The Montgomery advertiser., 1903-03-15
WALL STREET REVIEW
BANK STATEMENT WAS ANxI.
 0USLY AWAITED.
Upon Its Appearances, Traders Bid UT Prices Smartly, But There Was No Response from Any
 Outside Quarter.

for the appearance of tho bank statement today
 to show any clearly defined sentiment. Trad
 diately upon the appearance of the statement
 upon the tape but response was received
 from any outside quarter and the market closed
 dull and easier with the monetary demand ex-
 hausted. It was only by reducing loans to the
 extent of over 5000, 900 and lessenng the
 legal reserve requirements in proportion that
 the banks were able to prevent a deep inroad
 upon the legal reserve That item shows a sur
 plus of barely a million still maintained. The
 statement conformed pretty closely to expecta-
 tions as the cessation of calling of banks by
 the latter part of the week indicated that the
 losses of reserves had been made good by loan
 contraction already effected. There was an-
 other deposit of s2oo. 900 at the sub-trcasury
 this morning for transfer to New Orleans.
 York were valued at sIs.oos, ,os4. an increase ease over the previous week of S5SISS74 which
 shows the continued heavy requirements for customs payments. Today's large sub treasury debit at the clearing house was due to pay ment of an old Connecticut war claim. These are not hopeful symptoms for next weeks influence upon the banking reserves. The dis bursement on Monday of the S2o. 900 900 Stan dard oil dividend is of better augury. but there has been an opportunity to anticipate this benefit which is not likely to have been neglected. drop of 3& in Consolidated Gas and of in Brooklyn Union Gas due to lighting plant for New York The stock mar ket has been feverish and unsettled in tone during the whole of this week. The fiuctua- tions were wide and varying, but the price level settled down towards the end of the week to neear last weeks closing level and became difficult to move. while the volume of deal ings shrank to small proportions. The cover ing operations of a large bear element played an important part in this net result there was large and important liquidation effected and a number of unfavorable factors to con- tend with as well. The practical wiping out Of the surplus reserves of the banks by last Saturdays bank statement brought heavy sell ing orders into the market a matter of course. but the demand from shorts very large and Monday saw an actual recovery in 1frtn nF lyaf here attracted large offerings from outside sources. There was violent break in foreign were large leaders in New York. while New York exchange at Chicago jumped up to par and Western banks placed funds in Wall Street The efec. has been an equalizing of the money pressure. The relief in New York being offset by the tightening of money rates at Interior points In this country and in the foreign markets under the influence of New Yorks requirements. The drop in British con- sols to the lowest point in years was at the coming reduction in their interest rate rom I& to Ii was an additional factor. Besides the additional offerings of money at tracted by the higher interest rate there has been no beterment of money situation here While the money scarce was in force report got abroad that the Treasury Department would draw on Government deposits with the bank to meet the Panama Canal payment The presence in Wall Street of the Secretary evidence of his watchfuness of the situation although his decision against the neces- sity of any measures by the department to relieve the money market It is recognized that some withdrawal of Government depos- It's 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 at this time will hamper the treasury in carrying through the operation ments are made by drafts of funds in the treasury itself, 1t Is clear that they will oper- ate to release funds rather than to withdraw them As to the effect of this operation on foreign excnanRe there Is the hone that fta proceeds will be available for lending here. although this would be in effect for the count of the foreign recipients of the payment It is generally supposed that some part of the recent heavy withdrawals of cash from the York trust companies to repenish their re- serves in compliance with the new rules of the clearing houses. An important influence in the weeks speculation was the contest re- garding the financial policy of the Southern Pa cinc by the Hartman or Northern Pacific con- trol in that company and in minority interest pool under the management of James R. Keene The various developments fin this con movement and enormous speculativ dealings in both Southrn Pacific and Union Pacific with important sympathetic effect upon the whole market. Published charges of irregularities although met by emphatcal denials. had a weakening effect upon Metropolitan Street Railway. The dissension among the stockhold- CTS of the American Ice Company and the slump in the company's stocks was another disturbing influence.
 wolves an exhaustion of the supply of capital rather than a constant addition to the capital fund Is. an evidence of the confusion of mind brought about by the disappointment of specu- lative hopes The root of the recent doubt and hestitation in the financial world lies in the possibly unproductive outlays which may be in the vast issues of new securi- ties during the last few years Such unpro- ductive outlays according to all human ex- perience, are a necessary accompaniment of prosperity. but far from being a part of It.
 The bond market has moved in sympathy with stocks. United States old As, the S's and the 3's registered advanced l. per cent. and 2's registered declined H per cent as com pared with the closing call of last week.