase of 81. ga. 900. which
was very moderate. after the el-even-million-
dollar expansion noted a week ago. Deposits
have decreased only s.. 1885, 200. AS a matter Of
fact the losses in cash are shown TO have been
suffered by one large institution. the changes in
whose deposits also account for the shrinkage in
that item. 1t follows that so far as the stand
ing Of the remaining banks is concerned. they
are at least as strong in reserves as they were
a week ago. The continued drain on New York
has had the effect OF hardening money rates, and
as the January dividend season Is not far dis
tant, the general opinion is that firm rates are
q be expected over the end of the year. The
shipments of heavy sums westward at this sea-
son is abnormal, but the movement is due to
continued heavy business. IL is significant, how
ever. that In anticipation of higher rates here.
interior banks with large reserves are sending
money to this center to be loaned. and before
the first Of the year It is anticipated that large
absorb more money than it pays out for some
Alaskan gold shipments have fallen off. the
extra supply. If needed here. will have to be at
nothing TO indicate that the loan total will be
contracted The circulation item is decreasing
been $50. 100"
wA%LL-sTREET REVIEW.
There was very little trading in stocks. Satur-
day, and the character OF the market remained
about tho same as for several days past. Ten
ncssee Coal and some of the other industrials
which have been acutely depressed during the
week. continued feverish and unsettled. Ten
nessee Coal fell an extreme ss and recovered
two points in sympathy with the late general
strength OF the steel group. Federal Steel led
the rally and was helped by talk OF dividend dis
tribution and OF the adjustment. by agreement
OF the disputed points between the great steel
combinations. The movement Of prices in the
general list was sluggish throughout. The weaz
bank statement had been so accurately fore
casted that IL had nttleinfiuence on the trading.
IL anything. prices were a little better after
the statements. on taking of bear profits and in
rrrnpQfhV with the Charn rally in the Cfaa1
stocks. but there is no change In the opinion
serves AT fhis period IS a serious phase OF the
outlook from a speculative standpoint. The con-
tinued interior demand for money is regarded as
a striking evidence of business activity and
prosperity. However. IL viii interfere just as
effectually with the purposes Of persons who are
holding stocks on margin with borrowed money.
The reported purpose OF the Treasury Department
January government Interest did not relieve sem
timent to any extent, as experience shows that
making funds available 10 the open money mar
kss, ,a Even bo,d In me ne sdTingent money market of
20 collect the interest offered by the government
settIements. FOR Which prenarafior oI hans freadyy
commenced, involve the disbursement of a larger
sum OF money than ever before in the history Of
the country. Standard oil shares sold at S97 and
so on small transactions.
the past week is significant OF the unsettlement
OF speculative sentiment and the present safety
In all classes without discrimination. for a time
after election The decreased volume OF dealings
sharp reaction In prices here and there repre-
ssnts TIE uni9adins or specnlatsxe pools; anx-
terest In speculation. This unloading process
in some part an aggravated cause OF this ten
dency of stocks and in some ways merely an
Illustration of It. The abortive speculation in
sugar had It's own motive In the unwarra2sed
stocks IN the market offer an analogy. The in
s1s'TisiS' as n a SJ,STP. q are shsTtns the Effects of
industrial combination as a financial device.
The "greener' newer industrials are more SEN
same causes AFFECT both.
The steel group offers the best example OF the
questions AZ issue. The principal OF these ques-
lions Is whether the capitalization Is 50 high
that only such prces for the product as invite
new competition will bring in the requisite pro-
htS TO maintain dividends The actual disburse-
ment OF dividends on these stocks and the course
az events in the trade during the past year here
obviously failed to entirely solve doubts on this
vestment public. as is shown by the prices OF
the securities The outcome of events in the
form a basis for more definite conclusions. The
profits Of manufacture at last years level OF
brinsing into activity Of a large aggresate Of
production and necessitated concessions to work
OF the surplus
THE RULING {
The lower price level has driven smaller pro
iuctiyc forces into retirement again. The fu-
snre waite Of the securities % the great COM
bluations depends on whether they can keep
prices At a low enough level TO deter the smaller
enterprises from competitive Production. AMI
s;ii earn DIVIDENDS on their large capital. At
THE FTcseat stage the domestic demand FOR the
product seems TO have become sufficient 70 les-
sen the sttsactiveness or foreign rates OF our
prassusts. Tho recovery IN the securities or iron
infrstfsass n Germany y tie reelection OF tas
Decline of American competition and rrsec.. +,
20 show effects Ia our exFort trade statistics 49,
foe long The current shipments abroad q iron
products are stiil heavy. hut as the Iron 49,
s.cnfecantiy observes: THAT Is water that has
already passed the MILL
Ia the sugar trade. also. speculation shows
1fseif sensitive 10 Indications OF a renewal Of
the 'tru1e war" or the final adjustment on the
basis Of tolerated competition. The problem
strqfslins for soiatton In thi. case n to AK a