The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1902-09-24
ARE JUGGLING
WITH MONEY
DepoSitorS are Withdrawing
Money for Private Loans.
FINANCES IN BAD SHAPE
Result Is That Stocks are Co.
ing at Song,
FINANCES IN BAD SHAPE

was sub ected % drastic liquidation To-
day and spectators q all classes. from
The smallest TO the greatest, threw over
their holdings with distressing signs Of
disorder.
There was q few pauses in the activity
Ct the selling. bur whenever the bears
commenced 10 bid for stocks. in the fear
that tsey were over extending their
short account. l. proved 50 easy 20 get
stocks that the Offering down OF prices
was instantly renewed, with a constant
uncoverirg OF fresh stop loss orders
which tumbled stocks upon the market
in heavy volume. The closing was furi-
ously active and with prices stin pur-
suing 2 rapidly downward course. The
growing difficulty Of borrowing money
10 carry speculative holdings y stocks
on margin wes the root OF the trouble
esterdays moderate calling Of loans by
The banks. instead OF relieving the
trouble. seemed 70 sggravate IT, The
disturbance Of the money market was
due IN some part TO the operation OF the
forces OF relief. which were through new
and uuaccust0med channels Thus the
Eigh rate for money resulting from yes
terdsys loan contraction offered an in
viting opportunity for ali who had avail
able deposits in the banks 10 draw out
their deposits and replace them on loan
in the stock market This was done hy
Eauv classes OF depositOrs. all the way
from those with private accounts up 10
the large banks Of the interior which
keep many millions on deposit with New
York banks. This process. II carried out
in a thoroughly systematic and orderly
manner. would constitute simply trans
fer Of book accounts.
Nc increase or decrease Of the supply
Of loanahle funds IS involved, but the de-
pcsits Withdrawn from the banks % be
loaned had 20 be replaced by heavy call
ing OF loans put out by the banks. This
shifting process was largely responsible
for the continual furrfss IN money The
sentiment IN the street was decidedly
upset BIZ the conviction that no relief
Is Immediately available for the stringent
condition Of the supply OF money. The
early contribution II nearly million dol
lars 70 the market through the sub
treasury operations was nearly wiped out
BY yesterdays customs collections and
today there was deposited at the sub
treasury S2.5o00t1 for Geographic transfer
u Chicago and s. 80 90 for New orleans
While part of the Withdrawals u de-
posits BY interior hanks were reloaned
here. other sums were shipped away By
express 70 meet the crop requirements.
The drop in New York exchange at chi
cagc from par 70 % cents discount re-
Elected Vhe increasing pressure upon
which. ises- sbsHrandp-ETA MUM
this center for funds Notwithstanding the
higher level Of money rares. L was
noticeable also thar sterling exchange
rate failed 70 yield 20 any material eX-
tent The slump IN the prices Of wheat
and cotton has checked the export buy
ing and the making Of exchanges Pri-
fr- al Naa
bank rate today ard It Is generally .ex-
pected that the bank rate VIII be adj
yanced 90 4 per cent or Thursday snd
such other obstacles fnterposed u the
movement Of gold 10 New oYrk as are
possible The amount Of commissions cx-
acted By brokers for time loans are grow
ing and there are complains ~ scarcity
in other departments u the money mar
kst owing % the Withdrawals % take
advantage II the high ruling rate for call
loans The considerable shrinkage to-
DAY IN the prices of securities involved
calls for additional collateral on loans.
which was a further factor IN the pres
sure in the money market The conf
dence in values which has been 80 per
sisteutIv maintained received a decided
setback ga face of this combination y
circumstances Az least one powerful
speculative combination liquidated ac
counts 20 tie extent or NttAcrlA f@fa'N AM
Sle00 shares 81 various stocks, most
largely Of Missouri Pacific one az the
most important mainstays q the recent
market was this Withdrawal With at
opening list q two points II ST Paul
was the only important attempt . con-
test the declining tendency from the
start. Last prices show that the most
important stocks are from Two 70 three
points lower than they were last night.
The downward impulse 20 stocks caused
some additional weight 70 Re given 90
the reports q disorders il the coal region
unfavorable reports 10th Tor grain add
cotton and the strained relations between
Great Britain and Neuezuels, but the
money situation overwhelmed al other
conditions
Bonds were active ard weak Total
sales rar value $500 United States
IS coupon and the IS advanced Is Te-
cent and The IS registered declined e
per cent on the last can.
closing nt.ota-sars - stocks were