The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1905-04-03

conditions in all lines, and these were a
factor in the days cheerful sentiment
But the activity thus indicated promises
continued wide demand for funds In
az lines of business. The market closed
barely steady, and below the best.
Total sales of bonds, par value, ST.
lie, 600.
Prices of stocks have gained ground this
week but in an irregular manner the de-
cline being interrupted by recurrent rail-
lies. This was believed to be due to the
frequent covering of short contracts by
the bear traders, who thus testified their
lack of confidence In their position The
hesitation has been ascribed principally to
the money position which has prompted
conservatism Accentuated operations
have been discontinued meantime, and
even support is less effective. But the
party of reaction has not operated with
any boldness. The strength of the gen.
eral situation has intimidated them, and
the developments of the week have Of
fered nothing to suggest any impairment
of actual values. Trade and industry are
obviously expanding STILL But with money
market resources restricted means for
free operations in stocks have been lack
Ing, and the rate of activity in securities
has decreased materially. Last weeks
bank statement showed that the surplus
reserves had been protected by a reduc-
tion of the deposit liabilities by contract
ing outstanding loans. The demands to
be met during the week caused a strong
conviction from the outset that loans
would expand for the week
The situation abroad has been modified
the previous confidence that resources
were open for relief from foreign markets
In case of need here. The week opened with
an intimation from the treasury authori-
ties that an additional call for return of
government deposits to the amount of If
teen or twenty millions might be expected
during the spring. The weeks requires
ments included the April Isl settlements
known to be unusually large this year.
Beyond lies the subscription - the Penn
sylvania railroad bond issue OF 500 100000
Other large capital issues are already an
nonnced and still others are known to
be in contemplation.
Reports of conditions of national banks
of March, 1904, in course of receipt by
the comptroller. disclose large increase
in deposits and in loans and discounts
over those OF year ago, and of three
months ago. But the proportion OF reserve
to Liabilities Is universally lower
throughout the country. The high level
of trade activity and the unprecedented
volume of bank clearings promise no
abatement in the seasonable demands of
the interior for money.
In spite of the apparently invincible
ease of the New York money market up
to this time, the consideration of this
prospect enioined a degree of caution
In the extension of credits. A report
gained currency that the st. Paul road
was planning $780, 900 extension to the
Pacific coast to maintain its strategic po-
sition against the Northern Securities
group. and this suggestion. although Of
ficially denied, proved disturbing to the
large hopes Of developments in that
group, upon which a great speculation has
been based. But the joint participation in
the Pennsylvania bond, underwriting Of
the two great banking houses, representa-
tive of rival groups In the railroad world
was considered gratifying evidence Ct
improved harmony. The fiTmness of this
cotton market in face of the enormous
crop indicated by the government report
on cotton ginning was a satisfactory
basis for the holders of the great crop.
This clears up one of the very few
cloudy spots on the commercial horizon.
Railroad net earnings for February make
a poor comparison with last year. but the
later growth of traffic shown by gross
earning reports throws the earlier show
ing out of consideration.
Peace prospects have been a varying
influence during the week.
The bond market is quiet, and the price
level Is relatively lower than that OF
stocks to degree that occasions much
comment. United States old 4s and the IS,
registered advanced u, the new As cou-
pom Il, and the new As, registered, ss per
cent on call on the week.