The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-04-11
r1NANcEAL ANp ooMFENtfAL
TUESDAY, April 10.

occurred at any time since the money
stringency developed. The vDlume Of
transactions on the Stock Exchange rose
above l,00o,o 600 shares and while net de-
clines in prices as finally made were some
thing less on the average than they were
yesterday these final prices were, on the
other hand. at a considerable recovery
from q low level previously touched. Tho
strain upon the money market was ad-
mittedly greater than it was on the pre-
ceding day. Call money still kept within
yesterdays range Of from aS to Is per cent,
bank renewals being made, as usually,
at 20 per cent; but this was manifestly
disappointing TO those holding speculative
commitments for the rise in that the rate
showed no signs Of weakening. Time
money, however, rose rather sensationally.
While yesterdays quoted rates for time
funds were nominally 0 per cent. for all
periods, very little money was to be had
On this basis Inc then only by the regular
customers of banking institutions. To-
day charges for commissions were gen.
orally made upon time loans amounting
to advances for the different periods of 1,
2 and 8 per cent. and even more in some
instances above the legal rate. The stock
market opened somewhat higher than it
closed yesterday and throughout the first
hour maintained a very fair show Of
strength. Prices for our stocks in London
were generally much above yesterdays
final quotations here. although purchases
here for ondon account were on a small
scale. By midday the market had become
dull and prices had sagged back to yester-
day afternoons level. Then, in the early
afternoon, when the stress in time money
particularly asserted itself, this being also
accompanied by an upward movement in
call money rates to nearly the highest
figures Of the day, the market broke heavily.
The selling Of stocks appeared to be mostly
by the large commission houses and there
appeared to be little doubt that it was in
the nature Of a BONA flde reduction of specu-
lative account open for the rise. De-
clines running above 2 points were made
at this time in most of the active stocks.
This seemed to relieve the situation and
the market hardened during the remainder
of the day.
The matter of greatest financial i'm
portanoe to-day aside from the continued
strength In money rates, and the one which
contributed in chief degree to the i'm
provement In sentiment in the latter part
of the afternoon, was a violent break of
y of a cent in the pound In the price of
sterling exchange, bringing the quota
ton for demand sterling down to &.s350.
This, Of course, revived rumors Of large
gold imports, but up to the close of bust
ness no gold engagements Of this nature
were announced. Had there been any
fresh gold supplies laid down in the
London market to-day our bankers would
undoubtedly have secured them. But
there was no such gold available, nor,
it was said, was there likely to be any until
mex week, so that 1t seems evident that
an enlargement Of our bank reserve through
gold imports in the near uture can only
take place by means OF a direct applica-
ton to the Bank Of England itself. This
brings up for discussion the point In
sterling exchange, at which gold can be
taken from the English Bank for shipment
to this side, and it would seem as IL despite
its recent heavy fall sterling was not yet
enough to admit Of the engagement
of sovereigns for this purpose. In Deem
Der, 1903, the last time that gold in any
considerable quantity was taken from the
Bank of England by our bankers, sterling
exchange here fell below 81 .s3, which would
the price OF sterling in this market
must still fall half q cent before the Bank
Of England's hand can be forced, although
1t is believed that at the former period
the banks who brought the gold over did
lot assume to account as part of their
reserve, as some Of them unquestionably
now do, the gold thus engaged from the
moment it passed into the possession OF
their agents in London. II the banks
are entitled to thus account gold engage
ments as reserve it mount to an allow
ance to them Of interest charges on gold
in transit and so necessarily raises the
point of exchange at which the gold engage
ment can be proftably made 1t would
appear, however, az if the prevalence
for any length Of time Of such rates for
money for long periods as were paid to-day
would compel export Of gold from England
to this side despite whatever obstacles
financiers now have it in their power
to interpose to the movement.
There we're those who attributed a measur-
able amount of the selling of stocks in the
to-day to disappointment" over
the Governments first report Of the year
on the condition Of the winter wheat crop.
This report made out the condition as 89.1,
az against o. on December /, 1905, and
8 on April /, 1905; but az the present con-
is, nevertheless, five points higher
than the ten year average and suggests a
winter wheat harvest almost the maximum
on record, disappointment over the figures
hardly nav been very acute. It ia
rue that extravagant estimates Of the
showing likely to be made rave been current
for some time. Another matter of great
interest affecting the market to-day, al
though very little attention was paid to it,
was the answer Of the anthracite operators
10 the proposition of the miners that all the
claims Of the miners should be submitted
TO arbitration, that, in effect, the operators
would arbitrate the justice of the assertion
Of the miners that they we're entitled to
higher wages, and would adjust, also, in the
manner any particular grievance that
be shown to exist. A refusal by
he miners of this counter proposition
would obviously put them in the Position
If ~inaugurating a strike merely t. compel
he adoption of the CLOSED shop" at the
mines. It is hardly conceivable that the
miners should expect such a movement to
and the indications, therefore,
must be held to be very bright for a peaceful
settlement of the entire anthracite ccal