New-York tribune., 1906-09-27
STOCK MARKET OPERATIONS.

Transactions in yesterdays stock market were
moderately heavy while the movement of val
ues after irregularity in the morning, changed
In favor Of higher quotations last figures show
ing net gains in many Of the active shares. In
Baltimore 81 Ohio, Brooklyn Rapid Transit. Con-
solidated Gas, Pennsylvania, Reading and
Southern Pacific. OF the active issues. net i'm
provements were recorded. while as compared
with the low prices Of the day about every stock
on the list presented substantial gains The
selling in the forenoon came in great part from
board room traders, who based their operations
on the theory that the Hearst movement would
tend TO induce investment liquidation, but trans
actions Of this character failed to influence in
vestment sentiment. while the announcement
that Mr. Hughes had been nominated by the
Republican convention naturally increased con-
fdence In all circles over the final outcome OF
the present political uncertainties. Wall Street
doubtless TO a man, will support the Republican
candidate. and this support may be a most I'M
portant factor in determining the outcome OF
the state election There Is no reason, however
why the Hearst campaign should upset the Wall
Street martets and it is likely that In the course
Of a few days financial circles will realize that
even the success Of the Hearst movement would
not endanger the future value of American in
vestment securities. Union Pacific was among
sponses 70 the upward movement, its last quota
ton showing but fractional Improvement as
compared with it's low figure, with a net loss for
the day Of per cent. Further gold engage
rnents were announced. but time money contin-
ued scarce, though call rates were relatively
easy
The consolidated statement Of all the ma
tional banks OF the United States affords evi-
dence Of the necessity Of action by the Secretary
Of the Treasury to relieve the money market
Unfortunately, present adverse money market
conditions have been brought about by over
speculation IN Wall Street. but conservative
bankers believe that the government ought to
come 20 the relief OF the situation in order TO
prevent serious trouble in the position of busi-
ness in the United States. There is no prospect
Of easy rates for loans; indeed the outlook Ia
vors higher quotations for funds, even with as
sistance from the Secretary Of the Treasury
National banks throughout the country, IN their
last statement TO the Controller OF the Cur
| rency, reported increase in loans since Au-
gust 20. 1905, Of $500. $4,000, an Increase in
individual deposits Of S379. .257, 900 and a de-
crease in cash Of 39,540,0OO. This showing GER
! tainly does not encourage the idea that none
tary conditions In this country are working in
| favor OF stock market specuators yet Wall
Street believes that further active speculation is
warranted by the strength Of business condi-
tlons' forgetting, however, that the current
business situation is in some danger of collapse
owing to the difficulty experienced by mer-
chants in obtaining loan accommodation
| Reserves Of national banks throughout the
| country are low, while abroad bank conditions
are unusually unfavorable for this period of
the year. Last weeks advance in the Bank of
/ England's minimum rate Of discount may be
! followed by an increase to-day and If the de-
| mand for gold from the United States continues
Gctive foreign bankers doubtless will adopt meas
ures to prevent further shipments OF the
! precious metal to this side of the ocean Fu-
/ rope cannot at present afford to send LARGE
sums Of gold to this country, and in view of
I this fact the federal Treasury doubtless will
/ place in the channels OF trade an amount Of
/ funds which viii serve to finance the REQUIRE
/ ments Of our great Industrial prosperity It is
/ TO be hoped, however, that Mr.. Shaw in placing
! FUNDS with national banks. Will do so on the
distinct understanding that an effort will be
made by banking interests to restrain specula-
uoh IN securities and Overstimulation In trade
Ahere Is no good reason why government funds
should be turned over to stock market gamblers
! though there is adequate excuse for government
ald Tor legitimate business at time when
| trouble develops through weakness in our Cur
rehcy system. 1t is believed that the scc-e
| IAfy VIII either deposit large sums with M
uonal banks or else pay In advance government
| po!4us Whlch lall due next Julv and This tIea
0'ui"4' 'ehus 10 promote confidence In bust
I MSS circles. Whi4e naturally it serves to raise
/ committed TO the bull side of the Tnari-a, '''S