The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-11-18
FINANCIAL AND COMMERCIAL.
SATURDAY. Nov. II.

Ao-day WV pHSbAlNy VI N"D AAANAA
consecutive session Of the Stock Exchange
was the scene OF general and continuous
strength. Dealings in stocks rose to a high
total for a Saturday half holiday and prices
closed in nearly all instances at or near
the highest points Of the day. There was
practically only one matter OF news bear
ing upon the market and that was the
weekly bank statement, which in every way
came up to the pleasant an~ticipations con-
corning it hat prevailed yesterday. h
Clearing House institutions reported a
decrease in loans of 90, 100, 400. which was
generally and no doubt properly attributed
to a further transfer of credits from the
hanks to out of town or private lenders.
The Gosh held by the banks increased
81, sl7, 900, a sum nearly three times larger
than tina, indicated by yesterdays forecast;
and the bank surplus, hence. rose from a
deficit of 81 SOC, 900 last week TO a surplus
Ct $500, 900 above the legal minimum.
The action OF the stock market, however, in
dictated that speculative traders were paying
very little attention to statistics Of this KIM
cod were regarding rather the seeming
evidences that financial interests of tho
first rank had accumulated large lines of
stocks in the recent decline in the market
and were now enlisted in a temporary
campaign, at least, for higher prices. There
were few reactions in prices to-day, although
the gains made by many OF the active
stocks were not equal in all cases. Profit
taking was apparent in the st. Paul common
shares. as it was in yesterdays market,
and realizing sales also kept down quota
tons for the Northern Pacific and Great
Northern preferred stocks. whose advance
was a particular feature of business at the
preceding session. The strongest stock
on the list was Union Pacific ommon, which
made a net gain of az points upon trans
actions aggregating nearly ~one-fourth OF
the total dealings in the market. The cur
rent impression seemed TO be still very
strong that not only within the next few
days will the Great Northern Railway Com
pany's distribution of stock in connection
with its lease of ore lands take place. but
that the Union Pacific Railroad C~ompany's
annual report may he expected at any date.
showing an intrenched financial position
of the company which abundantly warrants
the 10 per cent. dividend rate authorized
for it's common stock a few months since.
The chara c~teristic Of the stock market,
taking the week as a whole, has been a SEN
sationsI upturn in the course Of values.
accompanied by a considerable but not an
altogether proportionate increase of OPP
timistic sentiment in the financial district.
At the close OF the market on Monday the
price of the tandard railway stocks was
but very little above the lowest level touched
since the beginning of September, and at
the end of business to-day the average
price Of the same stocks was the highest
Of the year. This pronounced upward
movement in the market has been due
chiefly, no doubt, 10 heavy buying of Sc
~curities by large professional spectators
and by financial powers Of the first rank
rather than TO any general remittance into
the market on the part of the outside public,
but it ia fair TO say, nevertheless, that all
developments during the week bearing
upon the market nave been of a genuinely
hopeful and encouraging nature The
Bank of England has succeeded in build
ing ND its depleted reserve far more rapidly
than was looked for a few days ago. 1t
reported on Thursday a surplus almost
up to the normal avera ge for the time Of
the year, increased it's gold holdings to-day
in the sum of nearly S4,OOo.OOo and is ex-
pected on Monday to secure without diff
Guilty another S .OOO, 900 in new gold due
10 arrive from South Africa. In conse-
quence Of this a really buoyant tone as COM
pared with the past feeling of discourage
ment and uncertainty has come 10 prevail
in the London market and all fear among
~hnanciers on the other side of an advance
before January 1 in the Bank of England's
discount rate has vanished. Locally,
money rates have steadily declined since
Monday, and New York exchange in the
interior cities has risen TO a premium
that indicates a return Of money from
the agricultural districts. this movement
s - 49, -.
balance for the first time since August
b. the Clearing House banks in their trans
actions with the interior institutions. The
large and voluntary increases Of wages by
the railway companies and other corporate
organizations have allayed anxieties re-
garding the possible labor disturbances
and are regarded as an extremely helpful
symptom concerning general ~nancia af-
fairs. The Governments foreign trade
statement for the month of October shows
an excess of exports over imports for the
month larger than any but one recorded
in a corresponding period for ten years
back, and reports Of railway gross earnings
have gone on mounting UP to new high
record figures. A current criticism Of
these railway reports has been that the
increase of railway net earnings has been
small as compared with that of the gross
revenues; but the truth about the matter
appears to he that all the great railway
companies of the lands finding IL difficult
to borrow money enough for their needs
owing to the state Of the money market.
have been diverting enormous sums out Of
earnings to the improvement Of their prop
critics and charging the expenditures to
operating expenses. The state OF the
money market seems. indeed. the only
bar TO a further advance in security prices;
and it is well. perhaps. for spectators to
bear in mind that in times past when the
monetary ~stringency in the fall Of the year
has been the chief financial influence felt
a modification Of these conditions in the
month of November has often proved to
be but temporary and has been followed
in the final month OF the year by a further
advance in money rates and by recessions
in stock market quotations.
New York stock Exchange Sales Nov. II.
CLosIsu rHIcAs % UAIrkD STATES BONDS.
usrK.Iola 1915 ,sr new. 3o1 isi