The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1902-01-26
CENTRAL STOCK
WAS DEPRESSED
-S
Coroner's Verdict Fixing Respon-
sibility Was the Cause.
4-
3ANK LOANS HAVE EXPANDED
ANNUAL sHoWING OF THE NEW
YORK TRUST COMPANIES.
BANK LOANS HAVE EXPANDED

-,v- as the recent show of strength and
ssameJ equally due to professional on
grations by operators who took their
1r3fte ia specialties that have ad-
vance. recently. Sugar, Metropolitan
street railway, Q. G. Q. & St. Louis and
Amalgamated Copper We're ali thus at
farted. the last showing good power Of
absorption.
New York Central was depressed by
the coruu-r's verdict holding its Off
ciaIs responsible for the tunnel disas-
ter There were sharp advances in
prthnd preferred, st. Lawrence & Nd
irondack, EeOr.a < Eastern, Chicago &
eastern Illinois and the National Lead.
The last on the announced advance in
the price Of lead. The decline in the
hank statement was probably due to
i+s failure to attract any buying to alb
serb the profit taking. The gain IN
lasb was fully up To expectations The
fqct that interior institutions have been
rrgt '1g loans in New York led to the
idea that a corresponding reduction in
5ep0sts would result to the New York
banks. but the statement failed to show
This ON the contrary, loans of the
local banks have expanded $24l3, 500.
The influence of this showing is en-
yhasized by the compilation of the an
nugl showing Of the New York Trust
companies. The loans on collateral by
these institutions on Dec ii were $40, -
eOg.706. compared with $58I911, Ala a
year before.
The report gives cash on hand Of
only Sg.S5s.7 02. OF cash on deposit they
report Sill. l87,J94, but these deposits are
mostly with New York clearing house
banks and figure in their reserves as
against outstanding loans and obliga-
tons by Those Institutions. The market
closed active and easy at about the low
point.
Prices Of stock have drifted sluggish
Is upward or downward during the
week The operations have obviously
been entirely IN the hands of profess
sional operators. and as their buying
was simply with the purpose of resell
ing at a slight advance, and as their
selling was simply pIofit-taking on
earh,. purchases or to cover at a slight
decline in prices. the week tranSac-
tons have resulted in little real change
in the relative position Of holdings. The
few stocks in which there have been
dealings of any consequence or in
which the price movement has been
aryreciable have been %1huenced by in
dividual cases. In a general way their
course was downward early in the
week and upward by recovery in the
latter part Of the week. The somnolent
condition of the market is suggestive
Of Indigestion and surfeit, due to the
enormous activities and deglutition of
last year. The conspicuous feature Of
financial affairs during the week has
been the large influx of money to the
great reserve centers of the world New
York has felt this tendency, though not
TO the degree that foreign reserve CEN
tiers have experienced it. In foreign
markets also this influx of mOpey has
had @ perceptible stimulating effect on
speculation, while in New York the
dullHess has been rather accentuated.
Tie most pronounced TecUperation Of
money reserves has been in Berlin,
where n condition approaching redun-
dCnCy has resulted.
The P~ussian and imperial loans
amounting to about $4,000, 900 have
beer subscribed for many times over
aud Berlin has been buying discount
bonds in London to an extent sufficient
TO affect the market rate there, and
there has been a tall in the market dis
count rate at Berlin at the same time
Probably this was an influence upon
the action OF the Bank of England di-
rectors in reducing the bank rate as
the German demands for discounts
would offset the dreaded Withdrawal
Of French capital from London in the
event of a fall in interest rates there
The Bank OF France also shows q
strong condition iu Paris, and little in
ducement to call the home capital tC
that center. This condition has a di-
rect bearing on the New York money
market and promises opportunity fOI
renewal of the foreign obligations o.
this market, which are known to be
heavy, and which it was feared would
have 20 be met by gold exports.
The export of less than 100000 in
gold on Tuesday was believed to be on
account of Eew York subscriptions TO
The German loan. and not regular ex-
change transaction The accumulation
OF idle capital in Berlin was a cOndi-
Ton sure II result from the prOldl Fed
liquidation and depression in Germany,
ana the movement to reinvest it may
De regarded as Il sign that the turning
point of the long depression has been
reached here. NO sign has been seen,
hoNeve., that German capital * sesk-
ing any investment in the New York
securities market. In LONDON. also the
easier money conditions and the hopes
ol an 5sriy termination Of the Boer
Maf nave led TO a lively revival of the
AdIIr circus" but London has shown
Ao disposition 10 embark in New York
STOCKS. in fact, London has been a
steady bat moderate seller of stocks
IA New York all the week. The re-
SeperdituI of the condition OF New
loiN banks has continued to a liberal
IN'sHl and interest rates have become
laS.ei iu consequence, but without
-.llllatrg stock speculation. IN spit
VI me easier money conditions, the
-a'. has developed this week that some
aiSe loans for New York had beer
secured at interior money centers. This
Is 1"e of various symptoms that tht
-'tN York banks are des3cous of keep
AUS Lhe.r reserves in hand Cor the pres
,--. The report of the comptroller Of
I'd. currency for December reveals
,'dt the national banks of the coun-
y nave expanded their loans during
'ie year some 1891, 100000 During tht
S'.Ar period the cash reserves increase
only about S19,0O0,0O0 1t is we'll know
Una. q large proportion of the reserve:
interior banks are on deposit witt
NeN York banks.
The same is true Of the great trus
''HIanies in New York City, who's,
operations and whose loan expansion
nave had 2. great growth during tht
PAST YEAR. As holders Of ultimate re
serves Of the banking system of th'
noe country, a special responsibility
Is therefore thrown upon the New Xorl
Iea"ns house banks in the event o.
any credit contraction. There IS {
general feeling Of satisfaction, there
.ois' IN conservative financial circ' IS
Iud' speculation should be allowed e
ne dormant for a time, to allow tn,
natural forces at play III the cOun
uy prosperous activity to overtake
its.
The business of the bond market hai
oeen larger in proportion than il