The Montgomery advertiser., 1905-07-02
WALL STREET REVIEW
RATHER THIN REPRESENTATION
 AT THE EXCHANGE.
Exodus of Members Intending to Re- main Away for HOllday-The Bulls Made an Effective
 Demonstration.

New York. July 1.-There was
 rather thin representation at the Stock
 Exchange today. as was to be expected
 in view of the exodus of yesterday on
 the part of members intending 10 stay
 away over the coming holiday. But the
 bulls made rather an effective demon.
 stration in honor of the arrival or July
 l, which is the date of the distribution
 of the half years accrued prohts upon
 which they have counted to develop an
 investment demand for securities. The
 movement was largely sentimental as
 the expected demand did not make Its
 actual influence felt yet. Loans made
 over until Monday, so that there Is no
 loan market on Saturday The prompt,
 tude with which the money market Will relax from the tightness due to the
 July 1st disbursements. therefore. re-
 mains to be seen. Stock market opera tors. however. were evidently disposed
 to demonstrate their confidence that ac-
 cumulated funds will promptly return
 to the money market and the invest
 ment demand for stock made itself felt.
 Speculative interests centered specially
 In the Fries and In Brooklyn Transit,
 and dividend rumors continued the Po-
 tent influence to move prices. The bank statement was rather less unfa-
 vorable than had been anticipated. ln-
 stead of q decline in cash reserves there
 was disclosed a gain of $1,315.70O and
 the $1S.000,000 loan expansion was no
 surprise in view of the weeks prepara-
 tions to meet requirements, The de-
 
 count of the relaxing tendency which
 always follows the turn of the half year, outside events had no influence
 on the days markets. Some realizing at the end made the closing irregular. but good showing of gains remained. Total sales or bonds. par value. Operations to sustain prices of stocks have been actively pursued this week in continuation of the speculative cam paign inaugurated last week, There is rather surprising accord in the ad-
 missions that the rise in prices has been largely fictitious and aided by manipu- la tive tactics. It Is explained that the purpose of such operations is to adjust prices to a level which the designers consider more in accord with the prom | ise for future values than that before | existing and buying orders which have caused the advance were admittedly
 designed more to lift prices than to ac- l that real holders of stocks would be as little inclined to part with their hold
 ings at mcasurably higher prices as | they had consistently shown themselves l to be at the low prices at which the dull | market had long hung. The selling pressure on the advance was in fact moderate In most cases, and the conduc- | tors of the campaign have shown con fidence and the possession of sufficient
 resources s to effect 2: good absorption ,6d of grounds of their condolences several | specific conditions. including the rros- pect of uninterrupted ease of the money market, the promise under present con ditionS of a good volume of crops to be moved by the railroads and marketed, confidence in quick revival in the iron and steel trade and an increased de mand for investment as result of the heavy dividend and interest disburse- mcntS In July. In the money market there has been | a rather conspicuous lack of the usual preliminary demand for investment and activity in that department was great ly congested in the Japanese govern ment. The governments showed some sen sitiveness to the hardening of call loan rates late in the week, incident to the prepartIons for the July settlements. But tnls was not sufficient to impair | the confidence in continued ease of money on which the speculative move | ment counts. The report of the Comp | trollcr under the cali of May 20, how ! ever. has been the subject of some rather sober discussion compared with l June of last year. the last nearest cor responding date, the figures showing | growth in deposits of national banks | of $471,21S.655. and this notwithstand : | ing the large reduction in the interval | of Government deposits with the banks against which the maintenance Of cash | reserves is regarded as less essential | owing to the security of Government bonds, deposited against them. The loan expansion in the same period has | reached the prodigious figure of $304,- 156, ,S6l. In the meantime there has been shrinkage in the account of le- | gal tenders held as reserve of $9,129,269, The proportion of reserves to liabilities l the country through was therefore un- | usually low. But the shrinkage Is all | found in the Eastern section, including | New York; the decline in cash in that | section running to $21, ,452,6S7 as against increases for all other sections. The | showing of New York State trust com panieS In the return to the State bank | ing department is of importance in the | similar tendency shown by the compar- iSons. Conditions on June !, compared | with year before show an increase | in deposits with these institutions of | $246.315.724 and an expansion in the | loans on collateral and bills purchased
 of s273,966 749, the cash on hand has | fallen $4537S70 below the figures of a year ago and the casi on deposit with | other institutions shows a Shrinkage of | $76,9S9.7S3 Light is thrown on the | lodgment of securities during the mar l ket liquidation of the past year by the | increase reported in securities held by | the national banks of $103,293. 3S6; by | the growth in bonds and mortgage | held by the trust companies of S22 2,73l | 605 and in stock investments increased l by the latter of $65.636,S2 The weight l of opinion by bankingR authorities is | that the fall demand for funds from l the interior will reach the customary l volume.
 Bonds were rather quiet and irreg- | ular.
 U. $. bonds were all unchanged on | call on the week.
 | NExU ynpu Srnc,y ,,e-