The farmer and mechanic. [volume] (Raleigh, N.C.) 18??-19??, 1907-11-05
ALL SERENE AGAIN
Excitement in Financial
Quarters Subside
Decline in the Reserves of New York
Banks Attracts Attention., but
ExCites No SenSe of
UneaSincSS.
(By the Associated Press. J

New York, Nov. 2.-The financial
week came to a close today without
any notabel developments. The stock
exchange was comparatively steady
during the day with little activity. The
runs upon banking institutions seem
to be practically at an end and few
important conferences were held by
financiers. The decline in the reserves
of the New York clearing house banks
was heavier than in any recent exper-
fence, but will be largely offset by the
arrivals of gold mex week. The APP
parent loss in the reserve was about
$4,000, 600, but $7,000,000 Of this was
due to the requirements Of twenty-five
percentage against an increase in de-
posts of SIS, 600, 900. This increase in
deposits in the clearing house n
apparently represents the transfer Of
funds from the institutions which have
been subject to runs. The actual loss
in cash, therefore was about $30,000,-
900 which reduced the reserve On
hand to about 1925, 900, 600. The gold
engagements increased slightly today
by orders from Pittsburg and other
points making the total engagements
to date $29,15O,O00. If all Of this
amount should GO into the reserves
of the clearing house banks, it would
practically restore their loss of cash
during the past week. Even the diver
sion of a part of the amount to other
cities will leave the bulk of the gold
arriving to go in New York banks
and will probably result in an in
crease of reserve next week. A part
of the decline in cash, in the face
of heavy deposits CT treasury funds,
has been due to the calls of the u
try banks for currency. It is believed
that these have been pretty largely
met and that the amount will not be
nearly as large during the coming
week. Reports received from various
pa IS of the country indicate that the
system of meeting pay-rolls with
checks instead of in currency, is being
largely adopted without any essential
Inconvenience to wage
\ Matter OF Bookkeeping.
William A. Nash, president of the
Corn Exchange Bank, and a member
of the New York Clearing House Com
mittee, said in explanation of today's
bank statement that the clearing
house banks have been taking over
the loans called by the trust
les and that this increased the bank
loans. Mr.. Nash added:
1.-The trust companies have increas-
ed their deposits in the banks. The
total deposits nave thus been increas-
ed tho any addition to the stock
of cash, and naturally the percentage
of reserve has fallen. l do not re-
gard this significant, because the in
crease OF deposits by the trust COM
panies Is payable, not III cash, but in
clearing house funds.
The changes il loans, deposits and
reserves are so much in the nature of
book-k eeping hat they should not af-
feet the present situation.
The real matter in the bank state
ment is the supply of cash. The
losses during the week are not greater
than / expected. The shipment to
the interior and the boarding of cur
rency account for the loss reported.
Il believe that from now on there
will be an Improvement. The boarded
currency will respond, as it always
has, to the tempting premium that
is being offered. The gold on the way
from Europe will begin to flow in next
week and with it will come d falling
off in b excitement about cash"