The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1907-12-12
REVIVAL AFTER
JANUARY FIRST
Attempt to Boost Stock Prices
in Wall Street Proves to
Have Been Premature.
BANKS CAUTION BROKERS
GERMAN POSITION REGARDED
AS DELICATE.

New York. Dec. 1.-THE withdrawal
of effective support of prices. except
in spotty and irregular fashion, and
the dull yielding tendency were the
reflection of disappointment at the
hardness with which the dislocation
of financial affairs is working towards
correction. II is clear that a specula-
tive party which started TO advance
prices and hold them over to the end
of the year counted upon initiation be
fore that time of the refluX of cash
reserves into the larger banking CEN
ters and a relaxation of the stringency
IN all departments of the money mar
ket, which is a consequence. Conti-
dence is universal that with the restOr-
alton of credits there will be sudden
and heavy reflux into bank reserves
and something like redundancy of sup
plies in the credit market.
The impression has taken hold of the
speculative element in stock market,
however, that a characterization had
been made for the period of arrival of
these conditions and revised anticipa-
tons are disposed to put il forward
beyond the turn of the year. The tone
of admonition of some of the banks to
speculative borrowers, and the run
ming up of the call money rate this
week, carry the unmistakable intima-
ton. With a heavy deficit below the
legal reserve requirements still exist
ing for the clearing house banks, with
the persistence of the premium on cur
rency in New York and the continu-
ance of shipment of currency to in
terror centers, to say nothing of an I'M
certain volume of clearing house GER
tificates to be reckoned with in the
New York banking position, it is
borne in upon the minds of spectators
that present anticipation of easing con-
ditions 10 come might prove prema-
ture. This idea is strengthened by
the intimation of the large require
ments 10 meet before the end of the
year for maturing mercantile paper
and for which means must be secured
TO insure keeping afloat commercial
enterprises.
II is TO be remembered that the in
crement of cash reserves achieved by
the New York clearing house banks
last week represented a balance of re-
ceipts of foreign gold over further
large shipments to the interior and
that these shipments are going on in
spite of the apparent strength of in
terror banks, exhibited i'm the reports
to the comptroller of the currency
GINs . ~ hCtB open llilS source
replenishment involves a strain on
foreign money centers. and the threat
of this is arousing some disquietude
there.
The German position, especially is
regarded as delicate, and its passing
safely of the year-end period will be
greeted with relief in all markets The
approach of the year end, too. gives
rise to discussion of various expected
reorganiZations and retirements. both
of banks and of influential stock ex-
change firms and denials of many of
these reports do lot entirely deprive
them of an influence on market senti-
ment. Such topics are accountable for
the special weakness shown i'm some
individual stocks. which i'm turn are a
sympathetic influence on the general
list
Estate settlement and probable divi-
dend prospects are other potent influ-
ences on special stocks.
A dull recovery set in after midday,
coincident with a decline in the call
money rate, which eliminated in a
brisk rise in the last hour. Except i'm
extreme cases, the early losses We're
recovered, and most of the favored
stocks were quoted materially above
Yesterdays closing. Heavy short COW
sring in American Smelling was d fea-
ture, and there was also conspicuous
strength shown by Reading. st. Paul
he Hill stocks, Southern Pacific and
Amalgamated Copper.
Bonds were heavy. Total sales (par
valued, $3.O96. 600.
United States bonds were unchanged
m call