The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-09-16
FINANCIAL AND COMMERCIAL.
HATuApAY, Sept. Is

bank statement and the continued large
buying OF the Reading common shares,
which wal the feature of business on tho
Stock Exchange yesterday. The bank re-
turn did not at all disappoint the favorable
expectations Of well informed people re-
RAxding its character, for 10 was thoroughly
understood by observers Of this class that
owing TO the average system upon which
the condition Of the banks in compiled the
full gain Of over sl4, 1900 in cash known
to have been sustained by the banks during
the week would not be exhibited. What
NAa hank statement did show was an
enlargement Of cash holdings by the Clear
ing HOUSE institutions Of 81 .SS2. 900 and a
decrease in loans Of SIS. 3 900, which re-
suited in an increase in the bank surplus
n SO. 100, 900 and brought the total surplus
up to $3.50. 100, or only a little less than the
SURPLUS shown a year ago at this time. The
most gratifying feature Of this exhibit is
really the reduction in loans. Whether by
reason Of a shifting of borrowings to out OF
town institutions or private lenders the bur
e OF the banks have been, as they were
last week. materially contracted While
no one supposes that next week will witness
q disbursement of money by the Govern
ment against gold imports to so great an
extent as occurred in the last six business
days yet 1t is believed that no small sum
OF money will be released by the Treasury
in this manner. The strong indications are
thus that the bank return next week will
disclose an even more satisfactory state OF
affairs than was to-day announced 1t has
not escaped notice that the outgo Of money
to the interior Of the country this week
showed marked signs of slack ening this being
notably attested in the rates of exchange in
the interior cities on New YorG. The
money situation, therefore, is steadily
improving and seems to contain at the
moment absolutely nothing Of a discourage
ting nature, The dealings in Reading stock
formed an even larger proportion Of the
total StocS - change actiOns than they
did yesterl lay, nearly 335 900 shares OF the
stock being turned over out Of sSS 900 shares
bought and sold in the market as a whole.
Reading to-day made an extreme advance Of
80 points, two-thirds Of which was retained,
so that the stock has in the last two days
made a net rise Of nearly 10 points. As
was IT, case yesterday, the rise in Reading
was accompanied with strength in the
stocks or he other hard and soft coal carry
ing railwoy -. the upward movement in
Baltimore aNd Ohio common to-day being
nearly as great as in Reading. While at
first the disposition am ong the rank n
file Of daily watcHSrs OF the stock market
was, as was natural, q: attribute the rapid
and open accumulation Of these stoc&s
to the work Of speculatorsl the feeling
became very strong to-day that some
thing more than the operations Of q mere
trading pool was going on. No information
Of a definite or official character could be
gained, but the suspicion gathered great
force that the control Of both these stocks
had become lodged with the so-called
Hartman party. and that the dream OF the
Union Pacific Railroad interest for the
establishment OF a tr-anscontinental railway
line was IN the point OF fulhlment. II
this proves to be the case it is not at all
improbable that some revelations may be
made concerning it at the annual meeting
Of the Union Pacific stockholders in the
firet days OF next month. Other stocks
that were particularly strong to-day were
the American Locomotive common and
Distillers' Securities shares. There was
published this morning the full pamphlet
report OF the American Locomotive Com
pRny, showing earnings Of nearly - per
cent. on the ~conpany's stock and a net
surplus applicable to dividends thereon,
after heavy deductions for Improvements
and b~etterments, OF 1871 per cent. Con-
sidering the heavy additional orders now
being placed by the railroads Of the country
for engines the prospects of the american
Locomotive Company must certainly be
admittei to he bright.
The relief Of the money situation through
the deposits of public funds in the banks
made against prospective gold imports
has Of course been the great event OF the
week from a fnancial point Of view. Up
to the close Of business to-day S22, AIS. 900
had been thus put out 10y the Sub-Treasu-
riee here and in Boston and 81, 900, 900 is on
the way across the Atlantic that was en-
gagged previous to the date when the Secre-
tary Of the Treasury's order took effect
and against which no release OF public
money WAS granted. Within two or three
days time therefore over S26. 200, 900 OF
new money will become available for the
Use of the countTy's business. Money
rates lave fallen well below the 8 per cent.
level for call funds while Stock Exchange
houses with COOL collateral are now not
willing to pay more than the legal rate for
time money except for borrowings for the
suoTteSJ terms. SJefllnR exchange has,
logically, on account OF these Developments,
risen to a point that seemingly forbids the
taking Of any more golI by our bankers
from the Bank uf England for export, but
1t is eHEectel. nevertheless, that a fat
proportion Of the new gold laid down in
the open marrct in England will be bought
for our accOubt and our bank ers are still
picking up The yellow metal in more re-
mote centres, even e~nleavoring, with a
fair pro-reCt Of success, to buy it in South
Africa itself. The relief is reasonable
that AZ least $50, 900 600 will be secured be-
fore the gold import movement ceases.
The bringing into the country Of so large
an amount If money 500 rs 10 dispose of
sny present questions relating to a threat
ened financial stringencv. Aside from this
nlsttsr the mot Importgrt de-elonJr ent
If the venN va, tho ri l~icstion If the
Governments Cro1 rerort covering the
condition NJ the CTo~S on the Frst of the
month, and this shoUe1 that tho ktate nj
the leading staTlss had actually rIproveI
during ths Wo1th of August. when ordi-
narilvscT q 1eterorat loI IN condition occurs
The practical certainty conFronts Is of q
100, Oco, 900 buehcl wheat crop and a ESQ. O0o.-
900 corn CROP. the largest harvest Of these