New-York tribune., 1905-11-04
Closing prices yesterday of active bonds dealt
In With NET changes follow.
STOCK MARKET OPERATIONS.

Stocks were strong and active in the greater
part of the day, but there was little genuine
commission house support and no indication
that the public had been attracted to the market
by the vigorous efforts of the bull pools to in
duce an outside demand for securities Indeed,
the course of trading, particularly in the case
of Reading served to discourage a legitimate
inquiry for the various issues. Reading ad-
vanced to the highest price on record for the
stock the upward movement being directed
against an obstinate short interest which finally
was compelled to cover at loss Powerful
spectators working on the bull side OF the
stock market and it Will be interesting to watch
the progress of their operations in the course OF
the next few weeks, especially as prices are
reaching a fictitious level under the influence
of gross manipulation. Reading sold at 1399@
in yesterdays market. AS investment Read
ing is not worth that amount of money. The
coal trade is not always prosperous, and
Reading is compelled to depend upon its coal
traffic for it's dividends it readily may be seen
that as 4 per cent stock Reading common
is selling uncommonly high. The current specu-
lation, however, is not based on such considera-
tions AS a rule, closing prices were under the
best of the day, heaviness being due to the
manipulation in Reading and Erie. The largest
gains outside of the hard coal stocks were made
by American Grass Twine, American Smelling,
Duluth, South Shore and Atlantic. Metropolitan
and Railway Steel Springs, the last named ad-
vancing over five points for the day. The fact
that so many stocks of doubtful character were
advanced did not encourage confidence in the
permanency of the bull movement.
According to the known movement of money
in the week the local banks have lost over
SC, SEQ 600 in cash holdings. This decline may
not be reflected in to-days bank return. owing
to the fact that the system employed in COM
piling bank statements generally shows results
totally at variance with actual conditions 1t
is known, however, that the banks have lost
money and that the prospects 90 not favor
period of extreme ease in lending rates This
feature of the financial situation is all the more
significant because of the increase that has
taken place in the amount of money in circula-
ton in the last thirty days. Government figures
Of November 1 show an increase in circulation
of $2S901, 1S1, as compared with the amount of
money in the country October 1, and an in
crease of SG9 So, ,91T over November l. 1901
There has been large gain in national bank
note circulation in the last month the amount
outstanding reaching the large sum OF
S512, ,213, ,2G4, compared with 5000 200,319 on Oc-
tober / and S445. 5.240,41S on November 1 year
ago. There is larger amount of money in the
country than ever before recorded at this pc
dation is so heavy that rates for loans are held
at a stiff figure, with no immediate prospect of
a reaction of any Importance. This feature of
the situation is not a bear argument the DO
sition of affairs in the United States. It shows
that the country's industries are active and that
there is a legitimate inquiry for funds in con-
nection with industrial expansion, to say moth
ing of a big demand for the accommodation of
stock market borrowers. The latter demand
however. ought to be restrained at the present
time as there are factors in the situation that
do not encourage the placing of heavy loans on
speculative account. that is If the best interests
of the financial and business situation are to be
considered.
The demand for currency from the interior
this week has been Unexpectedly heavy. week
ago it was thought that the outward movement
of funds practically for the season and
that there would be large return flow of money
to this centre, but, the contrary, new de-
mand has developed in the South and West and
as a consequence rates for money in New-Yorls
have ruled at stiff level, while there has been
a substantial reaction in sterling exchange al
though in the last two days the tendency has
been stronger There many factors that
have a bearing the exchange market and at
present the chief influences governing the mar
ket are the deadlock between the foreign spin
ners and the growers of cotton in the United
States the uncertainty in the money markets OF
the world and the large obligations held by for
eign bankers against this country. is still be-
leved that gold will be exported from New