The St. Louis Republic. [volume] (St. Louis, Mo.) 1888-1919, 1901-10-13
WALL STREET DEALS
UNCERTAIN IN TONE
SPECTATORS NOT ABLE TO
DO HEAVY TRADING.
Influences at Work Behind Big Fl.
nancial Enterprises That Make
Heavy Investors Cautious.

iI'tNN tStpIS NllitlouS.
New York. oct. i2.-The cause of the re-
lapse of prices in to-day's stock market
was not altogether clear. but the same was
true of the sudden advance Of yesterday
and the day before. Distrust of that move
mcnt and incredulity as to the rumo-s
which were set afloat to account for il be-
cause of some intrinsic grounds of i'm
probability seemed to be the reason for to-
days reaction. The same brokers'. Common
Is SUPPOSE to act for the same large Stand
ard Oil. Morgan. Hartman and Gould in
tercsts. were active In buying and bidding
up stocks to-day, as they were yesterday.
st. PAU especially was lifted again and
again by main force 10 the n.iShbJrhpod of
l61. but the last price was lGila. only a shade
above the lowest. the course of tnat sock
forming an epitOme Of the whole market.
The central and southern transcOntinental
stocks were nearest TO 1t in point of ac-
tivity, but the advance showed d tendency
to spread beyond yesterdays narrower Inn
It's. until the enormous realizing forced
prices back. Prices generally show losses
on the day running from ! 10 ia In the
leaders. and from that ny to "a III st. Pau!
and the local traction stocks, which were
notably weak throughout.
Due to Bunk statement.
The decreased loan item cf the banks
failed to show the full effect Of the repay
rnent during The week OF some s~iJ!yp,0D Of
New York .eyenue variants. and tne sup
position Was therefore made that foreign
bankers continue their borrowing in the 10
cal markets to repay foreign borrowings.
The disturbance in the Paris money market
points to the Likelihood Of Il continuance o.
this process. The market closed weak at
the lowest.
There has been some upward action in
the stock market during The week. follow
ing the rather prolonged period Of defres-
sion. The presence OF liquidation was dis-
t!nctly relaxed turing the early Gays of the
week, but there was manifest hesitation
about taking UP the movement for an ad-
vance. and even tn. uncovered bears were
not apparently in great haste to cover their
short contracts. For several days the mar
ket wavered before. a pronounced advance
drove the bears to cover. The opposing ar
guments Of the speculative element now
REPRESENT the belief. on the one hand, that
the depression In the stock market has had
no other cause than the depletion Of money
supplies by the autumn requirements. and.
on tn. other hand. the apprehension that
the last great cycle of prosperity has
reached its crest. with a prospect Of gradual
decline and shrink3ge of business and earn
ings to be faced. The ~frst-nainel element
are confident that the seasons interior re-
quirements for money are about satisfied.
or that the banks are in possession of suf-
ficient resources at present to meet the de-
mands without forcing further liquidation
in the stock market.
Zig Bunk SurpIus.
1t Is argued that surplus reserves of the
! banks now are SIT. 49,, l75. compared with 81
i63,a23 Mt this time last year. and I.lH, $50
in 1899.
The movement of currency to the interior
last wear after this date amounted to s15.-
$1,000. and terminated in the last week of
October. In 1899 the movement continued
into the third week IN November. but the
amount moved after this date was only s11.-
5s5.MO. Last year. however. there was a
free movement Of gold from London during
October. This year there is no'present pros
pect OF such a movement. The cotton crop
has been very slow in moving. and this
may involve "A considerable further demand
for currency from the South. with the pos
sibility Of a resulting pressure Upon the ex-
change market that may bring gold.
Foreign Exchange.
Nothing IN the recent markets has so
clearly demonstrated the extent to which
capital was embarked in the enterprises
OF the boom period of this year as the re-
cent course of the foreign exchange mar
ket. The employment Of hundreds of mil
lions OF dollars by capitalists and syndi-
Gates in the furtherance of community of
interest projects among the railroads and
In the formation of the United States Steel
Cooperation was we'll known to the public.
the unrufhed composure OF our money mar
ket under the unprecedented demands put
upon 1t. The summer events indicate that
not only our own money market but those
Of pretty much the whole world beside were
drawn upon to provide the credits for the
gigantic undertakings Of American syndi-
Gates. lIeSt lOEtlRn DOTIOWlnES nave 1D-
parently involved the sale Of bankers ex-
change bills of distant maturities. which
were left uncovered. relying upon the au-
turnn outward movement of merchandise to
replenish the supply Of exchange and enable
them to cover.
The belated movement of cotton. the de-
creased corn export and the falling off in
manufactured products. especially iron and
copper. ave Kept down the supply of ex-
change and have made this repayment of
foreign loans especially effective in sus-
tanning thc EXCHANGE market and Lnapi,-
It away from the gold import point. More
ever the repayment Of these foreign loans
borrowing in this market. so that the loan
account of the New York banks has been
maintained in spite of the extensive liquida-
toms of the extensive lookup of capital not
to be ignored. and they bring forward the
problem of how: far the years great finan-
cial projects will warrant the anguine ex-
pectations of them during the speculative
excitement of last year.
Effects of the Panic.
The panic In May caused by the Northern
Pacific corner and the assassination of
President Mckinley upset the calculations
of their promoters and their original pros
porous efforts to distribute the crop of Sc
curities which were issued to reimburse the
syndicates for their outlay. and in their
elaborate plans for the recuperation of the
market TO enable them to renew the process
of distribution. With the additional out
lay made necessary by the measures for
supporting the market. the coming of the
autumn requirement for money forced some
retrenchment. which exposes some weak
spots In the market. especially among the
minor industrials. which have notably Gf-
fected the public confidence in securities.
The future of the market is by no means
clear. although the usual upward direc-
tons. which are normal to any decline IN
stocks are bound to occur. Among the
doubtful factors to be reckoned with. one
of the most important Is the ultimate effect
upon our industries Of the stagnation and
depression in foreign Industries. notably In
German and Russian.
Crops and Railroads..
The actual effect of the shortage In the
corn crop is yet to be shown. Railroad
earnings are still in excess of last year,
both for gross and net, but the ratio Of in
crease Is declining.
Expert views on the outlook In the iron
are not all sanguine. Present ac-
tivity of production is said to be due to
making up orders delayed by the steel
strike. and some eagerness is shown to Sc
cure contracts running into next year. A
session of Congress is 4 depressing influence
by tradition upon the stock market, especial
ly where a revision of the revenue law Is In
contemplation. Speculative sentiment Is,
therefore. somewhat in-defined. Railroad
bonds have been In better demand at some
advance in prices.
United States new 4s advanced a quarter
per cent over the closing call of last week.
Visitors mt st. Louis Hotels.
lanes E. Boyd OF Omaha is at the Planters.
"A II Lacy of Dallas Tex is n. tho 7 ,,,a, Z