The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1907-12-07
LESS GINGER IN
STOCK MARKET
Tendency Is Toward a Higher
Level, but Movement Lacks
Somewhat in Vigor.

New York, Dec. 6.-Today's stock mar
ket lacked much of the animation of that
OF yesterday, but was even more iIreg-
ular IN its movements. The tendency un-
al near the end of the day was to a
higher level, but without the vigor of the
spurts which carried prices up yesterday.
me heavy tone at the outset was attrib-
utable 10 the news of the closing of a
national bank at PittsbuTg. The effect
was shorted lived and less pronounced
than that of the Kansas City failure Of
the day before, and, in fact, the suspen-
sion was soon seen TO be of much less i'm
portance. The Kansas City failure, on
the other hand, continued tn create a bad
impression and its influence extended 10
foreign markets.
Another unfavorable Influence on stocks
was the sustained premium on currency
which was paid on some large amounts
during the day, and a rather firmeT tone
OF tns call money market. The recovery
IN the currency premium was said 10 De
due partly 10 the demand for weekly pay
rolls. The Pittsburg bank failure also had
some influence on the demand for cur
rency. 1t is evident that so long as cash
resources are so much held in smaller
banks throughout the country, as the re-
sponses TO the controllers call reveals
that they are, there will be a vast cur
tailment of the usual facilities Of eX-
change by checks on the banks in the
central reserve points. The lack of the
usual resources for use of such partial
substitutes for money, and which perform
NAL conditions of credit, undoubtedly ac-
counts in large part for the persistence Of
the premium on the currency.
Until the banks outside of the central
reserve cities shall avail themselves of
their privileges under the banking law
cf each depOsiting one-hah or twO-fifths
OF their reserves in the central reserve
banks, the dislOcatiou of the domestic
exchange will continue to a greater or less
extent. The significant facts in the days
news in this connection were the fall to
par in the New York exchange rate at
Chicago. for the first time since the clos
ing of the hnickerbOcker Trust company
and the decline TO a discount of the New
York exchange at Boston. The hardening
of the call money may have had a con-
nection with the payment of a 100000 in
Stalment on Great Northern new stock
which was made today.
1t was not escaped notice that the sud
den rise in the Hill stocks, which started
the rally in stocks, has come very OppOr-
timely for stockholders who had the pay
ment to make today and one Of Sll,625,OOO
ON Jan. l, for an instalmenU of subScrip-
tons to Northern Pacific new stock The
expanded dealings in stocks which have
accompanied the weeks rise in prices
must also have increased the borrowings
or funds on call. The estimates OF the
weeks currency movement gave nothing
TO account for the firmer tone of call
funds, liberal cash gain by the banks
being indicated. The shipments to the in
terror We're the smallest since the heavy
demands in that direction developed, and
the continued receipts of imported gold
made more than an offset the net gain
resulting being apparently upwards of So
000. 600
The weeks operations in stocks seem
to promise an expansion of the loan item
but substantial reduction Of the deficit
I'm the legal reserve of the banks is hoped
for in tomOrrOw's bank statement The
market showed the effect of the large re-
duction in the outstanding short interest
in growing degree as the day progressed
and closed heavy with surprisingly small
net changes considering the days active
fluctuations.
Bonds were firm. Total sales, par value
81 100 eco.
United States IS advanced a per cent
and the As = per cent on call.