The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-08-13
FINANCIAL AND COMMERCIAL.

HANAWO1AA ANO M~ SAsSs"~"
SATURDAY, Aug. ~.
: Stock Exchange dealings to-day, as 10
usual ON an August half holiday, showed
Q diminution OF interest compared with
that shown on previous sessions throughout
the week, and the course Of speculation
ran fesbly. The weekly bank statement
Wills Of no great importance, reported q
gratifying decrease OF over 5000 600 IN
loans, which. despite loss In cash OF almost
1900. 900. resulted In q fair increase, IN the
surplus reserve. Tho bank statement indi-
Gated. apparently, that trust COMPANIES
and private lenders OF money are beginning
to enter the loan market, as they always
do when after q period Of extreme dulness
n financial affairs Stock Exchange business
raloksns. Tho result Of this, Of course. Is
% take from the banks share OF the burden
Of tho loans made and to servo to strengthen
the bank return. Tho stock market Nsen
to-day displayed irregular tendencies. Very
: little was doing in the foreign market, but
sterling exchange In Paris continued its
advance and consols In London closed
slightly higher for tho day. American
stocks In London were variously up and
down In small way, the customary week-
end profit taking e1erttng an influence.
Here strength was shown by Reading,
Delaware and Hudson. Pennsylvania, Erie.
Chesapeake and Ohio and other stocks,
while the Western railroad shares In general
With tho exception Of the Missouri, Kansas
and Texas stocks and the United States
Steel and Amalga mated Copper issues, were
inclined to sag. Price fluctuations for
the day were, with the exception Of a striking
advance In Reading common stock to a
new high record level. wholly unimportant.
No particular reason for the movement
In Reading was made known, but an i'm
preston prevailed that 1t was due to the
conviction OF the foremost interests In the
anthracite properties that there will be labor
troubles at the mines next year. No doubt
moro or less cause for hesitation existed
to-day as regards buying stocks In the fact
that the peace terms as represented by the
Japanese ENJOYS at Portsmouth had not
been readily agreed to by the Russian COM
missioners and that tho news from the
peace conference to-day indicated that the
debates there we're likely to be prolonged,
This, however, attSts as much as anything
the hope OF an eventual agreement.
While the great event OF the week In
Wall Street was the official confirmation
through the Government August crop
report Of the encouraging news regarding
the crops that has been sent from the agri-
cultural section during the last month.
the main feature Of the present situation Is
plainly the immense confidence in the BUSH
ness future that is now felt by all classes Of
hnanoiers and business men. 1t is no longer
dsnied by anybody that business conditions
with US now and prospects for the future
are almost perfect Money is plenty:
politics and labor troubles do not bother;
the crops, it is almost certain, will be superb.
and the countrys wealth Is accommodating
at an enormous rate. II the yellow fever
epidemic in the South be excepted it may
Be said that there Is not cloud on the
financial sky; but the interference with
business from this cause has thus far been
vsry small, and there Is little fear that
thero will be any such general spread Of
the disease to many cities and States az
was the case in former years. Regarding
the plentifulness OF m oney, reference was
sAsde to-day by the Financial Chronicle
to what has been clearly one source Of the
recent advance in values, namely, the in
Grease in the country's bank note circulation
In the last five or six years. The correct
statement was made that In the last five
and . half years the volume Of outstanding
circulation, based on bonds, has moro
than doubled, the addition reaching over
$2ss. 5000 0OO It is, Of course. obvious that
had this increase in paper circulation o.
curred without any corresponding inore ase
in the Governments gold holdings it might
be said that dangerous initiation was
going on. In this same period. however.
the gold holdings Of the Government have
increased fully as much as the ma
dcnal bank notes, and OF the 81, oo1 ,7Sl, 9O7
composing the general stock Of money in
the country coined or issued on Aug. /,
81 ,S6s, 427,343, or not far from hak Of the
total amount, is in gold coin or gold oertih-
Gates. Whatever imitation there has been
going on thus far has been a gold In
6ation, rather than a paper one.