The Saint Paul globe., 1905-03-26
BANK STATEMENT
is A STAND OFF
Locomotive Jumps Two Points
Little Change From Pre-.
vlous Close

NEW YORK, March 25.-Some ten
deney to depression had to be contest
cd IN today's stock market and this
was effected by the large buying of a
few individual stocks, notably Ontario
q western, which was rushed up in
the hnal dealings to 63as. This did not
prevent an irregular tone for the clos
lng- Union Pacific was rather heavy
throughout, rising only a small frac-
tlon over last night at any time and
this had sentimental influence on the
whole market. New York Central was
another strong feature and il was sup
posed to be associated with Ontario e,
western. London's disposition to take
prontS was the main factor in the
neaVy tone of the first hour and after
this influence was overcome there was
another reaction due to apprehension of
an unfavorable bank statement The
S1S,O00,000 loan contraction disclosed
py the statement helped to effect such
reduction in deposits as to relive the
reserve requirement to the extent of
nearly s6,0OO,0O0 SO that In spite of the
loss in cash of $4,61S,90O which was
considerably in excess of expectation.
the margin of the surplus was expend-
ed to the extent of $1,325, $50.
Ground for Confidence
The events of the week afford ground
Tor confidence that even with a further
loan contraction by the banks resources
VIII be found in the foreign exchange
market and in trust company offerings
10 meet loan requirements. 1t is Sug-
gested that the present heavy outward
movement to foreign markets of secu-
rites represents holdings accumulated
In the early stage of the market ad-
vance by foreigners and which have
been held since with the proceeds of
loans in this market. These loans are
now being paid off and the securities
taken abroad to be held in cheaper for
elgn markets. 1t is said by authorities
In the exchange market that this pro-
cess of delayed payment on foreign
purchases of securities is the principal
factor in the present sharp downward
tendency in the price of foreign ex-
change. London discounts hardened
today and the sterling rate declined at
Berlin.
Total sales of bonds, par value, ST.
$4,000.
Free Liquidation
Stocks have been freely Iiquidated
during the past week, and the decline
in prices. which was extended by the
manlpuiative efforts of the bears,
caused the uncOVering of stop loss or
ders and forced offerings upon the
market by impairment of margins.
The price level was considerably low
q Su dl LILIES, DuI the naSte with which
the bears covered their short contracts
helped TO restore a part of the losses.
Inc reaction was regarded with COM
placence as normal after the extent to
which the previous rise had run con-
unuously and the shaking out of weak
accounts, held for purely speculative
purposes was left to add to the health
ana soundneSS of the market. The
recthcation of some of the -excesses in
the price level, which had resulted
from unbridled enthusiasm of the
speculative temper on the advance was
accepted with satisfaction. A quieting
OF the market for stocks at this season
OF the year is according to precedent.
owing principally to the seasonable de-
mand upon the New York money mar
ket for the spring requirements of the
interior trade. Reserves which have
been accumulated in New York banks
and which have been placed on call
Tor use in the stock market to avoid
Keeping them idle and improbable in
Dank deposits are sure to be reduced
and placed in active use in the cur
rents of trade. The beginning of this
demand has been plainly felt during
the week, but 1t is not yet sufficient to
cause any actual shortage Of funds in
the stock market.