The Washington herald., 1906-11-14
MARKET IN REACTION
Stocks Gain What Was Lost
in Mondays Depression.
LABOR SITUATION IMPROVES
Presence of Secretary shaw I'm New
York Encouragfag, Although the
Treasury OficiaI Refuses to Give
Aid at This Time-IBerease shown
in Net Earnings OF Pacific Roads.


New York, Nov. 1S.-Advances were
made IN prices OF stocks to-day that were
greater, both in point OF number and ex-
eent. than the decline recorded yesterday.
Some such exhibition was on general
principles expected by observers Of the
market since yesterday and the feth con-
secutive day in which stocks had fallen
without any upward reaction whatever
while the selling OF stocks yesterday was
marked in many ways By evidences OF
atemporary elimination, al least in the de-
cIining movement
Nevertheless all the news to-day, with
ore notSHI@ exception. was as distinctly
favorable 20 values as it was yesterday
1 edverse-
70 begin with labor troubles assumed
q much more pleasant aspect. AmiCable
| agreements upon all points in question
| were reached by the managers Of many
Of the great railway systems with their
men. and chances Of trouble on the Erie
kIres seemed much more remote.
s. II became known that the Secretary OF
the Treasury he'd arrived IN the city early
IN the morning, presumably for the pur-
close range, and, although later in the
day the Secretary said THAI his views
regarding this situation had not changed.
;.nd that ne Gid not propose for the time
being 10 relieve the market by any gov
trnnent aid, confidence in financial cir
gics. high and low. was as strong as ever
aat the Secretary would in fact take
(steps OF this kind Il futu-s necessity be-
came urgent therefor
Cali Money Is Lower.
There was a decided softening in rates
Tor the use Of call money, the highest
price paid for funds Of such class during
t1e dag, and this IN the early part OF the
p stock exchange session. being u per cent
Thereafter the rate for call money Iell
steadily until it touched per cent IN
the last hour OF business. The bulk OF the
loans. however. made during the cay were
"a rates above 10 per cent
An uumistalapia Improvement In unan-
cial sentiment was noted in London.
where anxiety almost entirely disap-
Deared regarding possible future in
crease IN the Bank Of EEsland's rate be
gore the end OF the year.
The Bank OF England continued 60 gain
Eold from the open London market and
10 otherwise re-elTOTcg its position. al
though private discount rates IN London
were SEll TlTTlit lGlL 20 LIf@ Bank ga
England IS minimum level.
TIE most striking event OF the day
however. abroad, ana one which exercised
mo little influence on the course q the
security. market here, was a sensational
advance in sterling exchange Ia Paris Of
@1-2 ceatimes. bringing the sterling rate
Ga the French capital I'D 10 - francs ana
80 ce1times. the highest price touched
Gy IL for many years. This indicated. OF
a r-,
ghat money. even if not il the form OF
lctUal gold exports, wGs passing from
Paris to London, SO that further relief
. O1 the English money market was at
tested.
Practically "a Money Remittance.
The movement was commonly attrib-
uted 20 remittauces made by French
bankers 81 connection with the payment
of al lnstallmont upon the French sub
a1riDti0u 20 the s5G0G9,00 loan recently
negotiated in France by our Pennsyl-
g-lnia Railroad Company. The transsc-
ton, inasEUch as it is UaaccOnpanied by
an export Of gold from London 20 this
stde, is practically @ remittance OF money
by our bankers TO London, and when il is
accomplished VIII serve, necessarily, 20
diminish the English demands for money
that are now addressed 10 as.
To-day's stock market, therefore, arose
quietly, but continuously. from start 10
finish. Net gains running above a point
were generally distributed throughout the
DIi0clp1l issues The feature OF the
market was q sharp rise, thai occurred
t0r the most QaTt in the last hour of the
stock ezch1nga session in Chicago, Nil
v-aukee and -. Paul common stock.
These shares rose nearly eve points
a.d maintained their fuII gain. Current
explanation OF the advance which re-
ceived some confirmation in good
quarters vas that another large issue
o. st. Paul stock to its stockhold-
a-s Wss pending. The ST Paul Pacific
Coast extension therefore has get 10 be
-u-aBcsd. L was, on the other hand
however, stated, to-day By persons than
whom none could speak with higher
authority regarding the plans OF the St
Pau. management that no new issue Of
securities or Otner financial operations by
rh6 company were at al meditate1 IL the
near future.
Net Earnings Increase.
OF roIIals announcements those rala-
tiye 20 The Southern Pacifc's gross in
crease in earnings ofSSS2. .00o for September.
Si55,00j Of which was saved In net, and
lhs Union Pacific report for the same
period OF Z gross increase OF E3a0g0. and
g. net oG S72,O09. attracted the most. com
ment. The Union Pacifc's Increase in
both sross and net FOR the month is the
smallest exhibit by It for some tine, but
Tor the September quarter as & whole
The roads net earnings have increased
ss25c9O
The one untOwaTd development in the
financial situation today was the greater
str5ngercy Of the time money market
Funds for use Tor long periods as dis
tinguisEed from day 10 cay borrowings
commanded q higher price to-day than
they have sn- time thus far in the year.
For money FOR use for all periods up 10
and including four months Z per cent was
paid, and loans over the end Of the year
based on the sole security Of industrial
collateral commanded per cent. The
rate for I'VE and six months loans was
6lz per cent. and Il was stated that
money was lent for full year at 6 per
cent.
The disposition was to-day @ attribute
the extreme tightness Of cell money yes
terday TO the payment made locally OF
Sll,00o)0 upon the second instailment OF
the recent issue OF St. Paul common flock.
and the relative ease IN the dayk cal!
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