The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-03-04
FINANCIAL AVID COMMERCIAL.
SATURDAY, March 3.

r.-,, - ' SATURDAY, March 3. '7
The course OF the stock market to-day
was admittedly somewhat discouraging
10 spectators for the rise. Afterthe close OF
business yesterday. when it became known
that the Secretary of.the Treasury had de-
oided to increase the Government deposits
In the national banks by slOQCQ,QOQ, il was
commonly expected that to$aayB ma pkst
would be very strong, witnessing ALVEY
retirement OF contracts for the fall and a
considerable amount of new buying. But
opening prices to-day were, as a rule, only
about half II point higher than"they closed
yesterday, and these prices proved TO be,
generally, the highest of the day. After
the first few minutes of trading, until the
publication Of the bank statement, the mar
ket was exceedingly duh and values sagged.
Tho bank statement, again. should have
been theoretically helpful To the market,
inasmuch as it exhibited a cash'los by the
banks during the week of only s., sos 400
and a reduction Of nearly 81, 500, 900 in loans,
this resulting In a decrease in the surplus
reserve of but S1I6,975. A decrease in bank
loans had been generally looked for, mas
much as it was known that there must have
been some general contraction Of loans
ON account Of the weeks stock market
liquidation; and also that there had been
a large shifting Of loans during the week
by the local banks to foreign money lenders;
but a larger loss in cash was looked for than
was shown the drainof money from the banks
being, according to official figures, about
50, 100000 leas than yesterdays forecasts.
made out. Such an exhibit should logically
have s~tifened the market, yet after it APP
peated pressure to sell stocks increased
and the market closed very irregularly.
Prominent exceptions 10 the general move-
meht were the United States Rubber and
the Missouri Kansas and Texas common
and preferred shares, the strength in the
latter quarter being doubtless due to the
near approach of n distribution to the Mis-
souri,, Kansas and Texas stockholders of
rights to subscribe to an issue by the COM
pany OF 500, 900 600 Of new general mortgage
bonds. The market fea ture of the day,
however. was the persistent weakness in the
Amalga mated Copper stock, which declined
to the lowest point touched by il since the
announcement of the ted-Heinze
settlement. As regards Secretary Shaw's
ACTION In the matter of the Treasury de-
posts, the current dispirited temper of
Speculation was shown in the fact that in
The general run Of Wall Street comment
concerning the step scepticism was ex-
pressed az tp the likelihood of any imme-
date bcreh to be derived by the stock
market thereby. In certain barking cir
Giles the action was criticised on the ground
that the present Wall Street situation should
he left to work itself out. and that il money
rates we're ma intained at their present
level a much desired import of gold might
take place. The movement of the stock
market to-day indicated that there was
small danger that the Secretary's action
would lead to any renewed or i'll advised
speculation for the advance in security
prices, and il seems unquestionable that
the release Of money by the Treasury was
justified by the large curtailment of the
circulating medium recently owing to heavy
customs payments and extra ordinary and
exceptional bank note redemptions. From
the attitude taken by Secretary Shaw it
appears wholly probable that a further
distribution of Government money among
the banks will he directed il necessity
warrants.
The London market to-day was stronger
than it has been for some time. a notable
recovery occurring in Kafir mining stocks.
The place of prominence in domestic news
was taken by the publication of the Penn
sylvania Railroad Company's annual re-
port. showing gross earnings of Sl33 1921 ,99o,
an increase of 1873 per cent. over lase year.
The net earnings Of the company increased
It's per cent. The wheat markets were
weak to-day, as they have been for many
days past, upon larger estimates of reserve
stores Of wheat in farmers hands and more
sanguine views concerning the effect upon
the winter wheat crop of the winter weather
thus far. The indications that there will
he no strike of workmen in the bituminous
coal region, OF that if a strike in that section
occurs at all it will concern itself with only
a limited number of soft coal mining proper
ties, the large railroad earnings as ~variously
reported, broad hints that some plan for
arranging the finances of the Wabash Rail
way are maturing by means of which the
existing Wabash debenture bonds may
be retired and the company furnished with
new money for improvements, continual
weakness in sterling exchange and right
at the close of the week the increase of the
Treasury deposits in the national banks,
to which reference has been made, have
been about the only important actual
developments in the last six business days
The default in payment on the Cincinnati,
Hamilton n layton company S collateral
trust notes attracted only a moderate
degree of interest, inasmuch as the incident
was generally anticipated and was recog-
nized as being a necessary step in the reor-
ganizatioR of the company which, in the
hands of strong and able financial manage
ment, il now proceeding. Despite the fall in
the stock market this week general bust
ness conditions, even when m~icroscopically
examined, showed nc impairment, and the
belief is as firm as ever in all trade circles
that the greatest years business in the
history of the country thus far will be
transacted in the current calendar year.
New York Stock Exchange Sales March 8.
Closing PRICES OF UNITED STATES BoSDs.