The age-herald., 1902-05-18
UNREST IN STOCK AND MONEY CIRCLES Prices Made a Decided Recess
 sion in First Hour FEAR OVER COAL STRIKE A Fall of Nearly Two Points In Colo rado Fuel and Heavy Selling of
 U. S. Steel Unsettled
 the Close.
FEAR OVER COAL STRIKE

New York, May 17.-Prices made de- cided recession in the first hour of todays short session because of apprehension over the efforts to make the anthracite miners strike a national coal strike but practically recovered after the bank statement appeared. A fall of nearly points in Colorado Fuel and heavy selling of United States Steel to below 40 unset tied the close and made it irregular at declines from the rally. The selling of United States Steel may have been due to fears of special damage to that industry from a possible Interruption to b1tumi- nous coal mining, or it may have been connected with the meeting of stoekhold- CTS on Monday to ratify the conversion or preferred stock and the issue of bonds. The bank statement showed decrease in cash of over a million where a gain of that much had been expected. But this was ignored in the satisfaction felt over the heavy reduction In deposit liabilities effected by loan contraction by which the surplus reserves were recuperated to the extent of nearly five millions The weeks reduction of $22, ,90S, 100 in the loan account has only once before been equaled. In the week ending May 1S 1901. the banks re- duced their loans $24204,S00. This was the week following the panic week in the stock market when loans had been made practically without limit to check the panic, and when the buying to support the market was followed by quick liqui- dation after confidence was restored. The past weeks events make it clear that no such liquidation has occurred IS this loan contraction would measure The local trust companies have been large lenders all the week.
 The rate for sterling exchange relapsed violently to the lowest point of the year under the heavy offerings of bankers bills in the process of drawing on. foreign credits. The supply of comm ercial ex- change bills in the market continues scare. Another phase of money transac- ttons was the transfer of holdings of American securities for domestics in Lon don Americans cabled orders to London to buy stocks there to be held with money borrowed in London. The weeks re- adjustment has restoEed the balance in both the stock and money markets but the demands upon the money supply are felt to preclude the chance of a favor able speculation for a rise The -anthra- cite labor trouble is an additional in- centive to conservatism. The immediate effect of the declaration of the strike upon the coal strike was not acute es- pescially considering the assurance which has constantly been expressed in Wall Street that there would be no strike. The anthracite operators profess to feel that they have much to gain from contesting the dem ands of the miners in the way of recovery of previous concessions to their demands This attitude, however does not blind the public perception to the possibilities of an extension of the trou- ble into the bituminous coal fields and the collateral effects upon other indus tries. especially iron and steel. in which continued scarcity of material in all stages is reported in spite of the record output in the trade.
 The market for bonds has grown dull and has moved in sympathy with stocks.
 United States 9s declined F and all other issues II per cent below the closing call of last week.
 New York Stock Market.