The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1907-11-25


the part of the banks the preparations
to participate in the issue were found
to affect the money and currency mar
kets 10 some extent and there was
much confusion i'm estimating the
working out of the effects of the
transaction.
Gold From Abroad.
Meantime the inflow. of gold from
abroad continued in a steady stream
and large additional engagements con-
tinued to be made. For the first time
during the present movement the Bank
of France furnished part of these sup
plies the transaction being based on
commercial bills of exchange. The
new source of supply thus opened up
is considered of great Importance
Various indications served TO prove
how far the general banking situation
has been strengthened by the heavy
withdrawals from New York and the
forwardings of incoming gold as it ar
rived. Thus the reports of conditions
of Illinois state banks, in response TO
the call of the state auditor, showed
an increase of many millions In cash
holdings compared with the previous
report in August, while outstanding
obligations has been heavily reduced.
The Canadian banks made reports IN
response to a similar official call dur
ing the week, and these revealed
like showing, which proved the large
drain from New York to that destina-
ton. with an accompanying scaling
down of loans on call without the Do
minion, largely placed in New York
stocks
Awaiting the Next Call.
Bankers are awaiting the next call
from the United States comptroller of
the currency, the usual period for
which is now passed. There is grow
ing conviction that response TO this
call will show the general banking po-
sition so fortified by the strong cur
rent of cash which has flowed out of
New York and out of foreign sources
that the feeling of mutual suspicion
and distrust which have been by far
the NEST potent factors in the recent
embarra ssment. will quickly die out.
A prompt resumption of normal bank
ing conditions will be looked for as
consequence. The weekly bank state
ment Of the New York clearing house
association banks was heralded as de-
cisive of the definite turn toward bet
torment I'm the New York banking sit
uatiOn. Loans contracted for the first
time since the crisis developed and the
small cash decrease was evidence that
the cO0cedleU drain on the DdnhS HAS
come to an end, the decrease proving
less than was promised by the known
movements of money, in spite of the
throwing out of the computation of
the s13,O00,0 600 gold arrivals on Satur-
day, which were belated for day by
a fog.
Stock Market Pressure.
The stock market was under inter-
mittent pressure last week. which was
severe in special stocks and at inter-
walls of time At other times the stock
market showed symptoms of resiliency,
which was slight, however, and attrib-
uted in large part to covering opera
tions by professional bears. The
weakness was assigned by general be
lief to a resumption of liquidation of
a kind which was withheld from the
market during its period of demorali-
cation by the powerful influences and
resources Of the interested parties, but
on condition of closing out of the ac-
counts and payment of Indebtedness
as soon as the market subsidized into
more orderly condition. 1t was sur
missed also that the practical subjuga-
ton of the affairs of the New York
banks to the centralized control of the
Continued on Page 2.