New-York tribune., 1901-01-06
LONDON MARKET EXCITED ALSO.
THE BOOM IN "AMERICANS"-FINANCI
FORECASTS AND COMMENTS.


London. Jan 5.-MOney was in easy supply to-
day, being increased by the release Of dividends.
Discounts were easier in sympathy.
The attendance at the Stock Exchange to-day
was almost unprecedented for a Saturday Inter-
est centred in Americans"
The Stock Exchange opened wildly excited with
large variations. Americans were all much above
parity. and the American department was so over
crowded that brokers found Il difficult 20 approach
Aiwaukees started with sensational jumps. reach
Ing I6s with dealings limited. They afterward re-
ceded and then readvanced Eries were also par
tlcular feature. They were bought IN large Iots
by local spectators but hiehy for American ac-
count Atchisons were another favorite stock
Others were about a dollar above parity except
Northern Pacific common. which went below AFTER
the first excitement there was general moderate
reaction. At the lower level buying was Fesuihe0'
and there was a quick recovery 20 near the top.
The transactions were the heaviest known for
long time number OF prominent bears were
badly caught but there no failures. AT the
close prices were a trife easier
The boom favorably affected other departments
Kaf1rs especially, hardening considerably. West
Australians were better. recovering part OF their
recent losses on rumors that the London ana GLOBE
Finance Corporation, Limited. had disposed OF us
interest in the Baker Street Waterloo Railroad 10
the Yerkes syndicate
Consos were hrmer Grand Trunks were very
Arm. IN sympathy with Americans particularly
seconds. Rio T'ntos hardened.
Dealings continued on the Street until late
hour. though queter. There were further notable
advances. prices closing easier and moss acuNe at
about a dollar below the best.
Immense borrowing by the market at the close
of December was one OF the chief causes OF the
advance In the Bank Of England rate OF discount.
The rise stopped the outflow OF geld toward farls-
"The statist" discussing money conditions. con-
sides the possibility of obtaining gold in Ne-f oFk
increased by the very large sales OF American
securities made by London In New-York. The
greater portion Of American stocks carried in Lon
don are for American account, and should the rate
in London be appreciabiy higher than IN New
York the stocks carried In London with borrowed
money may be transferred 20 New-Hork The
statist' thinks that New-York can easily spare
three or four millions Of gold.
In a long article on Americas changed interna-
tIonal posIton THE Stadst" concludes as follows:
b is 10 dGp S6y 10 3eGxs Se Whole OF It's
new savings in foreign investments The reasona-
SIeat 9 outburst Of new enterprises in the United
States. Industrial companies viii be created new w
combinations aud branches OF existing railways
will be Of esPe al oma whe Is 9s
able the new colonies may be DEVELOPED on a larger
immense at home and does & not OF, buy Ss com, n
modities on sreat scale dHa GCss scs nGs G o
vious that the more the trade balance turns IN
abiIity to take gold from Europe Therefore. the
likelihood is that money rates wih RUE ne hisn M IN
~ Smerican capital being withdrawn, not only
from London. but from Germany.
Alludlng to the relations between the Bank OF
England and the Government. whose manipula-
tions have kept credit dealers for some time in a
continuous state of nervousness "The Investors
Review maintains that the per cent bank rate
will prove very different thing from what IL was
a year ago. 1.-THE market" it points out, ''is ex-
hausted by prolonged comparatively dear money.
and no longer has the strength 70 bear up against
adversely. Such e implies that Il will there
Indications that the financial collapse which it was
possible TO avoid or conceal at the beginning OF
occur, the foreign exchanges will not advance SUI
hciently 70 turn the gold stream htherward There
cent. and when IT arrives even the most confident
must be xerd y e .. e @ IL Wheh the oNenent
is piunging. The Tfeasury,s hoatne debt TO the
exa ssa e ta1aton still III 70 come ' in before the enc Of
the financial year, and me war expenditure must M
four millions Of local loans be issued January
millions Tn5 IS sorrowss @ on tn this Stock since the Begin.
the London and Globe smash that me stock Ex,
pepIIeusly near panic. Not only r were there nu
rnerous failures but the confidence OF many specu-
Where the trouble would break out NEXT The ad-
vance in the bank rate affected investment in Sc
hned 70 reducing commitments. The. trouble has
Known. and the feeling IS more cheerful. Home
rails have mostly been weak, with one or two
iiest section, the activity being mainly the result
OF Wall Street operations. One of the chief re-
suits OF the boom the practical extinguish-
ment OF the bear account. An impression Is abroad
that the position is dangerous. II Is said that a
number OF American trusts overloaded With
shares, and that any monetary tiehtness NAV
easily cause huge blocks to be suddenly thrown on
the market.
Silver was DUH throughout the week, although
the India Government Is steadily purchasing. The
monetary position partly accounts for this dulness
Holders prefer 90 sell rather than incur the Of
,rcre stocks The inquiry for general
was Insignificant The India brokers prac-
70
deal on their own terms. If il had not been that
the Government must buy largely In order 10 pro-
probably be heavy.