The Birmingham age-herald., 1906-10-03
STOCKS FAIL ID
 MAINTAIN THE PACE Surface Conditions Seemed to
 Favor the Market MONEY MARKET RELAXES The Cotton Carrying Railroads Were Among the Strong Features of the Day In Spite of Ad-
 verse Report.
MONEY MARKET RELAXES

New York. October 2.-The stock mar ket did not maintain the brave snow or strength with which it started out to- day, although surface conditions were Tn favor of the market. This was particu- larly true of the money market whlch continued to relax both in the rates Tor time loans and for call loans. The pre- mium on time loans for over ninety days has practically disappeared. In the call loan department even yesterdays mod crate stiffness measured by the early per cent rate was contrasted with re- striction within the per cent limit TOT early transactions today. Forebodings or a possibly deferred effect of the heaVy October requirements were thus uls- proved The dimensions of these requlre- ments was indicated by the enormous clearing house exchange between the banks today, the total rising to $54S,olO,- 732. compared with a record days clear ings of January of this year of $6S6,- SH,s90. On only two other occasions ana that during the great financial operations in the railroad world which precipitated the panic in 1901, have today's exchanges at the clearing house ever been exceeded. The skill with which todays great op- erations were arranged is indicated by the small excess over the average in the days cash balances, which amounted to but s16.74S,776
 This evidence of the important work al ready effected, and the escape of the money market from serious consequences in the doing of it, were considered very encouraging as to the money outlook. Yesterdays payments of taxes in New York amounted to s20,OOO00o, and early repayments of temporary indebtedness Of the city is looked for as consequence. The weekly statement of the Imperial Bank of Germany reflected the strain of the October settlements on that mar ket also with a decline in cash holdings of upward of $42,00o,ooO. an increase of loans of s63, ,2O5 GOO, and an expansion in the Outstanding note issues of the bank of sS0,7S5.0 900. But these figures also repre- sented work already accomplished, and the private rate of discount receded in Berlin today. In London, however, it advanced, and the expectation became more general that the bank rate will be advanced on Thursday, probably full l per cent to per cent to put check to the outgo of gold. This was in reality the only feature in the situation on the money market side to account for the hes itating tone of the stock market. The easier tone in the money market is at tributed to some extent to the release to the market of funds which have been withheld waiting for a rise in the call loan rate. The small promise today of a high rate for call loans prompted the placing of some of these sums of money in the time loan market with appreciable effect in easing it's tone
 The government report on the condi- ton of cotton was not considered favor able, the more so as the effects of last weeks tropical storm and damage to the crop came after the period of the esti- mates on which the government report was made up. But the cotton car rying railroads were amongst the strong features of the day Ex- pectation of an announcement of the lore deal' during the day played large part in the speculation, the United States Steel stocks hardening and the Hill stocks moving irregularily. The