The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1905-11-12
STOCK MARKET
Is IRREGULAR
Money High and Some Selling in
Consequence.
SOME SUPPORT AT OPENING
LATER THERE WAS WEAKNESS
ALL AROUND.
SOME SUPPORT AT OPENING

New York. Nov li-With a deficit Of
s.. i2SS00 below the 25 per cent legal re-
serve Of the banks, some liquidation came
upon the stock market today after the
bank statement appeared on the tape.
But the selling showed no signs Of pre-
cipitancy and was conducted in an Oh
derby manner, and in the late dealings
some rallylng tendency was peTcepJlble.
The closing tone, however, was unset
tied and irregular Early in the day the
market gave evidence of support ana
some OF the stocks and speCialties were
pushed upwards The loan contraction or
Sl53Si $50 was said 10 represent only part
~ the liquidation which has occurred IN
the stock market during the week, bank
ers asserting loans had been called 10
large extent also for account or out or
town institutions which adopted the pol
icy Of obtaining loans in the stock mar
ket. but which recalled credits for use
In their own localities. The decrease OF
nearly Sll,Oo0U0O in cash holdings were
rather larger than the preliminary esti-
mates.
The last previous deficit in the legal
reserve shown by the clearing house
banks was in December Of 1902. Preced-
ing that the only deficit since the year
1898 occurred in November. 1884. at which
time the banks ran along for several
weeks below their legal reserve limit.
Both of these periods are of evil mem
OrN in stock exchange experience IN
December, 1892. the situation was con-
served by the formation or what was
called at the time the $50 100000 banker
spoil, which announced itself prepared 70
land that amount of money if the Striu-
gency in the market should become dan
gcrouS. The success of this measure IL
tranquilzlng the situation was den0m-
mated Ia the discussion of the period as
a faith cure"
In December, 1893 violent stringency of
money finally carried the call loan rate
momentarily 20 a figure of lS6 per cent.
Both the money and exchange markets
were nominal today. but loans We're re-
ported to have been made at rates much
below yesterdays high level. The foreign
exchange market was called steady.
There was a shading OF discount rates
both at Paris and Berlin but no change
was reported in London. The statement
of agricultural export for this country
for October shows a decrease OF Sl,660, lSS
in value. compared with October OF last
year the heavy decline in value of cotton
exports amounting 10 about double the
increase in export in breadstuffs. This
showing goes 20 explain the resistance IN
the foreign exchange market 20 the IN
fluence OF the violent rise IN money
here Total sales Of bonds, par value,
81 635, 600.
While the tone Of the time money mar
ket and for cOmmereiu loans has grown
firm and rates have advanced moderately.
there Is no evidence OF strIngency IN these
departments. Speculative sentiment has
arrived at the conclusion that measures
OF EulicL hN the treasury uGpdf LluNnA VIII
depend on the evidence OF deficient facll-
tiles for conducting regular business ana
not on the needs of extended speculation.
Meantime the pressure for credits IN
the stock market and the consequent
rise in money rates has resulted In
break in foreign exchange, caused by
the renewed lending of foreign money
here. Relaxation OF the English and
French money markets has followed the
turn of the month, thus adding to the
facility of this process. The continued
disturbances in Russia, however, affect
the foreign markets, and requirements 20
be met by the English money market
early in December are to be reCkOned
with.
No abatement appears in the unpre-
cedentcd activity in the cOuntry's trade
and industry Congestion of railroad
freight in spite Of the utmost efforts TO
take care of the volume offering is re-
ported 70 be increasing, The counuy's
production OF iron for October rose to "a
new record. and demand IA all depart
ments OF that industry seemed 10 be IN
diminished.
Bonds have been finally somewhat Of
fected by the needs of the money mar
ket and have weakened in sympathy with
stocks.
II. s. seconds advanced IS per cent and
tho new Is declined "A per cent on call
on the week.