New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1903-08-09
BONDS.
THE DAYS OPERATIONS IN STOCKS

STOCK market values registered further de-
cIines i'm Yesterdays market Opening prices
were affected by weakness in London and by
renewal of bear pressure while in the last nan
hour active selling developed following the pup
LEGATION of an unfavorabIe bank statement
Contrary to general expectation, loans increased
nearly S4O00O00, and cash holdings showed a
larger decrease than foreshadowed by Fridays
estimate based on the known movement of
money. Cash declined S1,S6J,300, while reserve
above legal requirements decreased SZ,4i5,VOV
TO sd. 5S7, 075, which compares with S9,o3l,20o
IT this time year ago, and S2O,9o2.9Jo in the
year before. There was reason in the day
news developments for the weakness that pre-
vailed in yesterdays market, and the decline
must therefore be put down to forced Hqui-
dation that was not completed in Thursdays
break and its vigorous manipulation by the pro-
fessionaI element. The fact that prices declined
IN the active stocks from / to 3 points is no in
dication of weakness in the business situation,
but it nay readily be seen that the heavy losses
in Wall Street may affect the general industrial
situation especially if the decline is permitted
to continue
Selling pressure was especially heavy in Atch-
ison. which lost 3ls points, going as low as
54l5: in Baltimore and Ohio which lost pa in
ST. Paul which sold down to 1333s losing =
points: in Consolidated Gas, 514 points in Erie,
=
souri, Pacific. 2a points; in Reading, points,
and in Union Pacific, which sold at 60h, losing
33s points. This stock and Missouri Pacific We're
the leading active features. Canadian Pacific,
which was hammered by q prominent trader,
lost points to us, but ended at a net fractional
gain. Covering of shorts in the last few minutes
impaired a firmer tone to speculation, but there
was nothing but gloomy sentiment in
mission house circles. There was little support
in the leading railway stocks from people identi-
lied with properties, although in Southern
and Union Pacific buying on the decline was
reported py hartman interests. horelsii
houses We're active sellers of Union Pacific and
il said that a large foreign block of the
stock had been liquidated. The steel shares held
fairly well, with buying orders for substantial
account again in evidence. There was rumor
in the day that the St. Paul Company would
issue S25,O00,o00 additional stock, but this
officially denied, although it served its purpose
of helping the ranipulation in St Paul shares
well in other issues The decline in Union
Pacific was started by drive against the stock,
apparently by interests inimical to the con-
trolling powers in the company, doubtless the
people who had such disastrous time
result of their efforts to compel the payment
Of dividends Southern Pacific shares.
The increase in bank loans of nearly $1,000 900
i'm view of the heavy liquidation in stocks was
rot received with cheerfulness in Wall Street
speculative circles, but bank officers were not
disturbed this factor. It is asserted that
the bTunt of the current borrowing is the
hanks. ana that the trust companies and out of
town institutions have been Hquidatng loans
that have been taken up by the local banks.
While there has been Il large amount of liqui-
daton of stock market loans, it should be borne
IN mind that immense sums of money have been
borrowed 10 take up stocks thus sold, and that
the support thrown into the stock market on
Thursday doubtless represented in great part
borrowed money. There is no reason for uneasi-
ness over the expansion in bank loans. The pO-
sitIon Of the banks is sound. There has been a
big rcadjustment in loans without a reduction,
nat this rcadlustment has been accompanied by
t2e Increase in the amount of collateral held
against loans ana by substitution Of new collat-
era. for securities the actual value of which is
less than il WAS year ago. Loans stand
at $9l2,G91. 100, against deposits of 1912 272 =
800.
-,I- nave oprphr,0Ne IA 1oNne