The Indianapolis journal., 1902-12-27
GOOD ADVANCE In PRICES
AFTER EARLY DEPRESSION, DUE TO
THE HIGH LOAN RATES.
Special Causes Start the Upward
lily to the Markets Close.


market to-day came something of a
surprise. The market started off in as dull
and listless manner as possible. 1t was
taken as a matter Of course that the rem
nant of the week left after the Christmas
holiday would be idly spent in Wall street,
as many brokers left town Wednesday ev-
ening to be gone until Monday morning
Call money was in very active demand.
The ruling rate was II per cent, at which
level some very large loans were made.
Most OF the demand was due to the read
justment which is usually made after a
holiday, especially If the next business day
happens to fall on a Friday. The banks
very generally marked up their loans. and
although one or two minor transactions
were reported in time money, most of the
bank supply was invested in call loans.
The tightness of the money market was
looked to as a potent factor to repress
speculation and this was the case early
in the day at which time the call loan
rate rose to IL per cent. with some loans
reported at 10 per cent. Later it devel-
oped that lenders were over-supplied and
were left with considerable funds on their
hands as result Of holding out for high
rates. The grounds Of the animation in the
stock market were not entirely plain. The
early stages of the movement were congest-
ed In few stocks, and the principal buy
ing in these shares was by brokers often
employed by large and well-known spec
ulative interests, including the so-called
Western contingent. This was notably true
of the buying of Erie, which was contin-
ued up to the close of the market sus-
tanning the general list by sympathy. The
ground of the buying was not stated but
claims were circulated of large earnings in
prospect. Other stocks were strong on in
dividual causes. Rumors persisted of
melon cutting for Great Northern stock
holders. Montana judicial decision in
the copper case gave rise to the usual
claims of advantage by both contending
factions, and st. Pauls rise was accom-
panied by renewed claims that early ac-
ton was to be taken on the new stock au-
thorized. st. Paul ran off sharply at the
close when the directors had adjourned
their regular monthly meeting without ac-
tion The movement In Peoples Gas was
attributed to the reports that American
gas magnateS are to embark in the Paris
field.
The upward movement became too gen.
eral, however, TO be attributed to a merely
sympathetic effect from the strength of in
dividual stocks. Low-priced stocks came
into special favor, and many of them were
taken up successively and sharply ad-
vanced. The announcement that President
Roosevelt has decided not to undertake the
arbitration of the Venezuelan dispute had
reassuring effect, as 1t was felt to elm
mate some risks of complications.
There was undoubtedly a general conf
dence also that the danger of serious
trouble In the money market between now
and JAM 1 is practically past, owing to the
assurance against emergency provided by
the bankers S50.Oo0,000 money pool and the
stage to which preparations have reached
for the Jan. / settlements. Confident esti-
mates show that probably $132, ,00O, 900 will
be disbursed during January in the New
York market. The rather disappointing
figures of the weeks grain exports were
dlsregarded. Preliminary estimates Of the
weeks currency movement only extend TO
Wednesday evening, but the return flow Of
Christmas funds into the deposits of the
banks Is expected to make a notable i'm
preston on reserves, as the Christmas re-
tail trade has been of almost unprecedented
proportions. Some conjectures were cur
rent as to whether to-day's rise in call
money to Is per cent. constituted an emer-
gency sufficiently serious to cause the
bankers pool to draw on their $4,000 600
fund, but no authoritative statement was
made on this point. The market closed
firm and active.
There was some investment demand man.
ifest for bonds, especially among some Of
the well-secured issues. Total sales at par
value were $2,200,0 600. United States twos
and new fours advanced "A and the threes,
coupon, " per cent. on the last CALL
Following are the days share sales and
the recorded price changes: