Evening star. [volume] (Washington, D.C.) 1854-1972, 1907-12-15
NEW YORK BANK STATEMENT

NEW YORK, December 14.-The state
ment of clearing house banks for the week
shows that the banks hold $40, 101, ITS less
than the requirements Of the 25 per cent
reserve rule. This is an increase of So
1O91I5 in the proportionate cash reserve,
as compared with last week. The state
ment follows:
Loans. $1.l75.o2 800: decrease. $780,
Deposits, 81. oss. $685. 900; decrease. $685.
Circulation ses.se7 800: increase. $685.
Legal tenders, $40. 45O 600; increase. $780,
Specie, SIT. 1S5.3Oo: increase. $3,276.60O
Reserve. S226I615.3O0; increase, $4.112. 800
Reserve required. 500. 71s'475; decrease.
NDsScit, $40, 161 .175: decrease. ss1oe.175.
Ss9-United States deposits, $2O,924,9JO;
tdeafease. So, 4s7,s50.
Mpney on call. nominal. Time loans,
uui4t; sixty days. II, and ninety days, 10
70 u per cent; six months, to per cent.
Prime mercantile paper. 7aS per
cent. Sterling exchange. firm, with act
ual business in bankers bills at 4s5.6Oa
1870 for demand. and at 479.75a4SO for
sixty>dsy bills. Commercial bills. 41s 25a
1850. Bar silver. 5S7s. Mexican dollars.
AZ Government bonds. steady. Railroad
bonds. easy.
Contrary to general expectations. the
statement e the associated banks Of the
kcity of New York for the week ending De-
cember IA proved to be favorable in every
item The striking feature was the gain
of over 100000 in cash, nearly all In
the shape of gold. The known move
ments Of money for the past six days in
!. dicated a loss in the interior of about &c.
600 600, which would offset the amount of
tnported gold received. and it was figured
aloe that the banks had lost to the
Tye4sury on bond account. but SO far
from this being the case. government de-
posts in the New York banks actually
increased $1.5O0.OOO during the week.
The averages were at fault, and this may
be shown in the next statement. Liquida-
ton in loans continues. the decrease since
December having been $11 .367. 200. and
in two weeks about $23,OOOoO0. This
shows that the tight condition SO regu-
larly reported for the past five or SIX
posts for the week were $7,9s7 500, owing
largely to loan liquidation. and the gain
in cash already noted, coupled with the
lessened reserve requirement OF about w.
100000 due to deposit decreases. brought
down the present deficiency of reserve by
So, 1o9.17o. to SAC, 101, 175. This is gain OF
sl3,5OO,0O0 since November 16 last:
II the reserve requirements against the
total government deposits Of $16,I4. 800 be
eliminated, 1t Is shown that the deficiency
of reserve against commercial deposits Is
now about s21 600, 900. In other words, the
banks are carrying reserve against ordi-
nary deposits Of about % per cent, or
per cent under legal requirements. The
national banks in the clearing house are
still adding to their circulation. the gain
last week having been So. 339 500. or more
than ST.. 100000 in one month. If the
weekly statements continue as favorable
as the last one It is quite probable that
the reserve deficiency will be made up
shortly after the first of the year. al
though the return of money from the in
terror is proba bility that cannot be
counted on for some time to come.