The Washington herald., 1907-11-15
CHEERING TO MARKET
Retirement of Loan Certiti'
Gates Begins in Street.
EARLIER THAN WAS EXPECTED
Action of Banks Has Distinct Eject
for Good on Days Dealings, Al
though Liquidation on Out-Of-town
Orders Is Noticeable in a Few Sc
curities-Bank Deposits Large.

New York. Nov 1A-One very cheering
piece of news which reached the street
to-day was the announcement that al
ready the banks had begun to retire the
clearing house loan certificates resorted
10 a few weeks ago as means of reliey-
ing the money stringcncy felt in an ag-
gravated form. 1t had been expected that
the banks would not find ii necessary 10
continue the use of the certificates for a
long time, but perhaps nowhere had it
been anticipated that the gradual retire
ment Of them could have been entered
upon at this early date. That this has
become possible must be considered most
gratifying.
That there was liquidation in the stock
market and that large part of il came
from out Of town were two points which
nobody on the floor of the exchange dis
puted.
PittsbuFg Orders to Sell,
Pittsburg appeared 10 be a heavy seller.
and. indeed. orders on that side Of the
market seemed TO have come from all
parts of the State OF Pennsylvania II
was said that there had been an alarming
number Of fOrgeries of the clearinghouse
checks I'm use I'm Pittsburg. and that on
this account many business houses re-
fused 10 take this form of asset currency.
with the result that even the most Ordi-
nary kind of transactions had become diff
fcult
Some Of the traders compared Union
Pacinc's strange advance and equally
strange relapse to the maneuver of the
famous commander who marched his
army up a hili and marched it down
again This was a great mistake. Only
the leader, Union Pacific. had gone up
the hill, and come down again. and there
was no marching-just a few jumps which
might add something 10 the gayety. but
could contribute nothing 90 the dignity of
the days business.
Rush to Deposit Cash.
one OF the most extraordinary incidents
OF the present extraordinary condition OF
affairs was witnessed when a private
bmking house announced its willingness
70 allow interest ar the rate Of ~er cent
per annum on deposits placed with il for
sixty days. and 10 pay per cent for cur
rency- The Office was soon filled with IN
eager crowd, scrambling and jostling ia
get in their money. There had been runs
on the banks 10 get out money, but per
haps none of these had been SO violent as
this rush TO deposit cash 1t looked al
most like "A gTOtCsque ending Of III.
mania for boarding money.
\ possible explanation of the selling OF
St. Paul which rumor strangely dIsre-
garded. was that some holders were pos
Sibly disDusing OF a part OF their full
paid stock IN order TO obtain funds u
make payments on the new stock falling
due December I. The forthcoming pay
meutS viii call for I'D rer cent Of the elib-
scripuons, and as the stock has much
wider market than the part paid cerIih-
Gates, subscribers having both would find
il more advantageous TO raise money 10y
sale of the former than of the latter.
The weakness of the bond market both
on the exchange ard outside, was believed
10 reflect preparations by savings banks
To meet the demands Of depositOrs who
had given notice OF withdrawal.