The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-03-24
BUOYANT STOCK MARKET
STRONG FINANCIAL CONDITIONS AIN
SPECULATION IN SHARES.
Noteworthy Advances I'm Stocks of Mi
nor Observation-Disclosures OF the In
cal Business Situation.

tual business In bankers bills at $4.S7TT
ass for demand and S.S4A for sixty days;
posted rates, $4S5h and sl.Se; commercial
bills, A.S3%d4SfA.
Silver certificates were 61%a63c; bar sill
yer. 6OAc; Mexican dollars, 49c. Bar silver
at London closed at % 1s-16d an ounce.
Exports of gold and silver from the port
Of New York TO all countries for last week
aggregated S~l.075,5S2 in silver bars and coin
and $3.50 in gold. Imports of dry goods
and merchandise to the port of New York
for the week were valued at $40. $50. 21O.
The weekly statement Of the associated
New York banks, issued on Saturday, shows
the following changes:
Loans, decrease 4O33 6n0
DepoSlts' decrease -..-..-".-....... 5,217,30
Circulation, decrease ...... $1,000
Legal tenders, Observation-Disclosures. 90, 200
Specie. decrease .......-----.-.. 93s. 500
Total reserve, decrease. LIZ. 600
Reserve required, decrease.......... ]. 431. S25
Surplus reserve, ncrease--..-.-..... 269, SO
The banks now hold $40, 272, 425 in excess
OF requirements under the % per cent. rule.
The Financier. in commenting on foreign
Influences on the money market, says:
'Some attention was attracted early in the
week to foreign exchange, which grew
stronger, and preliminary talk of gold
exports in the face of an enormo,.s trade
DoAdilSt WdS IOt ldChluS. lnlS view, now
ever. seems ~unfounded as the variation
OF interest rates here and abroad led TO
technical advances that will adjust them
selves automatically 1t will be seen, how
ever, that the demand to which the New
York banks are subject are now growing
less, and where one reason TOR easier
money can be advanced others quite as
logical can be offered on the other side OF
the question. Conservative interests look
tor no great changes in the market. In
terror points seem well supplied with funds
and are seeking commercial paper here"
wALL-STREET REVIEW.
Saturdays bank statement affords con-
vincing evidence that the capitalists who
have engaged in the recent great syndi-
cate operations made provision for them
some time since, while the resources OF the
money market were still superintendent.
That there should have been achieved a
loan contraction by the banks of upwards
OF $.OO0,OOO in a week in which aymen
was made for over 100000 on account Of
Union Pacific bond subscriptions and IL
call made for payment of $25,OoO,OOO on
Monday on account OF steel syndicate sub
scriptions, and in which a furious specula-
ton was carried on in the stock market,
IS an impressive demonstration of the new
scope OF the resources OF the New YORK
money market. The effect on the stock
market was materially marked. From a
heSitating and irregular condition due to
heavy profit-taking under cover of the
ket leaped into an animated and buOyant
condition, earlier losses being generally
wiped out and many striking gains In prices
established. The early strength was con-
fined to a comparatively small number OF
stocks, and was due TO belief in the prog
ress of plans for a great consolidation OF
Southwestern railroads. The Denver & Rio
Grande stocks led the advance with eX-
treme gains of 5 for the common and 3As
for the preferred. The Rio Grande West
ern stocks, usually in the background. sold
10 points higher for the common and 3
higher for the preferred. The Wabash
stocks, Missouri Pacific, the st. Louis
Southwestern. Texas & Pacifc. st. Louis
K San Francisco and the Colorado South
ern stocks all responded with gains OF l
TO 215 over Friday. A number of recently
conspicuous minor railroad stocks also adj
vanced feverishly, including the New York,
Chicago & St. Louis stocks. the Chicago,
Indianapolis * Louisville stocks and Lake
Erie & Western. The strength of these
stocks did not prevent declines running to
a point or more in many active stocks on
realizing. prOft-taking going on very ac-
lively under cover of their strength. The
smelling stocks were raided down 22 and
Us for the common and preferred, but rose
strongly again over FRIDAY nlSnt IeNeL-
The steel stocks were rather heavy. 1t
was not until the bank statement was made
public that the undertOne OF depression was
overcome. There was some renewal OF the
realizing here and there, but the close was
animated and the undertOne strong, with
prices near the best.
A number of influences combined 10 pre-
cipitate a very active speculation for the
rise with the opening of the week., ana a
heavy speculative prOtt-taking had been
so that the general strength or the rnarket
has been we'll sustained. Last saturday $
bank statement. with its record OF loan
contraction. was interpreted 10 mean tna'
the large syndicate borrowers for the varl-
Gus consolidation and absorption plans were
I'm a position TO liquidate loans 10 offset
any encroachment upon mOney-market re-
sources from other sources. The contest
for control of Burlington apparently cor
tinued, and was supplemental by excite
speculative buying of stock The announce
ment that the Rockefeller Lake superior
iron interests were TO be included In the
steel merger and the knowledge that a SUI
fcient DrOportion of the steel stocks hac
been deposited to insure the success or TN.
plan awakened the steel group from It's
recent dormant state and removed a nam
pering effect on the general advance, aGulhs
a strong influence in Its faVor. by Tue
day afternoon the speculative proht-taklns
had OverbOrne the force OF the DuSihS' 3hV
Wednesday saw some sharp reactions. Bul
new points of strength developed and ralhe,
the market The b~uoyancy or a numper "
minor railroad stocks gave color 10 IepoIt'
that he process of absorption and com
binatiOn in the interests OF the larger tn
road systems was still actively proceeulnS
louisville K Nashville and missouri "a
cihc crossed par for the first time IN th'
rev generation. Missouri Paclhc Is poihtS'
TO as "A unique example OF a nonulViuenr
paving railroad stock selling above par
There is a conviction in Wall street ina
this property is Ia be made the center OF !
far-reaching consolidation OF o~Outh"eS'
railroads.
MONEY MARKETS STRENGTH
In the midweek reaction some considera
ton was given TO the threatening Anglo
Russian difficulty at Tien-Tsin and tn
failure of negotiations for peace in Sout.
Africa. which were depressing the forelsi
markets. The announcement that an agree
ment had been reached between Great Brit
ain and Russia helped rally the market
The positive developments in the marke
and \ rise i'm the call loan rate receives
some attention. But considering the mag
nitude of the weeks transactions and tn
comparatively small effect, Speculation
adopted an optimistic view OF the OUTLOOK
and they were enccurafed by assurance
from the capitalists concerned IN great syn
dIcate arrangements ia their confidence 4
the safety of the situation. The paymen
last week Of so. 0O0. 900 in dividends by tn
Standard Oil Company and this week OF
$4,000. 900 instailment On the $fv,VvO,UUo SUP
scription TO the new Union Pacinc CONVEX
ible bond issue. and the call for a $19,VO0,e
payment on Monday of the syndicates SUB
seriptiOn of 800. OoO,0 900 TO the steel merger
were REGARDED as ample tests as 10 IN
condition Of the money market. This al
justment and equipoise is. in fact. the ke
&c the whole situation, as has been pre-
giOusly pointed out.
II II m that additional raliroa
securities already authorized and 10 -