The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1906-05-13
TAKING PROFITS
: ON RECENT RISE
Wall Street Takes Advantage
Of Improved Condition
of Banks.
ADVANCES AND DECLINES
STOCK MARKET Is VERY H.
REGULAR.
ADVANCES AND DECLINES

New York. May 12.-rhe Improved con-
dition of the banks shown by the bank
statement was expected and was taken
advantage of on the stock exchange to-
cay to sell stocks to take profits on the
extensive rise in prices which has oc-
Cured during the week. The gain ia cash
shown by the banks was not as large as
had been indicated by the known move
ments of money. The movement of prices
IN the stock market was unusually con
fused and irregular. Except for the real
tzing movement after the bank statement
there was no time during the session
Nhen the general tone was at all con-
etstent. AdViCes in prominent stocks
were made at the same time with de-
clines in stocks of equal Importance The
movement was not wide at any time and
crate
Banking opinion is not unanimous on
the outlook in the money market The
confident speculation in stocks is based
upon assumption of growing ease in
the money market. which is expected
rency from San Francisco as soon as
banking Is resumed there and by further
Semlttances from abroad by foreign in
surance companies on account of San
quarters 1t is argued that the early re
sumption OF business activity and OF re
construction in San Francisco will cause
me retention OF the funds which have
been accumulated. Opinion differs also
as 10 the extent of which foreign insur-
ance companies nave already made remit
tances 10 this country in preparation for
paying claims against them. The recent
large inward movement OF gold is alleged
by some bankers to have been largely
que To the course of remittance against
insurance losses. The market closed near
the low prices of the day.
Total sales OF bonds, par value. 81
Review of the Week.
The recovery i'm the stock market which
notable proportions this week and much
progress has been made towards the re
a. afW.N-r
market valuations resulting from the
forced liquidation To which the market
was subjected after the San Francisco
calamity. The Improvement is owing to
mixed degree TO the relief afforded bv the
drastic liquidation itself. to the ring Of
the bear party which over extended its
operations on the score Of the weak con-
ditioUS i'm the market and 10 some factors
OF positive betterment Of conditions of
which the outcome was fairly doubtful
or UrComoromisinE.
The relief afforded by the Huuidation
fHs made itself felt naturally through the
,.fn0rcy market Funds have become album
Nant again i'm that market and rates for
cAli loans have relaxed from day to day.
With The fall in prices of securities which
occurred during the liquidation and which
affected bonds az we'll as stocks. the ba-
SIS of the Investment return on securi-
ties was better adjusted to the prevailing
interest rate in the money market. espec-
l9lN since the interest rate on money has
declined The course. of the stock mar
bet offers evidence that there has been
some substantial investment absorption
or securities especially at the low levels
OF last week.
Buying by substantial banking inter
G. Is at that time was for purposes OF
supporting prices and part Of the holdings
thus acquired have come back upon the
market as prices recovered. But IL IS be
GrVed that large holdings We're acquired
Jnr retention Foreign investors SCENE
- 10 have been attracted by the prices Of
fered ny our securities. This serves TO
take up some part OF this counIrys float
ing indebtedness 20 foreigners which had
reached large proportions.
The Improvement in the immediate
money situation has thrown into the
background the ultimate capital require
uent i'm the rebuilding OF San Francisco
and demands for other large enterprises
which doomed foTmidaby in the prospect
az the period Of stock market depression
The extent OF the recovery in stock in
spires some distrust from the technical
standpoint and Keeps professional atten-
ton awake for signs of reaction. But
the Uudertoue OF sentiment remains con-
fident in the absence OF =. renewal OF any
IuuidatiOD OF the sinister character
which awakened anxiety I'm the first week
ar the market
tn sympathy with the stocks.
The old I. 8. x declined Is and the
new Is rs per cent on call on the week.