The Birmingham age-herald., 1907-06-16
TONE IN STOCKS IS L|STLESS AND HEAVY Further Foreign Demand for
 Gold Export LARGE DECREASE IN CASH Bank Statement Shows an Already Narrow Surplus stII Further Re- duced-Laok of Confidence on
 the Part of Operators.
LARGE DECREASE IN CASH

New York, June 15-The heavy, listless tone fo the speculation remained unal- tered in today's stock market. Foreign influence played some part in this, show ing, especially on account of the bear ing on the further demand for gold ex- port. The financial difficulties in Alexan- dria were reflected in the withdrawal from London today of s1,%O,OOO for ship ment to Egypt Discounts rose in re- sponse in London. The renewed compll- cations in Russian politics turn attention to the Paris markets and promises continuance of the demand from that center for gold.
 Foreign exchange in this market, in fact, continued firm today. The bank statement revealed larger decrease m cash than has been estimated, as there was no loan contraction to reduce the deposits, the already narrow surplus re- serve was still further depleted. The loan Item, it was believed, did not fully restrict the demands on the banks In view of the heavy payments which Tell due today.
 Many dividends were payable today, in- cluding the Standard oil, Consolidated Gas and Delaware and Hudson, and there was besides payable the first installment Of subscriptions on new Southern Pacific preferred stock, calling for s9,o0o00o. The effect on the loan items of the banks may be thrown forward into next weeks statement.
 The foreign bank statement for May was regarded with interest, owing to it's bearing on the exchange situation. The heavy increase in merchandise imports so far over the small gain in value of exports that the excess value of exports for the month was reduced to $,WO,0OO, compared with $25, 649, GOO for May of last year. Union Pacific was under some special pressure owing to the reports Of passing of the Chicago and Alton from Union Pacific to Rock Island control. The market became almost stagnant before the bank statement appeared and prices ran off slightly afterwards.
 The bond market was also easy; total sales, par value, $974OO.
 The stock market for the week has re- iected the lack of confidence on the part of operators to take on stocks.
 The more noted of the more favorable factors was the growth of confidence oyer the prospect of the wheat crop. From the time of the appearance on Monday of the government report of con ditions as of June 1, the prevailing course of prices of wheat was downward. The over extended speculation in that grain was partly responsible for this move ment but the government report was of substantial effect in quieting the appre- hension which had been felt of possi- ble total failure of the wheat crop.
 Another incident which caused dissat- t.Fa In Rpo al xvac by Governor Hughes of the New York 2-cent railroad fare bill and the argu- ments contained in the veto measure for caution in the pursuit of corporations.
 The principal cause of the restraint on the market was the money outlook, es- pecially the immediate requirements to be met on July l. These are unusually heavy for the regular purposes of divi- dends and interest disbursements, and are complicated besides by some special requirements for syndicate payments and bond offerings. The low condition of the surplus resources of the New York banks with this prospect of further drain In the interval by the July payments begets caution about any extension of obliga- tions for commitments in the stock mar ket. The failure of the week of large structural steel enterprise was the source of much discussion. The failure was attributed primarily to diversion of cash resources into extensions which left the enterprise dependent on the money mar ket for working capital. The conduct of profitable contracts did not avail to secure the requisite credits. The out come was regarded as one more illus tration of the scanty supply of capital.
 J. J. Hil's published expression of dis couragement gave the credit outlook for railroads as an influence in anticipating this impression. There were rumors in circulation during the week alleging em-