The St. Louis Republic. [volume] (St. Louis, Mo.) 1888-1919, 1902-09-28
OPPOSING INTERESTS MAKE
WALL STREET FEVERISH.
MARKET FINALLY CLOSES
UNSETTLED.
st. Paul and Louisville the Prin-
cipal Losers Among the
Railroad Stocks.

view 1OTh- SEPT -A-1ucEe was n very
feverish trading on the Stock Exchange to-
day. which seemed principally due TO a con-
test between opposing speculative interests
{ Bile for yesterdays sharp upward move
ment were again in evidence at the opening,
but the high prices made attracted renewed
that the bank statement would fail to re-
veal the recuperation which was expected
gress when the bank statement appeared.
showing a surplus reserve re-established OF
a-2sSsa The bull operators thereupon
turned upon their opponents and marked
up prices L to l point at a jump. SO that
the level OF the market was sent back to
near last nights plane and In some cases
lapse. which carried some stock lower than
before and made the close feverish and un.
settled Louisville suffered to the extent Of
AZ in the late break owing TO the uncertain
~ whether the minority OF the stockholders
a a5s to :, be allowed to share in the terms
troll by the Atlantic Soast Line syndicate.
St, Paul suffered an extreme loss Of over :
published renorts Of proposed stock sub
scription right.
MONEY DOMINANT
The dominant influence was the money
situation. The increase OF S.IO.7 700 in
! cash reserves OF the banks was a total sur
prise In view Of an indicated decrease of
about 100000 on the other hand. the loan
had been looked for. The source OF the
cash increase was an unexplained mystery.
e1chanSe Market. UNUSUAL nsSsIs for IN a sh sa s1sri;ns
carried rates well away from the gold inn
port point. The bank statement failed to
further loan contraction has entirely passed.
Heavy liquidation of securities has been
the calling 1 Of i ks9Hs b @a tSe BANKS snis T se ma Ss
up the deficiency in their reserves revealed
by las, Saturdays bank statement. The
the latter part Of the week, on the hope
that the loan contraction had been carried as
orer Of the secretary OF TIE "TTr qea .aas the 70
pay now all the Government interest due for
the remainder Of the fiscal year. less a re-
would relieve the money stringency. The
strtngency OF the money market was solely
responsible for the weakness Of stocks and
ments FOR currency, and credits which are
an incident Of active business.
WARNINGS AMPLE.
Ample warnings have been uttered by all
which were precipitated this week, and the
lack Of sufficient resources to carry through
market has been clearly foreseen. Without
anecttng. however. the confidence OF the
speculative contingent that means Of relief
claimed that the United states Treasury
would be bound to afford ample relief to the
rate would immediately bring in gold or
that the supply of money In the country
was already 50 great that the usual demand
.P0A YIN luz fuloUey 10 move rle
crops would be RENTED this year. The fact
vas ignored that all legal means Of return
Ing tGSyefnmer, funds to the money mar
bonds and that. the available supply Of
Government bonds has become 50 depleted
their holdings for the purpose Of piscins
them With the Government as security. The
weli-advertised fact was also ignored that
foreign lenders were already 50 great that
imports Of gold must be paid.
The only point Of view Of the Spectators
was tnat the country was In a condition of
continued demand and increasing value for
ulators. some of them commandinr ali the
way from sl5.Ooo:0o to $50. 0o.o 900 according
to competent estimates have long been en-.
gagged IN taking on all the stocks they could
carry With all the money they could bor-
Q The cheapness of caIl money. pend
stimulated this disposition. although this de,
espuye eheapness was in itself due to the
iI mp periods. Of ana : s tss d IN money ne rates for
form The stocks thus taken on had the
but they e'1 were OF moi nit tsip r Ssss Of y, securities n1at
OF permanently holding. but simply held on
margin to feed the more substantial IN
n' 'e cRasa sIPselfd g %asve'0p'
SO long as the banks left the credits un-
stocks the conditions might nave BEEN
pank reserves developed last Saturday and
the inability to replenish the cash 90 as to
make good the deficiency left the banks
no alternative but to demand the repay
ment Of loans. The high money rates
which resulted. tempted depositors of all
classes TO draw down their deposits to
place them In call loans on their account.
instead OF accepting the comparatively
meager interest paid by the banks on de-
posts; TIT banks were thus compelled to
extend the procese Of calling loans. and the
money market was thrown into disorder. |
The process Of actual depletion of reserves
has. meantime. continued, though In dimin-
ished degree The Governments customs
returns have continued TO run over N.o0o. 900
a day. practically all OF which are payable
direct from the New York banks into the
subtrensury. and the denaands from the in
terror for purposes OF the circulation have
continued.
Only internal revenue and miscellaneous
receipts can be legally diverted into bank
deposits. and these are running light. The
stringency of money has caused some weak
ness OF foreign exchange. but has not de-
pressed the rate again TO the gold import
point. II has been the experience with
former offers by the Treasury Department
to anticipate Government interest that they
ers- II is considered improbable that the
banks will put out again immediately In the
stock market the loans which have been re-
called from there this week. For these rea- |
sons the opinion over the future OF the
money market and its effect on the stock ,
market l. still uncertain.
Speculative bonds have been freely sod
during the week. and some high Grade |
bcn6s have also reflected pressure. Crltcd
States q, Is. IS and old n coupon advanced I
Il and the old Is registered Y per cent. as ,
compared with the closing call Of last week. |