The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1907-11-30
GET BUYING ORDERS
Brokers Kept Busy by De-
sire to Secure Stock.
ENGLAND'S RESERVE LARGER
Probable That Discount Rate VIII
BE Decreased Rather Than In
Closing of Books on Issue of Ger
Misunderstanding Germany.

New York. Nov. 29-The rising move
ment ia the stock market gained to-day
in breadth and intensity and the advance
was carried on with vigor that has not
been equaled at any time In the last six
weeks. 1t can hardly be said that there
were any notable developments since the
close of the stock exchange on Wednes-
day on which to-day's particularly urgent
buying Of stocks was based. but what did
happen was that the factors making FOR
Improvement in the financial situation
We're to-day more clearly outlined than
they have at any previous time
The only real announcement OF striking
financial interest in the last two days
was that made al Washington after the
close of the stock exchange on Wednes-
day evening that the Secretary of the
Treasury mad decided to stop the further
issue Of the per cent certificates of in
debtedness comprised in the plan recent
ly put forward. There is no doubt that
this announcement had something to do
with the more encouraged feeling that
was so plainly visible.
Works Like Faith Cure.
There are still many people in Wall
street, including those of no inconsider-
able standing. who believe that while
open to criticism as this plan was, or at
least those features of it referring to the
issue Of certificates OF indebtedness, it
served the purpose Of financial faith
cure, and was hence rescuing element
in the situation that existed AT the time
the scheme was matured. Whether or
not this view of the case is sound is
matter that it is now needless to discuss.
IL became apparent within reasonably
short time after the project was an
nounced that its operation would retard
rather than assist the clearing up of
financial difficulties that were then in
progress; since It left the financial COM
munity agitated by the fear that the in
hition of bank note circulation that
might be produced by an expulsion Of
gold from the country as soon as the
emergencies OF the moment disappeared
While no news as TO the quantity Of
the allotments TO national banks OF the
new certificates is yet at hand. it may
be said TO be very probable II. as the
upshOt of the matter. any considerable
number of these certificates finally rests
in the hands OF subscribers.
EnEIHnd's Reserve Greater.
No doubt. too. speculative operators in
every market in the world to-day were
cheered by the Unexpectedly strong state
ment Of the Bank of England yesterday.
which exhibited an increase in the banks
proportion of reserve to liabilities from
3s.7S per cent last week to 42S3 per cent.
The bank increased its holdings of gold
coin and bullion during the week by
100000 despite the large Withdrawals
from the bank for the account Of this
country.
The probabilities are, therefore. in view
OF all these circumstances that there will
be decrease rather than an Increase in
the banks discount rate IN the near fu-
ture, although Of course gold Withdrawals
by our importers are presumably not
yet over, and the financial situation IN
Germany with the end of the year set
Elements approaching is such as to call
for the careful attention Of the banks
directors