Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-01-21
THE LONDON MARKET
FALLING OFF IN BUSINESS AND
DROP IN PRICES.
Special Cablegram to The Star.


LONDON, January 2O-The stock ex-
change early in the week acted as though
it did not like the way the general cleo
ton was going, and there was a decided
falling off in business and drop in prices
in those departments chiefly concerned in
the socialistic character of the new parlia-
ment. This condition did not last long, sec
ond thought suggesting that If there is
danger to the financial interests in the
labor and socialistic elements In parliament
it is for the present very remote and in
definable and hardly worth immediate
worrying. so it has happened that nearly all
the declines at the beginning of the week
have been made good and the close as a
rule, has been at prices above those of
last week.
The only real adverse circumstances now
affecting the market is the sudden Tightening
of money, due to the banks sweeping the
supply off the street. This action led at
once to higher rates Of loans and discounts
and It is not easy to predict how long this
money stringency will last but the general
expectation is that next week will see the
end of it. The only departments that
have not done fairly well this week are
those of Home Rails and Mines, In the
former there has been more declines than
advances and in the latter there has been
considerable discussion due to the position
of the government with reference to Chinese
labor.
American Rails have been strong, and at
the close show decided gains.
Consuls and Associated Securities are firm
and slightly higher than week ago. For
eign governments are decidedly better than
last week. due chiefly to the more hopeful
view on the continental bourses OF the
situation in Russia and Algeciras confer
ence.
Foreigners Irregular, Americans
Active.
LONDON, January 20.-The activity on
the stock exchange this week was some
what checked by the general election, but
moderate investment purchases of first
class securities kept the market steady
Consols improyd, owing to expectation nat
the liberal government will provide a sat
isfactory sinking fund, while the improved
showing In the bank statement and the
reduction of the German bank rate gave
the necessary tlllip to investment buying,
which hardened quotations generally and
impaired firm undertone.
Foreigners showed irreguarity, Paris be-
ing more interested in the Moroccan confer
ence than in operations here to any extent
Russians weakened early in the week on
the unfavorable budget returns, but hard
conditions in the interior. Peruvians re-
ceived much attention and advanced stead
lily, owing to the satisfactory negotiations
on the continent for loan. Home rails
were most effected by the elections, but
Great Eastern and Brighton were bright
spots, the stocks of these roads jumping
sharply and Unexpectedly on better divi-
dends.
Americans were active Later specula-
ton bfoadened out principally in coalers,
and auth ugh several reactions occurred.
due to profit-taking. the net result was
rise for the week in the active issues, Read
ing leading with $3.50 and Chesapeake and
Ohio with $500
Copper shares today were active, espe-
clally Anacondas, which, after wide fiuctua-
tons. closed nearly 50 up
Money has become comparatively dear.
owing to the action of the Bank of Eng
land in trying to secure control of the mar
ket, but with the revenue collections 1t is
expected that conditions will become easier
in the near future, especially if the bank
gets the forthcoming arrivals of gold and
the Indian government ships gold here for
purchases of silver, which it Is reported the
government intends to do.