The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-09-16
WEEK OF STOCK LOSSES
THE MARKET Is LOWER THAN on
SATURDAY.. SEPT. =.
Efforts to Conserve Monetary Re-
sources Through the Week Were
Moderately Successful.

NEW YORK. Sept. 14-FOllOwing the pre-
cedents set at the time of the deaths of
Presidents Lincoln and Garfield. the Stock
Exchange adjourned Immediately upon as
sembling to-day, out of respect TO the men,
DRY of President Mckinley AS conse-
quence the money market and the eX-
changes We're both merely nominal and
threw no light on the question of how the
Presidents death would affect the markets.
The only incident worthy of attention was
the weekly bank statement. The decrease
in cash reserves of $S.S70,100 was rather
larger than expected, even with the pay
ments yesterday for government bond re-
demption not included. But. on the other
hand, the stock market liquidation during
the week has contracted loans to some $12,-
$4,000, thus materially reducing the legal
reserve requirement 10 the benefit of the
surplus. which is slightly increased.
Marked success has been achieved in the
task set for organized capital of recuperat-
ing the stock market from the heavy blow
of last Saturday, when ii had TO face the
effect of the attempted assassination of
President Mckinley. Seemingly not suffi-
cient account was taken of the quick i'm
provement and speedy approach to recovery
OF the distinguished patient, for yesterday
when the alarming news was received of
his relapse to near deaths door. the stock
market slumped, and within fifteen min
utes of trading after the opening the labori-
Gus results achieved by a weeks careful
nursing of stocks were wiped out. Prices
yesterday evening were generally lower
than on last Saturday. During the week
they had been, at one time, pretty fully re-
stored to the level prevailing before the at
tack on the President. The first measures
concerted for the protection of the market
were by the clearing house committee. Act
ing for the representatives of all the clear
ing house banks and for the foremost CAPT
talists and fnanciers of the country, they
were able 10 secure the cooperation or all
those great forces for guarding the money
market against undue stringency. Abund-
ant credits were forthcoming on Monday
for all solvent borrowers to meet their act
ual needs. Skillful operators in stocks were
on the floor of the Stock Exchange 10 pro-
tect values, thereby keeping up bids for
stocks, taking offerings at moderate de-
clines and so preventing the reckless sac
rifice of holdings and the wiping out of col
lateral margins for loans.
These objects were not achieved without
q lavish outlay of resources, as the liquida-
ton was heavy and urgent and persistent,
but success was manifest before trading
had proceeded long on Monday. But the
financial wisdom which presided over the
movement viewed with a jealous eve the
heavy inroads making upon money re-
sources by the Withdrawals from the cir
culatfon of the surplus revenues of the
government at q time when the need was
urgent. The appeal which formu-
lated TO the secretary of the treasury, met
with a quick response in the invitation for
tenders Of bonds for redemption to the
amount of S2000O,000 and the diversion OF
100000 of internal revenue collections into
the national bank repositories This re-
lieved somewhat the drain which the sub
treasury was making, day after day, on
the New York money market. The bond
tenders were disappointing in amount, but
the payment for the $7,00e,000 accepted,
which was made in cash on Friday, was an
effective aid in checking the demoraiza
ton caused by the bad news from Buffalo.
During the middle of the week there was
much success shown in the efforts TO
protect and recuperate the market that
some disposition developed to set on foot
realizing was accomplished under cover of
this movement by those who had bought
heavily to sustain the market on Saturday
and early this week. This not only re-
lieved the situation by strengthening the
resources of this element i'm the market, but
also checked the injudicious speculation for
a rise. The acute effect produced upon
stocks and the heavy selling of stocks yes
terday was ample warning that money mar
ket resources must be still carefully con-
served if the stock market is to be pro-
tected from calamity in the growing de-
mand for money in the channels of trade
and the strain caused to all business and
credits by the misfortune TO the head of
the government.
Liquidation of railroad bonds has been
much lighter than OF stocks and at less cost
of values. United States fives advanced Il
the threes q and the new tours / per cent
while the threes declined x per cent on
call during the week.