The Washington herald., 1907-11-12
WALL STREET NOTES
Lowering of Price of Bar
Gold PleaSeS Brokers.
MONEY AGAIN IN CIRCULATION
Houses Get Orders to
Buy for Investment and Normal
Conditions Are Resumed - street
RejOIces 10 Hear that President
Advocates Currency Reforms.

New York. Nov. 11.-Not since the Bank
of England raised its rate of discount
10 per cent had anything occurred in
London Of significance equal to the lower
ing of the price Of bar gold to-day.
This reduction meant the removal OF
one Of the barriers interposed 10 pre-
vent the too rapid flow of gold To this
country, and indicated that London was
prepared to stand further drain, or,
what was much more probable. the ex-
istence of a belief that the movement
had about reached its end.
Engagements yet TO be announced
would not, it was hoped. seriously affect
the situation in the city. which has con-
tributed by far the greater part of the
20.o0oO00 ordered engaged for import to
this country.
1t was probably due 10 the belief that
the further engagements for this were
looked upon with perfect composure. for
II is hardly possible that the position
over there has been so greatly strength
ened that further exports could be re-
garded with unconcern were they likely
TO run TO large amount. The apparent
easing Of the situation makes il probable
that the bank will not make another ad-
vance in its discount rate on Thursday
There are abundant evidences that the
money withdrawn from financial institu-
tions during the scare couple OF weeks
ago Is returning into circulation. Nearly
every active house has been entrusted with
some of II for the purchase OF stocks or
bonds, and the substantial Improvement
in the market for the latter indicates that
no inconsiderable part Of the boarded
cash is seeking investment
This factor with the increase in the
volume Of bank circulation, the heavy
imports OF gold, and the release of funds
by the slowing down OF general business
will, in the opinion Of many well-informed
brokers. make money tOlerably easy In
Wall Street in the comparatively near
future. The expectation Of such a CON
diton is one Of the most potent factors
in The present improvement in the stock
market.
A currency bill demands a considerable
premium. but perhaps it Is indicative OF a
belief in high financial circles that the
premium viii soon disappear. and some
Of the banks which engaged gold IN Lon
don for import have cancelled their en-
gagements These cancellations nearly
onset the new engagements. and certainly
served 70 strengthen the behef that thr
import movement had about run its
course.
The news from Washington that the
President. In his message to Congress,
would urge the passage of laws supple
mentng the present antitrust law and
designed 70 aid. rather than hinder, the
commercial and industrial progress OF the
country, besides strongly advocating cur
rency reform. naturally exerted a benef-
cial effect upon sentiment and played an
important part in the markets advance.
Reading was the strongest stock on the
list making a considerably better show
ing than Union Pacific at the end when
these two cut away from the general list
that had begun to feel the effect Of the
heavlness in Il few OF the industrials and
70 drag rather heavily. The stock gained
more than three points on the day and
closed at the highest figure