The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1904-01-24
STOCKS CONTINUE ACTIVE
MANIPULATION IL RESPONSIBLE FOR
MUCH OF THE IMPROVEMENT.
Money Conditions show steady Bet
tcrment-Funds Going to New
York from Interior Rapidly.

NisW YORK. Jan. e3.-To-day's stock market
was Irregular but the hating movement was
marked than is natural under the
proat taking invited by the weeks rise and was
sustained by several important points Of posi-
tive strength.
After the publication of the bank statement
there effective rally and the market
closed with no important net losses on the day.
The operators in the market seemed satisfied
with the Increase in the surplus and were not
impressed with the staggering showing Of the
increases in the various items. which broke all
records in several instances.
There is a general agreement that the rapid
loan expansion now in progress represents large
iy transfer Of Obligations from trust companies
and outside banks to clearing house institutions
waich pay interest deposits OF other institu-
tons
The statements OF New York trust companies
not yet complete, for the six months ending
Dec. 81 show a net decrease in deposits of
slO2. S76O33 FOR thirty-fve companies reporting
which represents a reduction in proportion of
liability upon bank reserves. trust companies
keep their reserves largely on deposit with the
banks
But the suggestion is also made that tho pres
ent heavy influx OF funds from the interior TO
New York may represent. in part, operations by
the treasury in the transfer OF government de-
posits from interior points to New York to be
drawn in making the Panama-canal pay
ment. The item of government deposits with
the New York banks. however, reflects such
operation and il is said good authority that
the interior repositories have not yet received
notices OF any call on the government deposits.
Banking opinion seems to be that the demand
for money has. so. far. declined as. to, promise a
Immediate future.
STOCK MARKET GROWS.
The stock and bond markets have broadened
out and grown in volume in the OF the
past week. rising to a degree of activity and
an appearance of strength not. seen for many
months. The distribution of securities affected
! by this movement does appear to be very
wide, according to the reports of the copmis-
| sion houses whose dealings represent the de-
mand of the so-called outside public, which
| continues to complain of a small share Of the
| increased business being done. ..-.
| In contrast the brokerage nrrns having mem,
| bership representative of the large individual
| operators. whose movements are in themselves
aad whose esders lnf Is ked to by
| large speculative following to decide their &C
! in the dealings. In other words the market
has continued largely professional. -.-
Other operations have been attributed TO some
| Of the large banking interests and groups OF
| capitalists who dominate the control of the
! Stock Exchange whose activity in the market
| is looked upon as mere inside interests Opera
tions Of the latter class have been manifest for
several weeks past. but they have been confined
! hitherto to the stocks Of smaller railroads and
/ industrials OF volume easily manipulated in
| the market and subject to the influence OF spec
| ulative pools
/ MOVEMENT is IN HIGH-GRADE STOCKS.
| The transactions OF this week. however. have
! extended TO the high-grade stocks with CORE
spending growth of the sympathetic effect on the
| general market. This kind of professional and
semi-professional operations is subject to GER
! tain suspicion. always in the early stages. due
/ to the Interior purposes which may be involved
| such as the making of a market for new securi-
| ties designed to be fioated. 1t is also true how
variably serve to introduce speculative move
ment of larger scope and of wider public parti-
! cipation.
| The persistent abstention of this class of op-
orators from activity has In fact inundated the
| smaller and more scattered class of operato
| The development of these large operations has
| been effective i'm driving TO cover a large bear
party which he'd been obstinate In maintaining
! tors HAD made their appearance the Ions
| side. The rush 10 cover of the long standing
| AMI unwiedy short interest a material fac
| The movement was a capitalization of a mum
| Der OF influences which have been under dis
cussiOn for some time, rather than any sudder
tween Russia and Japan rather definitely
eliminated from the situation and even NOR,
so the apprehension Of its unfavorable effec
here should it threaten again
The growing conviction of the abundant re
| sources OF the money market to meet all &c
! mands upon IL has also been of growing fore,
| upon sentiment. The entire tranquility witt
/ which the money market has met the hotatoI
of number of railroad bond issues has servet
| of requirements, which has been a source O
| anxiety for many months.
| The rapid expansion OF the loan item of tn
| clearing house banks I'm the last month has KEEP
! apprehension. with