Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-01-28
THE LONDON MARKET
SCARCITY OF MONEY CAUSED
GENERAL DULLNESS.

Speclat 1aDleSram 10 ne star.
LONDON, January 27.-Nothing really
important and interesting has happened in
the stock exchange this week The scarcity
of money has occasioned dullness in most
of the department and the price tendency
has been toward a lower level, though not
heavily so. Coasols and most of the asso-
ciated home and colonial government secu-
rites have been almost neglected and close
about where they began Monday. For
eigners have also been quiet and prices as
a rule have been maintained with difficulty.
Exceptional weakness attached to Japa-
nese bonds on account of the alarming re-
ports about the famine and the news that
opposition had developed in the diet to the
finance minister's proposals touching the
war taxes. The city editor of the Times
thinks that there is no cause for bond
holders to be nervous about the famine. but
with reference to the other matter he re-
marks: The opposition to proposals for
continuing the war taxes and establishing
a debt consolidation fund is serious.
at is obvious that great effort will be
necessary TO enable Japan to bear the finan-
cial strain following the struggle from
which she emerged triumphant if this ef-
fort is not made with the cooperation of
all parties. The task OF her financial ad-
visers is extremely difficult"
British rails, in spite of the excellent dyi-
dend declarations, have done poorly, most
of them recording small price declines. At
the close Americans continued firm and as
a rule advanced in price.
This market is governed almost complete
ly by the operations in New York.
Mines are weak and very dull.
Smaller Volume of Business.
By Associated Press.
LONDON, January 27.-The volume of
business during the week was smaller. the
elections occupying the attention of in
vestors while the uncertain foreign political
outlook acted as deterrent of speculative
activity. The stringent rates for money
also dampened the ardor of operators and
prices for the week were rather lower.
There was no inherent weakness, however.
ConSols kept steady, too, owing to the
gradually strengthening position of the
Bank of Englands gold reserve, while to-
days market grew firmer on cheaper money
conditions.
The foreign section, in the absence OF
continental support, caused sagging ten
dency. VeneZuelans weakened owing to
the situation with France, and Russians
weakened because of the short-terms treas
ury bills reported to be offered here falling
to find acceptors Japanese ruled steady
early in the week, but dropped when the
budget was announced, and weakened fur
Their on the opposition in the japanese diet
in regard to the war tax selling reported on
American as we'll British account. Home
fdllS surprised the tUdrheI with iHEIedSSO
dividends, which induced fresh investment
purchasing. Americans experienced slight
expansion on public support, which, to-
gether with the usual professional opera
tors, kept the market lively. The fiuctua-
lions were wide and erratic. The result for
the week was the loss of a few points for a
majority of the issues, Denver and Rio
Grande however, closed five points and
Norfolk and Western four points higher.
Todays strong market was due to sup
port in anticipation of good bank state
ment. Canadian rails weakened on snow
storm reports and closed lower, the grand
trunk traffic return only having tenn
porarily strengthening effect. The dearness
of money was attributed to stock exchange
settlement requirements. repaying loans 10
the Bank of England and to the joint stock
banks increasing their branches.
1t is anticipated that money will not be-
come easier until the Bank of England has
further strengthened its reserve, which 1t
is expected will be some accomplished with
the return of cash from the country and the
prospect of securing gold arrivals now that
foreign exchanges are high It is reported
that s5.00o,o00 in gold was shipped from
India to London today.