Los Angeles herald., 1906-01-06
BY Associated Press.

NEW YORK, Jan. 5.-The strength of
the stock market today showed less re-
straint than at any time this week. The
relaxation in the money market was more
pronounced than since the turn of the
year. There was much calmer view of
the Significance of recent remarks by
Jacob H. Schff, foretelling the greatest
panic in history unless some change was
affected in the prevailing currency sys-
TEN. This revised view was due not
so much TO the qualifying phrases found
in the full report of the speech against
the intention to imply a danger of i'm
mediate disaster as to q ripper considera-
ton of the conditions of the address
1t was realized that the sagacity of
experienced bankers would prohibit the
issuance of a note of alarm at a time
of actual strain and danger which would
aggravate the danger. 1t was reasoned,
therefore. that the choosing of the pres
ent for giving his warning implied Mr..
Schiff S conviction that the time of actual
danger from the condition of tension IN
the money market was now passed
The stress laid upon the agitation for
railroad legislation as an undesirable al
tentative to the desired measures for
current reform also indicated a strong
special motive for the matter of the
bankers address.
AS speculative sentiment received quite
a shock yesterday in the first perusal
of the first bulletin of the address there
was a corresponding reYulsion in Senti-
ment today. There seemed to be a con-
siderable demand to cover shorts on the
part of the bear operators who sold
Something was made of the fact of Mr..
Schiff's contention that the inconVeniences
in the recent money market We're not
to be attributed to excessive speculation.
The active and vigorous support of
Union Pacific was given special signifi-
canoe as a reflection of the market :
attitude on the banking interests from
which yesterdays warning came. The
copper stocks rebounded violently from
the fierce raid made upon them yesterday
and so relieved the market from one
of its principal factors of depression.
The forecasts of the cash changes of
the week showed very large move
interior. The margin of the receipts on
balance over the losses on account of the
absorption by the sub-treasury and the
Withdrawals of gold for export, the latter
items amounting to $3,29SOOO, was esti-
mated at $20O0,000 and upwards.
The precedent Of former years warrants
to New York from interior points will
continue on Il large scale for several
weeks to come Money was offered for
loans on calls much more freely as a
consequence of these conditions and from
the early high rate of per cent was
forced down after active demand for the
day had been satisfied to below per
cent
The easing of the money rate was fol-
lowed by an advance in foreign exchange.
Sterling exchange at continental points
moved against London and the transfer
of this pressure probably had it's part
also in carrying up the sterling exchange
rate here. The firmness of British con-
soils, however. had the effect OF re-
assuring sentiment over the European
political outlook.
Pending meetings for the consideration
of the dividend action were the grounds
for some of the special movements in
prices, notably in Union Pacific. Anal
gamated Copper and American Locomo-
tive.
The sharp rise in the Kansas City
Southern stocks was in connection with
rumors of absorption for control in the
interest of st. Paul.
Light selling to take profits during the
last hour was absorbed easily and tho
final spurt in Union Pacific carried the
market TO strong and active closing.
Bonds were irregular. Total sales, par
value, $3,655,000.
United States bonds were all unchanged
on call.