Los Angeles herald., 1907-10-29
STOCKS SHOW
IMPROVEMENT
HIGHER RANGE OF PRICES Is
PREVAILING
CRISIS GENERALLY BELIEVED
TO BE OVER
Wheat Market Affected in Great Grain
Centers-Heavy Purchase of
Copper Is Made
Abroad
By Associated Press.

BY Associated Press.
NEW YORK, Oct. 2S.--The stock market
was in a condition resembling suspended ami
nation at times today owing to the restraints
placed upon the flow of banking credits. The
higher range of prices prevailed in spite OF
the scanty volume of the transactions and was
an expression of the confidence generally felt
that the financial crisis is now under control.
The influence derived from the general situa-
tion was modified to some extent by the re-
adjustment of loans the stock exchange,
necesstated by the dissolution of the bankers
pool which supplied $50, 900, 900 to be loaned on
the stock exchange last week. Borrowers at
the stock exchange reported directly to the
banks which were members OF the pool TO
secure accommodation.
The result was some dislocation in the ex-
isting arrangements which produced an eff
feet On prices of stocks late in the day. The
dissolution of the bankers pool was decided
upon because the plan to issue clearing mouse
certificates was considered to have done away
with the requirement of 1t, This was mat
ter, the importance of which was considered
strictly localized in the stock market, and 1t
did not modify the feeling of relief over the
measures taken for meeting the scrlsis IN lts
larger field.
The widespread adoption of the example set
by the New York clearing house in other cities
by the issuance of clearing house certificates
was regarded as bringing the whole situation
under definite control by throwing an insur-
mountable obstacle in the way of the abb
straction of cash from the banking reserves by
cided that such a course would proceed to,
IL lgth that would not only leave insufficient
currency for the cash exchanges of business,
but would shrivel up the resources or banking
credits as well.
Such evidences of disarrangement of the plan
adopted as came to hand today were con-
sidered inevitable from its working out, ana
did not alter the conviction that the path Of
the greatest assurance of safety had been fol-
lowed.
In parts Of ths country where currency is
the crops the greatest disturbance occurred,
the wheat market being one 'of Its reflections.
Ono feature of the recent situation was the
large withholdings of cotton from the market
by growers in the belief that higher prices
would be obtained. The withdrawal of bank
ing credits will throw large amounts of this
crop on the market and stimulate the export
movement of Gotten, which will have an Inn
portant effect on the foreign exchange market,
Another development which came into IN
creased prominence today was the heavy for
eign purchases OF copper which have been
going on, and which have brought a recovery
from the long continued decrease in that
metal. Prices of copper were marked up %qlc
per pound. both in the bid and asked prices
at the metal exchange today, and there was a
violent rebound in the London copper market
The foreign demand for copper is reported
| to continue on the rising prices and reports
| from the copper trade today announced a sub
! stantial reduction in the surplus domestic
| supply consequence. This fs accepted al
| an important index of basis having beer
reached for new business In the copper in
dustry, and the additional supply of exchange
| II promises gives encouragement to the conn
| dence that the gold import movement now in
augurated will amount to large additional
sums over those already engaged. which have
reached SIS. 900.
London and continental discounts rose In
| response to our takings of gold and the con-
tinental exchanges turned strongly in favor
of London The Bank of England did not Off
cially advance its discount rate. but was re-
ported TO be making discounts under
per cent.
The stock market closed irregular. Bonds
were irregular. Total sales. par value. s3S04.-
900. United States bonds unchanged on call.