The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1903-03-16
STOCK MARKET IS
ALMOST LIFELESS
Absence of Demand Caused
Dull and Easy Close
TRADERS EFFORT FUTILE
After a Long Wait for the Bank State
ment They Tried to Bid UP Prices,
But the Public Kept Away
During the Session.

waited for the appearance OF the bank
statement today to show any clearly
defined sentiment Traders on the floor
bid up prices smartly Immediately upon
the appearance of the statement upon
the tape but no response was received
from any outside quarter and the market
closed dull and easy with the monetary
demand exhausted. 1t was only by re-
ducing loans to the extent of over Sl5,0OO,-
GOO and lessening the legal reserve re-
quirements in proportion that the banks
were able to prevent deep inroad upon
the legal reserve. That item shows a
surplus of barely a million still MAIN
tanned The statement conformed pref
~ closely to expectations at the cessa-
ton of calling of banks by the latter part
of the week and indicated that the losses
of reserves had been made good by loan
contraction already effected. There was
another deposit of 100000 at the sub-treas-
ury this morning for transfer to New
Orleans. The weeks imports of mer-
chandise at New York were valued at
$15,OO5, 054, an increase over the previous
week of $3,S1S,S74 which shows the con-
tinued heavy requirements for customs
payments. Todays large sub-treasury
debit at the clearing house was due to
payment of an old Connecticut war claim.
These are not hopeful symptoms for next
weeks influence upon the banking re-
serves.
The stock market has been feverish and
unsettled in tone during the whole of this
week The fluctuations were wide and
var Inf no re
down towards the end Of the week to
near last weeks closing level and be-
came difficult to move, while the volume
of dealings shrans to small proportions.
The covering operations of a large bear
element played an important part in this
net result as there was large and i'm
portant liquidation effected and num-
Der of unfavorable factors to contend with
as we'll. The practical wiping out of the
surplus reserves of the banks by last Sat-
urdays bank statement brought heavy
selling orders into the market as a mat
ter of course but the demand from
shorts was very large and Monday saw
an actual recovery in the market.
1t is recognized that some withdrawal
of government deposits with the banks
may be necessary by the Panama canal
payments unless the treasury itself is in
abundant funds at the time and any
release of funds al this time may hamper
the treasury in carrying through the oper-
alton without disturbance. So far as these
payments are made by drafts on funds,
in the treasury itself, it is clear that they
will operate to release funds rather than
to withdraw them. AS to the effect of this
operation on foreign exchange there is the
hope that its proceeds will be available
for lending here, although this would be
in effect for the account of the foreign
recipients of the payments.
An important influence in the week.
speculation was the contest regarding the
financial policy for Southern Pacific be-
tween the Hartman or Northern Pacific
coptrol in that company and a minority
interest represented by the holdings of a
speculative pool under the management
of James r. Keene. The various de-
velopments in this contest have been ac-
companied by violent price movements
and and enormous speculative dealings In
both Southern Pacinc and Union Pacific
with important sympathetic effect on the
whole market. Published charges of ir-
regular accounting. although met by en-
phatic official denials had a weakening
influence on Metropolitan street railway.
The dissension among stockholders of
American Ice and the slump in the COM
panys stock was ano.ner disturbing in
fuence. Another feature of the market
IS the wide declines made from previous
prices by high priced inactive stocks
which are forced to market by the money
stringency. Amalgamated copper has been
a subject of furious speculation, based
on the excited advance in the price of
copper, both here and in London. The
uniformly favorable reports of industrial
and business conditions from all quar-
ters while the market for securities re-
mains persistently neglected and some
what depressed. makes a subject for much
puzzled conjecture on the part of dis
appointed spectators. favorite for
mula to express their conclusions is too
much prosperity"
The bond market has moved in SYM
pathy with stocks. United States old As,
the 5s and the IS registered advanced 4
per cent and the IS coupon and new is
Y per cent. The Is registered declined Il
per cent as compared with the closing
call of last week.