The Montgomery advertiser., 1906-11-13
THE STOCK MARKET
CALLING OF LOANS FORCES HE
 SELLING.
No Source of Replenishment of Cash Avail able and Reduction Of Deposits by Scaling Down of Outetandlng
 Credits the Alternative.

New York. Nov. 1.-The money situation The dsterminsd sbstentIon from operstioSs In the market which was feature of last week gave place to some Iidui3 i3atiOn. As the demand continued as torpid as last week. the selling was effected only at con- sessions which were substantial in stocks where previous speculation had been active. The compelling influence in the selling was the calling of loans necessitated by the de- ficit in the legal Preserves of the banks source Of replenlshmsnt of cash is avaiiable yet and reduction of deposits by scaling down Of outstanding credits is the aiterna- on for repayment seemed reluctant to part with their holdings and their efforts to se- rate up to twenty per cent. early in the day The local banks were said tsr be out of the money market entirely and funds were available only from The trust conpa- nies and out of town lenders.
 tho loss Of cash by the banks disclosed by the bank statement may bf due to the withdrawal of cash by tke trust companies. These institutions under legal require deposits in actual eash n .heir esr' vaats % hs as they have not been In previous years. It Is believed that the bank loan contraction has been taken over largely by the trust companies, This woult necesSitate an Increase of reserves in the.r case in the, pro portion of four per cent. instead of in the proportion Of twenty-five as in the case of the clearinghouse Institutions The strin- gency tn the money market Was aggravated by the maturity of au instaliment of abous half the subscriptions Ht par to S25. .D00, GOO of St. Paul stock. which therefore called for the provision Of about 12,e00,0aO.
 Operators fn stocks were somewhat His- furbed by the explicit assertion of the Sec- retary of the treasury that he would take no measure of relief for the money mar kst in present conditions The repetition of the announcement today was that, after Wall Street that early steps would bs taken to replenish the money market in spite of the disclaimers of the treasury. 1t is re- coRnized as out of tha question to bring about an easy condition in Wall Street. ex- cept hy carrying foreign markets With this to a toweE interest basis Any marked - is- to an outgo of gold to assist the struggle of the London money market to adjust itself to tot the heavy coming requirement Of the settlement began in Isondon today and carry over rates were again stiff rate of nine per cent. being reported at one time. The rates for, sterling exchsnge had declined nevertheless, under the influence of the stringent money market ana free offerings
 Discounts hardened in London ane Berlln. but the bank of England secured a large consignment of south African gold newly arrived in London. The decline in prices of stocks gave some additional point to the discussion of the labor question which Is going on either by voluntary advances by many corporations or demands from labor organizations. Not much apprehension was expressed of strikes in spite of the progress men on the question of going out. The reports of the prosecution In preparation against the Standard oil Company of an in- tended Investigation Of the Hartman rail- road combinations by the Interstate Com- merce Commission. and of rumored recpm- mendatfons in the forthcoming message Of the President were Informations in the days discussion and had soIns influence on the depression.
 The considerable part played by short selling buyers was Indicated by the reoov- cry In the latter part of the day due to cov- eriHs of short contracts.
 The closing was firm at the recovery Bends were easy. Total sales par vaiua S2, 1sS.00o. United States bonds were un~ changed on call
 CLOSING STOCK HIST.