The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-11-25
FINANCIAL AND COMMERCIAL.
SATURDAY, Nov. "a.

SATURDAY, Nov. "a.
II was az hard to assign reasons for the
decline in the market to-day IA IL Vas some
time previously 10 detail sufficient and
abundant causes for an dvance There
was no bad rows from any quarter and the
weekly bank statement was, IL anything,
more favorable than hal been looked for;
vet prioss OF stocks were continually weak
throughout and at the close Of the short
session Of the Stock Exchange had fallen
more than on any day thus far since the
rising movement in the market began two
weeks ago. From a speculative point of
view, Of course, the reaction In the market
that has occurred is no moro than natural
after the violent a. vance in quotations
in the period just described. During this
timethe st. Paul common shares. for instance,
have risen twenty points and Union Pacific
common eleven, with gains of a like char
actcr recorded in many of the principal
issues. Tha st. Paul stock should recede
eight points and Union Pacific tour on profit
taking should not be a matter OF great
surprise. II is nodoubt true tina an adverse
factor in the market in the last few days has
been the recession in the Great Northern
preferred and Northern Pacific stocks.
following uTon the Official promulg ation
Of the EewS that the certificates representing
p the beneficial interest of the Great Northern
stockholders in the ore land lease Il the
United States Steel Corporation were to
be issued at an early date. Uncertainty
has arisen and seems likely to continue con-
cerni1y the exact value of these new GER
tificates, inasmuch as their interest return
appears to be largely based upon the vary
ing quantity Of ore that may be mined
each year by the lessees Of the land. If
these lessees take out the minimum quantity
provided in their contract the financial
yield to the holders of the certificates will
he small for some time, although il is sup
posed that the Lake Superior Corporation,
that is to say, the subsidiary organization
of the Great Northern Company owning
the lands in question, is already in a posi-
ton from its possession OF cash profits
proceeding from the working Of the lands
in the past to make at once a considerable
distribution. On the other hand, il the
lessees choose to taxi out Immediately the
maximum quantity Of ore they are entitled
10 take the profits Of the lease to the Great
Northern shareholders will be correspond
inRly large. The point has been raised,
however, in discussion in the financial
district, whether lenders Of money upon
the present Great Northern Railway pre-
ferred shares will consider the new certif-
Gates as equally good collateral as the
existing stock, and will or will not require
additional margin to be deposited to secure
loans upon the stock after new certifi Gates
are issued and Great Northern stock sells
with the market price Of the new certificates
deducted from it.. There has certainly
been no change for the worse in the money
situation. inasmuch as call money rates have
continually tended to a lower level and
time money rates have not advanced. SO
far as monetary conditions on the other
side Of the Atlantic are concerned they
have steadily improved, owing chiefly TO
the release of gold in large sums by French
bankers for the use OF London. The very
considerable total Of money thus received
in London during the week from France was
increased to-day through another shipment
from Paris to London OF 81 10000 in Ameri-
can coin, and the sank of England has been
gaining recently 81 900, 600 or 10000 a
week from its purchases Of gold sent to the
British capital from the South African mines.
To-day's bank statement was encourag-
ing, as although loans increased $4,O75, 600
and it was the first time for several weeks
In which an enlargement OF the loan ac-
count had taken place bank cash enlarged
nearly 5000, 900, or in a sum six times
greater than was estimated yesterday,
50 that an addition OF more than 81, OOO, 900
was made to the bank surplus, making
the total net surplus 81, 403, 425. This favor
able report, how YER, was without market
effect. The liquidation that was already
in Progress went on just as briskly after the
bank statement was published and prices
Of stocks closed only a little above the
lowest Of the day. The Missouri, Kansas
and Texas common shares were again firm,
as they have been during the week. There
have been no financial de velopment in the
week OF a nature to afford ground for pessi-
mism. In the stock market proper wids
ate has been attracted by the upwSra
movements in particular stocks for SEEM
inglv special reasons, such particularly as
in thu Delaware and Hudson shares; and
In ths world Of general business, aside
from a further array of general indications
testifying to tn, health AMI soundness
OF mercantile and industrial prosperity, the
matters of chief interest have been the
announcements OF increases of the wages
OF employees by many great corporations.
New Yark Stack FxChanxa 1ales Nov a