The Montgomery advertiser., 1901-10-13
WALL STREET REVIEW CAUSE OF THE RELAPSE OF PRICES NOT APPARENT. The Course of St. Paul Formed an Epitome of the Entire Market. |"
 Effort to Bid Up
 Stocks.

New York, Oct. 12-The cause of re- apse of prices was not altogether clear' put the same was true of the sudden ad- vance of yesterday and the day before Distrust of that movement and incred- ulity as to the rumors which were set afioat to account for it because of some intrinsic grounds of improbabllity seemed to be the reason for todayS reaction. The same brokers commonly supposed to act for the same large standard, Morsan' Hartman and Gould interests were act i've in buying and bidding up stocks today as they were yesterday. St. Paul espec- iaily being lifted again and again by main force to the neighborhood of 167 but the last price was l64ls, only shade above the lowest, the course of that stock form ed an epitome of the whole market. The Central and Southern transcontinental stocks were nearest to 1t in point of act dency to spread beyond yesterdays mar rower limits. until the enormous realiz- ing forced prices back. Prices generally to ls4 in the leaders and from that up t B% in St. Paul and the local fractions stocks which were notably weak through out. The decreased loan item of the banks failed to show the full effect of the repayment during the week of some s15, 600 of New York city revenue war rants. and the supposition was therefore therefore their borrowing in the local market to re- pay foreign borrowings. The disturb ance in the Paris money market points to the likelihood of a continuance of 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 de- pression. The presence of liquidation was distinctly relaxed during the early days of the week. but there was manifest hesitation about taking up the movement for an advance and event the uncovered bears were not apparently in great haste epaI s1 ioSsE Ssrs tIgI the market Waxered before
 pronounced advance, droYe the bears to cover. The opposing arguments of the speculative element now represent the belief on the one hand that the depres- sion in the stock market has had no other cause than the depletion of money sup plies by th~@Sltumn requirements and on the other hand the apprehension that the last great cycle of prosperity has reached it's crest with a prospect of gradual de- cline, shrinkage of business and earnings to be faced. The first named element are confident that the seasons interior re- uuirements for money are about satis- fled. or that the banks are in possession of sufficient resources at present to meet the demands without forcing further liquidation in the stock market It is argued that surplus reserves of the banks are now $17, ,4S3, ,175, compared with $4.463. .925 at this time last year, and $1,- l77,350 in 1899. The movement of cur 'ency to the interior last year after this
 ste amounted to $15,S52, and terminat-
 
 le movement continued into the third week in November, but the amount moved after this date was only S11,5s5: 900, Last year, however. there was free movement of gold from London during October This year there is no present prospect of such a movement. The cot ton crop has been very slow in moving and this may involve a considerable fur ther demand for currency from the South, with the possibility of a resulting pres- sure upon the exchange market that may bring gold Nothing in the recent market aas so clearly demonstrated the extent co which capital was embarked in the Enterprises of the boom period of this year as the recent course of the foreign exchange market. The employment of hundreds of millions of dollars by capi- talists and syndicates in the furtherance of community of interest projects among the railroads and in the formation of the United States Steel Corporation was well known to the public and there was self congratulations on the unruffled com posture of our money market under the unprecedented demands put upon 1t. The summers events indicate that not only our own money market but those of pretty much the whole world besides was drawn upon to provide the credits for the gigantic undertakings of American syndi. cates. These foreign borrowings have apparently involved the sale of bank which were left uncovered, relying upor the autumn outward movement of mer chandise to replenish the supply of eX change and enable them to cover.
 The belated movement of cotton, tht decreased corn export and the falling of in manufactured products, especially o iron and copper, have kept down the sup