The Birmingham age-herald., 1907-12-09
RISE IN STOCKS
 SHOWS STRENGTH Rehabilitation of Market Going
 on Rapidly BANK CREDITS INCREASE Reports of Conditions of Banks Indi- cate That Reserves Are Large Throughout the Country and
 Cash Is Plentiful.
BANK CREDITS INCREASE

New York, December S-The brisk rise in all the securities of the stock mar ket last week was accepted as convincing proot or the lifting of extreme prostra- tioh resulting from the last financial crisis. and includes the general recog- milton of the fact that the recovery was helped by manipulation of professional market operators and owed much of it's Vigor to the necessities of an uncovered snort interest, which the rise in prices and the corresponding reduction of mar gins on loans obliged dealers to cover. This is an invariable phase of the first rebound from panic conditions in the se- curities markets and is not less a re- liable index of the cessation of forced liquidation and of improvement in condi- tions. The general news has. in fact, shown the process of rehabilitation goinjg on and of confidence and credit being re-established, although several OF the weeks happenings served to counteract and delay the effects of the improve ment. For instance, in connection with the expected call of the comptroller of the currency for reports of condition of na- tional banks. there sprang up a renewed demand for currency which served to raise the premium early in the week.
 With the issuance the can of the comptroller for conditions of the banks at the close of business on December 8, there was a relaxation in these conditions and the supply of bank credits became appreciably increased. Banks invariably put out credits more liberally immedi- ately following a report to the comptrol- Ter but in this instance there was the additional influence of the strong position of banks outside the central reserve cities, which was revealed by the reports to the comptroller. The banks of the country, either actually beleaguered by frightened depositors or in dread of such a contingency, hastened to fortify them selves to the limit of their ability by withdrawing deposits from central re- serves. The rush to withdraw these de- posits and get them into their own GUS tody, precipitated the results now so well known.
 The most immediate consequence to the country of this revolution of customary arrangements of bank deposits Is seen in the figures of November bank clearings, which fell 29.2 per cent. compared with November of last year. ompared with the week ending October 26. the country s bank clearings for the fourth week of November of last year. Compared with although the holiday in the latter week must be allowed.
 The Iron Age reports the volume of new orders for iron and steel products last week to be about 40 per cent of the trade s capacity and with a reduction in produc- ton closely corresponding to this figure. Railroad traffic officials agree that be- yond the diminishing volume of old bus iness with which these are now engaged, little new trade is coming into sight.
 The cause which produced these results are seen to be in course of correction in the easing of money rates. the decline in excessive premiums on exchange at interior cities. the reduction of the prem ium on currency and the passing of the fears of depositors regarding banks. With the removal of the causes which induced