The San Francisco call., 1907-01-20
RAID IS MADE ON
STOCK MARKET

NEW YORK. Jan. 1s.-The stock
market underwent severe pressure
from further liquidation today. Prices
broke again and again under the re-
newed food OF stock which poured
upon the market. There was an evi-
dent determination, however, TO protect
the market, and supporting orders ap-
peared at each decline to assist rally
prices The nature Of this buying was
indicated by this withdrawal when IL
had effected its purpose of steadying
the market.
There was lack OF any immediate
development In the situation TO explain
the volume and the urgency of the
selling It was obvious that a stron g
organization Of bear operators were
alert to take advantage Of any sign Of
weakness and their raiding tactics were
effective in dislodging weakened specu-
lative accounts.
Individual brokerage houses did not
escape rumors OF money difficulties and
many vague rumors were kept in con-
slant circulation. Dlligent inquiries
were set on foot as a result Of these
conditions and clearing house and
banking authorities gave their sanction
to assurances that no evidence Of en-
barrassment was discoverable. The
principal selling pressure centered on
Reading, Union Pacific, Southern Pa
cifio and. after a show OF strength.
ST Paul.
The market showed the most acute
weakness after the appearance Of the
bank statement, when numerous offer
ings of the stocks above named came
upon the market. The SIS, ,1sS. 900 cash
gain by the banks was much in excess
OF expectations. The s1B.14S.ooo loan
increase was attributed to a large
transfer OF loans from London to this
foreign exchange indicated an extern
rose IN London.
The total sale of bonds Cpar value)
was 31,512.000.
The Financier today says:
The official statement of the New
York Associated Banks showed a cash
gain in excess OF that which was es-
timated on the basis OF the traceable
movements of money during the week.
Though there was a large expansion of
loans, contributing with the increase
IN cash TO an almost unprecedented
augmentation of deposits and conse-
ouentiy OF reserve requirements, the
surplus was increased by an amount
greater by one and three-quarter mil
lions than that recorded at the cor
responding date in 1906 and within one
million of the maximum surplus in that
year.
The increase in cash was s1S,1sS,0oo,
this chiefly resulting from the disburse-
ments OF seven and two-fifths millions
by the subtreasury, the excess OF two
and two -ffths millions receipts over
shipments as shown In the interbank
movement and probably also the bring
ing over into last week of an unre-
corded balance from the previous week.
The general deposits were increased
$33,51z, ,000, representing the above
noted gain in cash and an expansion
OF s15.14S.0oo in loans; the deposits
were $165.400 greater than>th sum OF
the increase in loans and the gain In
cash. and hence the statement made
remarkably good proof. The required
reserve against deposits was increased
$s.37S.0O0. deducting which from the
augmentation in cash left $S,82O,000 as
the increase IN surplus reserve. to slS.-
460,700. Computed upon the basis OF
deposits. less those of s16,6S7, 800 public
funds, the surplus is $22.5so.o25.