New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1906-05-28
MONEY RATES FIRMER
BANK RESERVES LOWER.
HeaUinesS an Stocks Early an Week
FoIJOred by Recovery.
THE WEEK IN WALL STREET.

Dulness in trading and depression in prices
marked the course Of business on the Stock Ex-
change in the early part Of the week, but in
the closing days dealings increased, while values
enjoyed pronounced Improvement, the final level
for the leading active railway issues averaging
more than l2S. compared with 1850 week ago.
The large falling off in transactions in the first
days OF the week. and the success Of bear opera
uons were due to the unfavorable sentiment Gre
ated by the reports Of damage to winter wheat
by the attacks on Pennsylvania stock, which
were induced by the trading elements dislike Of
the cOmpary's heavy borrowings. and by the
dlsagreeable revelations brought forth in inves-
legations Of various corporations. Perhaps these
influences were modified toward the end of the
week. but the chief reason for the Improvement
in values was aggressive attack against the
short interest by powerful spectators and the
concerted movement on the part Of substantial
interests TO bring about a higher level OF quo
tations. Inasmuch some of the most influen-
tial Wall Street men are loaded UP with stocks
and are involved in underwriting syndicates to
large amounts. IL is reasonable TO suppose th1t
they will do everything in their power 10 en-
courage higher prices for securities in order TO
make good market for the distribution of the
new stocks and bonds which have been author
lied in the last six months, but which in great
part are still In the hands of underwriting syn
oicates. The upward course of values was most
pronounced in the anthracite coal shares. IN
which there appears TO be considerable manipu-
latiOn. Lackawanna sold at a new high record
price, at 560 and Reading reached a level IS
points above the low figure recorded in the re-
cent Frisco slump. while the Erie shares, Della
ware & Hudson, Jersey Central and Ontario &
Western also enjoyed marked improvement AL
though there was a slight increase in commission
hone --l1y HlGra
was no widespread public demand for securities
Conditions in the local money market, and. as
a matter of fact. in the markets throughout the
country we'll as abroad are much stronger
than they were few weeks ago. Indications at
present point toward period Of relative ease
Tor some time 10 come, though higher rates
may develop If the speculative markets should
run into q bull boom, of which, however. there
Is not at present the slightest sign Bankers
are not in favor Of great activity in stocks just
now, and according to the belief of many Wall
Street observers there will be sustained
movement on either side of the account until it
can be ascertained definitely how the years
harvests are to turn out And it will be tmpOs-
sible 10 know this until August, at least In
the mean time bankers will endeavor TO ac-
emulate large supplies of money in expecta-
ton Of big crops and a large demand for ac-
commodation in the fall incident TO the financing
OF The needs Of the agricultural community.
Inc reopening Of the San Francisco banks with
OUT the accompaniment of disturbance was. of
course one Of the most encouraging develop
H-eAIs OF the week in money and IT is now be-
HeFed that the emergency fund OF upward of
S4oooCOO, which has been received at San
Francisco from the East in the last few weeks.
soon VIII be returned to New York in part at
least and serve 10 increase local bank reserves
10 material extent. The great part of the
gold engaged abroad for shipment to this coun-
Try has been received, out OF the aggregate Of
SJ0oOO000 taken for import less than $1,000
90 remaining TO be accounted for. Conditions
in the foreign exchange market do not encour-
age the expectation OF additional imports of
the precious metal at present. and II is not be-
Neved that the necessity will arise for further
assistance from abroad until the fall when in
the event OF large crops. there doubtless will be
a call on the foreign banks for further shipments
OF gold 10 this side OF the Atlantic. Local bank
ers' however. are figuring on gold Imports
though not needed, in the next few weeks
The placing Of a large Pennsylvania loan
abroad and the willingness OF foreign bankers
TO become more heavily interested in American
securities. while rejecting the splendid credit
TINS country has in Europe. suggests the idea
mat large corporate borrowing in the United
states mas Tor the time reached its limit. and
mat local bankers no longer are disposed or able
/ 10 extend accommodation TO the extent demand
/ cd py the voracious appetites OF railroad com
paihes fortunately for borrowers there is an
iiouS supply OF capital in Paris. apparently
fe@oy Tor lending purposes here, and there is
! no doubt regarding the wisdom of French hank
ers In placing their money in the United States.
Dut II Is serious question in the minds OF
many people If our American corporations es-
peciahy the Pennsylvania, are not increasing
their obligations to point that eventually viii
react with no small amount OF Inconvenience ia