The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-04-15
FINANCIAL AND COMMERCIAL
SATURDAY. April a

SATURDAY, April IL.
There was a vigorous continuation
throughout the entire Stock Exchange ses-
atou to-day Of the improvements prices Of
securities that eet in toward the close Of the
market yesterday. All indications pointed
TO 4 very favorable bank statement, n
tho feeling was general that the money
stringenoy was over. Especial strength
in A~lmagamated Copper was perhaps the
feature Of the dsy's market, although there
were few stocks that were laggards In the
advance. Tho rise In prices was not, natu-
rally, as greatin to-day's two hours Of trad
ing az 1t was yesterday, and comparative
heaviness was noted In tho Consolidated
Gas, Reading and Baltimore and Ohio
shares. There Is still, Of course, unoera
tainty as to the rate at which In the near
future dividends viii be paid by the Com
0oAdatsd Gas Company. Tho signs OF the
moment are, IL not for a strike, for q rather
indefnite suspension Of labor by the anthra-
oite miners, which has q tendency To check
speculation for the rise In tho hard coal
stocks, while speculative sentiment still
diSplays no enthusiasm over the Baltimore
and ohio's issue Of S27, 500 700 new common
stock. But these matters did not abate,
In any way deserving Of mention, the pre-
vating feeling Of immense relief that the
streas In the money market had passed n
the current optimistic views concerning
prices Of securities based on the oountry's
magnificent business prospects. The bank
statement proved to DO in every way as
favorable as had been looked for. The
, oaah holdings Of the banks increased, as
anticipated, nearly 81, 1000, 900, and owing
to q decrease In loans Of SIS, 1000, owing
mainly, doubtless, to foreign extensions OF
credit, tho institutions reporting to the
Clearing House were enabled TO exhibit
San increase In surplus reserve Of 1883 900,
bringing the total surplus to S4,772, 500, as
against last weeks deficit of g. 1850, 900.
After the publication Of the bank statement
buying Of stocks In the market was renewed,
fnal prices being almost invariably the
highest Of the day. Cheerfulness regarding
the situation was materially increased
by the announcement Of the Secretary
Of tho Treasury that he would advance
on proper security sums to the amount
OF 5000, 900 to any bank in case OF
engagements Of gold for import by suoh
bank to an amount equal to the advance
made by the Treasury. This is In effect
an allowance of interest charges on gold In
transit to this country for the account of o
national banking institution, and Of course
makes gold imports much easier to under
tabe. Following this announcement IL
o stated that W. local national banks
had engaged $1,000, 900 in gold In London
for import by reason OF the additional
facilities granted, and the fact also became
public that thu Secretary Of the Treasury
had increased deposits Of public money
with the banks here by $1,000, 900. The
Seoretary's action In the matter Of allowing
interest TO the banks on gold imports seems
eminently wise. and although it makes a
precedent in such matters in this country,
it merely follows the presidents set by all
the great national banks in foreign lands.
1t may be urged in criticism OF the Score
tary's step that the allowances as made
abroad were made in each case by the ma
tional banks rather than by the Govern
ment; but it has come to pass in this coun-
try that our Treasury Department, in fact
liz not In name. fulfls many Of the functions
that the national banks do abroad. In
order to encourage gold imports these
banks allow interest on gold engagements
made for the general benefit of their coun-
try; and there is 10 reason why the same
custom should not be followed In our own
land. The custom is clearly much better
than the one that has hitherto prevailed
Of etraining the definition Of what consti-
tutes bank reserve requirements where
gold imports are concerned. The letter
of the statute is that every bank m each
Of the principal reserve cities shall at all
times have on hand in lawful money Of the
United States an amount equal to at least
IS per oentum Of the aggregate amount OF
ifa antnR IN ejaculation md ifa dannaifa .
Nine-tenths Of the gold engaged for i'm
port is in bullion, and this is by no means
lawful money of the United States, nor
can bullion or any kind OF money in Europe
or on a ship bound for this country be said
to be sin hand by the banks that have pur-
chased it. The ruling OF the Treasury
now made presumably does away with
former practices of this kind.
The strength Of the stock market in the
latter part of the week contrasted wildly
with its depression in the early part Of the
period, and while at the close Of the market
to-day it could not be said that there was
an absolute concerning the
immediate future Of values, it was yet evil
dent that confidence in the market was
pretty well restored. The market was
wholly Influenced during the week by the
iuOhCy elbudtiOu. VO dbLCLllOh NlhVSNcT
waspaid to the state Of affairs in the bituIni-
nous GOAL mining section, n indeed it
appeared to be demonstrated that the labor
difficulties there were pra ctically at an end.
Discussion still went on between the anthra-
cite operators and their men. and while,
az has been stated, this at the end Of the
week had reached no conclusion, it WIS yet
the judgment Of most people taking an in
terest In the matter that an agreement
would be reached by the parties in the
controversy at no very distant date. The
Government crop report issued on Tuesday
was heralded as an adverse financial factor
by certain interests committed epecula-
lively for the decline, but such a construc-
ton Of the report was totally mwarranted,
i~naernuch as the figures indicated a pro-
duction Of winter wheat surpassed but
once before in the country's history. A
vital development Of the week was renewed
activity and a fresh influx OF buying orders
In the iron and steel trade. One Of the lead
ing iron and steel companies raised its prices
for steel rails for next years delivery, and
thA Jron A1p'a comnilation of MIC iron alta