The Washington herald., 1906-12-01
Gain in Bank Reserve Gratifying,
but There Are No Prospects of "a
day-Advance in Western Union
Dividend Is Looked For.


during the early part Of the day.
The cheerfulness abroad was caused
principally by the extremely favorable
showing made yesterday in the Bank Of
England's weekly report The bank
gained IN cash during the week more than
$40 0o,0C0 and raised it's proportion Of re-
serve held against liabilities from last
weeks 1882 per cent TO 4492 per cent, this
figure being even greater than that Of the
banks reserve at this time last year.
So Unexpectedly gratifying was this re-
port that consols rose p point in Lon
don. and the entire market in the British
capital was exceedingly active.
After the hour Of business to-day. how
ever. when the bulk Of the buying for
London account had been completed. It
became fairly evident that unusually high
rates would be seen locally for call money
before the day was out The first loans
of this character were negotiated at an
advance Of 25z per cent over the average
rate on Wednesday, and rose before noon
TO II per cent.
The rate then broke to per cent on
offerings Of money by prominent bank
ing institution, but in a short time again
advanced to a higher rate than ever. The
notwithstanding operations by the bank
IN question We're repeated a second time
before the close of business. but with
Ike result. money lending in the last
hour Of the Stock Exchange session at
q per cent The furry in rates was. of
course, due to the fact that the last day
of the month was at hand, and that
final contraction Of loans by the banks was
neccsSitated preliminary TO the disburse-
ment tomorrow and on Monday of over
$50, ,0000o0 in interest and dividends.
The prospects Of Tomorrow s bank re.
turn, moreover. We're not too fiattering
Estimates gathered after the customary
fashion varied i'm predicting a loss IN
cash by the banks OF from $i500010 u
$650 600. while a further transfer Of
$L55G 600 to san Francisco again took
place through the subtreasury. 100000
being also sent in like manner 10 New
Orleans: but how this loss I'm cash would
be represented. under average system Of
compiling, it is impossible TO calculate.
With the advance TN money rates the
stock market became generally heavy. al
though such declines as occurred did not
result in the execution Of any stOp-loSs
orders nor produce any liquidation worthy
of the name. On the other hand. certain
stocks, chiefly the Northern Pacific and
Great Northern preferred shares and the
Mexican Central issues, were strong
throughout the entire day; while at the
time money rates We're at their highest
in the afternoon q vigorous upward move
ment started IN which AtchiSOn common
shares was a renewal Of the buying that
has for a fortnight been IN progress in
Rock Island common stock Under this
leadership the general market once more
strengthened.
In the case Of the Hill stocks, the IA
miliar rumor again circulated that an
other large issue Of Great Northern pre-
ferred stock was impending. and would
be offered TO the stockholders at par
for the purpose partially OF purchasing
the Northern PaCihc's interest in the
and partially for the purpose
of providing money for Improvements in
Great Northern lines
The supposed desire Of the Mexican
government to get control Of the Mexi-
can Central was again put forward as
the reason for the advance in the COM
pany's stock
While dealings to-day in Western Union
stock were relatively small, as compared
with those that have been noticed since
the announcement Of the company's issue
of S1000O,0OO convertible bonds, the i'm
preston seems 20 prevail in many quar-
ters that upon the conclusion Of this
transaction an advance on the Western
Union Company's dividend rate may be
directed. There has been no advance in
the company's dividend for very many
years. chiefly because the company has
issued no new securities. and has Contin-
ueG taking money out of surplus to ex-
pend in the construction Of its facilities
for transaCting business. With the con-
clUsiOn Of its bond sale, the company
will have provided funds for these i'm
for years to come, so that a
way to meet the desire Of the stock
holders in the matter Of divluends will
be afforded.
AS weak a stock as any in the market
to-day was American Smelling and Re
fning common, which declined under a
of rumors that some sort
of an investigation or prosecution is being
meditated, and on the curb market an
other violent break in the price Of Nip
.ssing mines occurred, for which a Va
r1ety Of reasons were offered. II is al
together probable that the approach of
the winter season in Canada, which rem
de~s mining operations in that region
difficult, if not Impossible has had more
or less to do with the recent heaviness
OF the stocks Of the mining companies
situated in the district.
Canadian Pacific for October reports
net income, $50. 757; from July I, net in
come, $2,5U,6l5.
Il IS understood that one of the larR-
est speculative interests is confident that
a currency measure will not only be in
Toduced early in the coming session. but
that a persistent effort viii be made nv
the leaders in both Houses to pass the
at as early a date as possible
The United States Realty and I'm
provement Company has secured a con-
tract for the erection of a building in
Kansas City that will cost between 81
100000 and 100000
%-%~N%*~~-~-~N~~%
I COLOMBIA :
! GOLD PLACER