The Montgomery advertiser., 1904-03-06
WALL STREET REVIEW
NET DECLINES SHOWN AT CLOSE
 OF TRADE.
The Market Was Under the Influence of Threat of Northern &c.,
 curities Decision on Monday.

New York. March 5.--The stock market came under the influence of a threat of a Northern Securities decision on Mon had been established by the slow hard- ening movement of the week up to date. The market closed easy at a decline rua- ming to point in Q number of prciE- ment stocks. The volume of liquidation was unimportant and indicated nothing more than traders positions in the mar ket. but the fmpellings motive was clear enough and. was corrobofated by he weakness of Northern Securities itself on the curb. The bank statement was without influence. The increase In pricos was slightly less than expected but the fact that there was an increase at al was evidence of the continued tendency loan expansion was viewed with equa- nimity in view of the condition of re- serves. notwithstanding the loan item establishes new high record again with banks within Ss2,00o Of round billion dollars. This is supposed to reflect re- rewcd corporation borrowing, including the s5ooo.ooo taken by New York Cen ington. The fact that the latter was placed in Chicago would not prevent it's reflection in the New York showing.
 rne deadlock in the securities market standing the passage of some of the IT, fiIences which have been the assigned causes for the persistent apathy in the market and the continuance of some Buyers and sellers desist from activity and the result is an almost motionicss market which Is the despair of the trad ing element and also of the brokerage element which looks to commissions for it's business profits.
 The rate of stock market activity has dropped to level as low as that pre- yailinR in the summer of 1900. and mt hafnPn ttRn tbn an- -g part of 1891. In making the comparison allowance must also be made for the enormous additions made In that time in the Stock Exchange list by reason of the heavy issue of new securities of ln- dustrial and other formations. The le,h- argy IS the more notable in view of the accumulation of reserves in banks, and the nominal rates at which call mohey is loaned. Resources are freely employ cd in the speculative movements in the commodity markets. without causing a ripple on the stagnant surface of the stock market. The money outlook Is not without its obscurity nevertheless and Is undoubtedly super-inducing cause of the letnargy in stocks. The continuing rate for time loans paid by the great rail- road corporations on their notes is an served by the banks for expected de- maIds of this character. The fixing of the date for the, withdrawal of Govern ment deposits from the national banks
  ments serves to define the line of one of the uncertainties which have clouded the money market and to establish confi- dence in the ability of the market to meet the situation without disturbance. The disproportionate ease in the call loan market Is partly explained by the pol- icy of the railroad corporations in keep ing the proceeds of note issues on de- posit at the great banks for use in lfe call loan market pending this active en- ployment. The outgo of gold to South America. which has commenced during the week is q notice that London is able to call on New York for assistance ln meeting it's obligations for foodstufHs In that quarter which have been taken in unusually large volume by reason of the artificial prices forced by speculation in our own products The question of fu- ture money rates abroad on account uf the war requirements and the reflected erect upon our own market remains for the future to determine. The shrinkage in domestic bank clearings and the de- auction to be drawn as to decrease in business activity is another factor in the current ease of money, which deprives that fact of its power for reassuranea to speculative sentiment. The heavy fall in the net earnings of railroads reDcrt- ing for January gives additional force to consideration of the business outlook. Again. the contention for the influence upon this showing of the winter obstrrc- tions to traffic is modified in its sou, ce by the settlement of the rate wars for The cutting or rates 1dS gone on during the week side by side with the taking of steps for the arbitra- ton CT settlement of the differences, leaving the outcome as one of the un- certainties for the market to consider The Paris stock market settlement has overhung the worlds markets through out the week and it's adjustment cannot but serve to eliminate one of the repres- sive influences. Large purchases of pig iron by the United States corporation have met Q broad intimation from the leading trade reviews that the purchase seems to be designed as a tonic to other departments of the market, rather thdn to supply actual needs of the corpora tor. The threat of a soft coal strike has its part in holding in check iie stock market and a growing influence from this time on must be allowed to reports from the winter wheat crop which is conspicuous by the lack of mols- ture in parts of the Southwest. Finally it is not expected that any development will efrectually release the stock mar ket from its constraint until the North ern Securities decision Is handed down. 'Fhe bond market has shared the apathy and sluggishness of the stock market U. s. new As coupon and the old 4s ad- vanced 1-4 per cent. on call during the week.