New-York tribune., 1906-09-05

Closing prices of active bonds dealt in. with
STOCK MARKET OPERATIONS.

Obviously some big Wall Street onerators IN
stocks did not observe Labor Day as a holiday.
for the extent Of the advance I'm the London
market on that day OF certain issues which have
been used as speculative leaders here could he
adequately explained other theory than
that OF New York initiative. These stocks
opened yesterday in the local market at figures
approximately those OF London's Monday close.
and within the first hour 81. Paul selling
5ik points above its last quotation Saturday.
Union Pacific was up about Ia points and the
entire list was apparently headed for the skies.
Gold engagements in London and Paris were an
nounced. not large in the aggregate. but accom-
panied by confident predictions OF more soon 10
follow; and for a short time the distinctly
favorable state OF the money market ig
nored. as IL was disregarded during last week.
But when the call money rate began creeping
up from per cent. its opening level. the
ket turned dull: and when in the last hour the
rate rose 20 - per cent and then shot up 10 80
per cent. the highest since last April. prices OF
securities crumbled with such extreme declines
from the best Of the day as 3s. points I'm 81.
Paul, as in Union Pacific. in New York Cen
tral. pa in Pennsylvania, 3iz I'm Reading. -. In
Great Northern. 90. in Northern Pacific and 6la
in American Smelling and Refining which had
been weak from the opening. Closing prices were
lol lluCn dDONe the lowest OF the DAY
Call money was in constant demand during
the day but II the calling Of loans by banks
twenty FIVE Clearing House institutions showed
in last Saturdays bank statement reserves be-
low the 25 per cent requirement-which caused
the hasty bidding up OF the rate to 30 per cent.
Time money showed a hardening tendency,
commissions being exacted which brought the
rates 10 the equivalent OF IA per cent on col
lateral not thoroughly desirable. The banks lost
10 the Sub-Treasury from last Friday up TO yes
terday morning about S2.J00.OOO cash. several
hundred thousand dollars were transferred 10
the Pacific Coast yesterday and a constant with
drawal must be looked for during many weeks
10 come. Heavy gold importations would help
this situation. and the expectations Of a move
ment Of large volume may perhaps be realized.
But these importatiOns would be at the best
only aIleviation. If stock market activity is not
70 be curtailed during the crop moving period
and liouida ton is not to be witnessed. What the
Secretary OF the Treasury may do toward pre-
venting money stringency no one except himself
knows and il is not improbable that even ne
has not solved TO his satisfaction the problem
how assistance can be given TO te business In
terests without the benefit being reaped by the
engineers OF the stock market advance.
Great interest was taken in the Pennsylvania
Railroad COmpany's announcement that II had
disposed OF half OF its stock holdings In the Balti-
more g. Ohio and Norfolk Western. The re-
port that Kuhn Loeb & Co. had disposed OF
| these holdings in the open market found many
supporters but is probably incorrect. On good
authority IL is said that Kuhn. Loeb & Co. who
in June placed a S5OO0OOOO loan for the Penn
syIvania In France have sold the Pennsylvania 3
| Baltimore e. Ohio stock. In a single block, 10
/ Paris bankers. Baltimore Ohio stock, which
has been comparatively inactive for a long time
and has not responded 10 the increase I'm its divi
| dend rate. advanced yesterday on the news that
the Pennsylvania holdings had been dis
posed OF.