The Washington herald., 1906-12-16

New York Dec. 15.-There was a con-
tinuance to-day of the upward movement
in prices in the security market that set
in SO sharply yesterday. and further gains
OF a point or more were made by the prin-
cipal stocks.
The rise was helped materially by the
publication of weekly bank statement
that was much more gratifying than had
been generally hoped for, although it still
left the bank surplus at deficit This
favorable result was brought about by
another large diminution in bank loans.
the fall IN the item running to more than
S17 100000. and as the cash held by the
banks increased S1.224OOO. the surplus was
enlarged by S5,0OS,125, leaving a deficit in
the total surplus Of 1883, ,050, as compared
with last weeks deficiency OF S6,702,175.
Presumably this reduction of bank loans
was brought about in the same manner
as It has been throughout the entire fall,
mainly By a transference of loans to the
books Of out-of-town financial institu-
tions The report Of the condition Of the
trust companies in the State, recently
published. showed that these organiza-
tions had not extended help to the banks
in the matter Of taking over loans in the
same degree that they have in previous
years, or as much as was commonly cred
tied to them IN the general financial dis
cussion. There has been to some extent
in the last month a retransference OF
speculative accounts from this city TO
London. owing to the improvement in
fna ncial conditions I'm England that has
set in since the Bank OF England made its
6 per cent discount rate effective. It is
obvious. nevertheless. that it is by the eX-
pausion of credit in the interior Of the
country that the local banks have man
aged to pass through the trying period
since the first Of September
Strength in Union Pacific
The advance in the market to-day was
without particular feature, though the
strength in Union Pacific stock was, per
haps. more noticeable than elsewhere.
Proft-taking vas noticeable in the Mexi-
can Railway Issues. following the definite
announcement Of the successful conciu-
sion of the governments plan for the
practical consolidation Of the Mexican
Central and the Mexican National Rail-
way companies.
The Northern Pacific and Great North
ern shares displayed somewhat more
residence to-day than they did yesterday
The curb market was stronger than il
has been for a considerable time, being
buoyed up especially by further vic
lent advance IN Greene Copper stock. con-
seQuent upon the news to-day officially
promulgated that the control of the
property had passed into the hands allied
with the AmaIgamated Copper interests.
Closing prices In the general market
to-day were a little under the best on
profit taking.
Holiday business throughout the coun-
try is, Of course in full swing at the
moment and all stories agree that ii was
never conducted on more active scale,
while the same statement may still he
made regarding all lines of commercial
and Industrial trade. The tendency noted
one or two weeks ago toward a de-
crease in railway gross earnings. as well
as in net revenues. is more strongly in
evidence. the general reason for this ap-
pcaring to be that these earnings are
now comparing with the extremely large
returns OF a year ago, and should this
tendency go on developing it Is conceiv-
able that il may become a stock market
factor of some Importance.
According to all analyses of the matter.
tha falling off is due 10 d shTinkage in
the movement Of grain. live stock, and
the like; but just why this should occur
IN view Of the seasons enormous crops.
unless the well known fact OF the exist
ing car shortage IS At the bottom Of the
trouble. seems a little puzzIing.
staple Products Are Higher.
Prices Of staple products. it is to be
observed, are about the highest Of record,
ana the movement Of merchandise out
Of the country continues all that coul-
be asked. The governments statement
of the November foreign trade was not
quite as brilliant as for the preceding
month, as owing chiefly 10 a relative in
crease in imports. The excess Of exports
FOR the month was So. .S19.5 as com
pared with 6OI in November, 1905
Foreign taklngs Of cotton in the month
were never exceeded but once before in
any one month in the countTy's history
but the gain here was Offset by a falling
OFF in exports OF breadstuffs. meat prod
ucts, and the like.
In the commodity markets the event of
the week was a violent drop in the
price of cotton caused by a government
estimate of the seasons crop Of 12546, COO
bales. 1t is now admitted that the out
put Of the cotton crop this year VIII out
run the calculations generally made two
or three months ago. The damage .
the crop by storms in the early fall IS
chiefly directed as turns out against the
quality Of the crop rather than its guam
tity.
Sterling exchange has been constantly
depressed during the week, owing to
the continuing high rates for the use
OF money. and gold imports could un-
doubtedly be easily arranged if it was