Los Angeles herald., 1905-12-08
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BY Associated Press.

NEW YORK, Dec. 7-The stock mar
ket struggled against the severe strin-
gency in the money market today and
escaped without serious damage to
values. After the period of greatest
weakness in the morning, in fact, there
were general recoveries under the in
fluence of the skyrocket advance in
Tennessee Coal and vigorous upward
movements in other special stocks.
Money on call was quoted as high as
2S per cent, thus rising above the
previous maximum for the year
touched last month. Today's high
fore since October, 1902. The behavior
of the stock market now and then
afforded striking contrast. Money
conditions as stringent as those of to-
day could not fail to depress the stock
market. But a general feature of con!-
ment was the lightness of depression
as a result.
Losses were not excessive in any
stock. 1t was notable also that they
were quite uniform between and 2
points. Where the losses ran beyond
the average they were not found in the
stocks, which have been subject to the
greatest speculative activity in the
immediate past. In fact these shares
were conspicuously exempt in the un-
money. The deductions drawn from
this state of affairs were that the or
ganized speculation which had been
conducted for some time past had pro-
vided itself largely with time loans be-
fore the scarcity developed i'm the
money market. The absence of forced
liquidation at the present time on the
part of large operators of the past few
weeks is capable of no other eXplana-
tion
The small effect produced on tho
market warranted the deduction that
the participation in the speculation on
the part of operators dependent upon
the ordinary resources of the money
market must be small. This is in
position of 1902 when enough commit
ments had been made in the market in
disregard of the coming election in
general business and the severe string
What was known as the rich mems
panic or the slow panic followed at
that time 1t is a popular supposition
that the identity Of this years specula-
tive organization is the same at many
points as that of 1902
The difference in the situation lies in
underlying values and the provision of
credits beforehand for the conduct of
operations. The actual demand on
cash reserves is quite sufficient to eX-
money market, but there can be no
doubt that the quality Of some of the
collateral offered for loans. especially
some of the stocks which have under
has figured in the making of rates.
The Stringency in the call money
market induced decided stiffness in the
time money market. There was evil
dence of large movement of funds
towards this center, reports indicating
a receipt of at least $1.0O0,OO0 from:
credit sources, The sterling exchange
rate also fell to below $4.S5, which Is
lower than the point touched during
the last importation of gold. This led
to keen expectation of gold engage
monts and closer working of money In
other departments than the purely
speculative reaWakened the cXpecta-
ton that the secretary of the treasury
would be moved to take some measure
of relief for the money market which
he had refused to do so long as purely
speculative requirements We're re-
stricted. Confidence that such action
was imminent had much to do with the
late rally in stocks.
Tennessee Coal was especially af-
fected by the conflicting reports that
control had been secured of the COM
pany in the open market, which re-
ports were not admitted by present
controlling interests
Amalgamated Copper showed resist
ance throughout and wos prominent in
the strong rally at the close
The whole market closed strong and
with the earlier losses almost univor-
sally changed to varying gains
Bonds We're heavy. Total sales, par
value $2,155,000.
United States now As registered de-
clined y and the coupons y per cent
on call.