The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1906-11-04
MARKET OFF IN
THE FIRST HOUR
Then Signs of a Recovery Be-
gan to Appear in Wall
Street Exchange.
PRICES FIRM AT THE CLOSE
BANK OF FRANCE MAY RAISE
THE RATE.
PRICES FIRM AT THE CLOSE

New York. Nov 3.-The stock market
was weak for an hour and then strong
for an hour today and closed firm at the
recovery. Reading absorbed a large share
OF the market and was the only stock
10 move either way with any VigOr. The
early selling Of this stock was plainly
due TO large extent to the taking of
profits In yesterdays business. The whole
market was affected in sympathy There
was some professional selling also caused
by fears of a weak bank statement. owing
to the weeks large indicated outgo of
cash and the probability that credit ac-
counts had also been extended during the
week.
The bank statement verified the most
liberal estimates Of the loss of cash dur
ing the week, the decrease in that item
rising to $685., 900. But whatever increase
Of credit may have been made in New
York during the week 1t was again kept
q loan decrease Of $9.542. 800. The assump-
ton that credits were expanded is based
upon the known needs of the November
money settlements and the process of
ket to the New York market which has
been going on during the week.
There Is nothing to show what was the
source of the relief for the banks from
the increased loan requirements. 1t is as
summed that the trust companies and pri-
Nate banking houses took their share of
the burden In addition to this it is
known that France loan bills have been
negotiated In this market during the
week. Cables from Paris report good
zeal OF satisfaction there with this de-
velopment and discrimination by the Bank
of France against American finance bills
in an effort to check it. But with the
money rate In Paris but slightly above
4 per cent the attraction of the profitable
stronger than the obstacles offered by the
central banking institutions have been
able to oppose It is this condition which
has given rise to rumors of an intended
advance in the Bank Of France discount
rate. Total sales Of bonds par value ST.
161 600
Review of the Week.
The stock market Of the early part of
the week struggled with some element
of depression, but more than recovered
the losses in the later rally. The up
ward movement was initiated in Pennsyl-
vania on account of the increase in the
uiNloend rate 10 per cent and was sup
plemented by the buoyant advance in the
Hill railroad stocks.
The increase in the Pennsylvania divi-
dcnd was taken as renewed demOnstra-
tons of the high degree of prosperity Of
the transportation industries and of the
lnferentIal prosperity of other railroads.
Some Of the embarrassment which come
with high pressure of industrial and bust
EesS activity was given their share of
attention. In the iron and steel indus
try itself there were reports of difficulty
In securing early deliveries of iron and
OF premiums paid to secure material for
carrying on production. Imports of for
egn iron were a feature of this situation
Railroad equipment companies are over
Whelmed with orders TO relieve the rail-
reads from blockades of freight which
they have not facilities TO move Last
Saturdays bank statement was regarded
with general scepticism as a true reflec-
ton OF the course Of banking conditions.
especially in the reported loan contraction
OF the clearing house institutions. as all
indications had pointed to a transfer of
leans on large scale from London to
this market The sub-treasury and the in
terror have continued to draw on New
York reserves. Some anxiety over the
money situation has been the conse-
Quence- This was partly aIlayed bv the
restriction OF the call money rate to a Q
per cent maximum. On the side of the
foreign money market the outlook is bv
no means clear. The substantial rally in
Russian securities abroad has removed
one cause OF uneasiness, but this has not
resulted In any relaxation Of the Jealous
conservation OF Its resources by the Bank
of France. The Bank OF England. NOT
only has affected any recuperation in its
condition, but showed a further decline
In proportion to reserve TO liability n,
this weeks statement. This has 5ivan
rise to suppositions OF a further advance
IN the banks rate Of discount and of a
possible rise In the discount rate of the
Bank OF France.
Bends have been dull and irregular
United States Is have advanced X mar
cent on call during the week.