Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1907-10-29
GOLD FROM EUROPE
Nearly Nineteen Millions Engaged
for Shipment to New York.
FINANCIAL SITUATION - ,yR
Runs on Banks and Trust CompS .
Practically Over. z
SHARP, RISE IN COPPER
Large Sales Abroad Will Increase
Balance of Trade.
PAYMENT IN CHECKS EFFECTIVE
Action Of Clearing House PrOvOkes
Little Protest and Causes
but Little Incoh-
vsnience.
PAYMENT IN CHECKS EFFECTIV


, events I'm the financial district today indi-
Gated that the worst Of the crisis was over
ana that conditions were settling down to
normal There were no further bank sus-
pensions and reports were favorable for
the resumption of most of the banks which
closed temporarily last week. The engage
nent OF Sis.750OO0 in gold from Europe for
importation to New York was followed by
the sensational announcement of sales of
American copper abroad which will further
increase the tide of foreign money to this
country to an aggregate of over S26,O00,0OO.
This with the rapid rise Of good securities
on the Stock exchange. in some cases as
much as and per cent and the policy
of the trust companies not to pay currency
for boarding purposes all contributed to
strengthen the feeling in banking circles
and among the public at large. So well
was the situation in hand that there was
no such scurrying about OF leading fnan-
oieTs and hasty conferences as took place
during the closing days Of last week ].
Pierpont Morgan was IN touch with the
situation IN his library on Thirty-aiKth
street. but did not find It necessary to come
down town.
Bank Runs Practically Cease.
Runs upon banks practically ceased,
partly because Of recognition that they
were unnecessary and untusthable and
partly because OF the policy adopted to
pay large checks only in certified checks
on depository banks. This system OF pay
ment worked no apparent hardship and
was the cause of very little protest. Small
checks were paid promptly in currency
and larger amounts where 1t was demon
strated that currency was required for
Nhuf, , q still
possible for q frightened depositor to trans
fer his account from one institution TO
another by depositing check in the de-
pository for which he now has a prefer
ence. but he cannot withdraw large
amoEnts in gold certificates TO be locked
in Q safe deposit vault, was the case
last .Neek,4.-s,ssss.s,,
Sharp Mise in Copper.
One the sensational features OF the
day was the remarkable development in the
copper trade. The United Metals Selling
company reports a sharp advance In the
price. Copper. which they would have
gladly sold ten days ago at 125k cents n
pound. commanded 1S1s cents TO 1s% cents
q pound today. During the month OF octo-
ber the sales on this company had been
betweeH 100000 and 90,000,O00 pounds. The
bulk Of sales have been for export, so that
up to tonight It 10 estimated that on the
foreign deliveries during November and
December there win be a return exceeding
100000 IN gold. Sales by the other copper
interests have been proportionately large.
wan street, long accustomed TO sensations.
resumed its normal condition today and the
thin of depositors waiting at the Trust
Company of America ceased even to draw
the attention Of the usual throng on the
paused in its passing.
When the banking day was ended it was
announced at the Trust Company OF Amer
lea that the deposits during the day had
exceeded tho Withdrawals by s2s6.OOO and
that the company had been able to collect
$4,000 of outstanding loans so that the
net income OF the days business was In
creased In cash Of $4,000. There was o
distinct diminution OF the run on the Lin
coin Trust company. Less than fifty de-
positors were in line all day, though msny
of these had waited IN front OF the com
pany's building on Fifth avenue since the
closing last Saturday. Oficials OF the com
pany stated that the bank messengers who
had presented scores OF checks had de-
iayed the payment OF depositors. but that
the run was about over. The run on tbs
Colonial branch OF the Trust Company oi
America. which Is the largest branch in The
institution. has ended. The few depositor'
that came 10 the cOmpany's ONCE on Anr
street today were quickly paid on and
business resumed its normal routine. Re
ports from trust companies all over the
city late today state that normal conditions
prevail and that ineiplent runs on sevsra
minor companies had failed TO develop.
Coming OF Gold EReOtive.
The importation OF S27.OOO.000 In gold
which comes largely from London. is hav.
ing a moral eject almost a. important a.
It's direct financial eject It means thRi
credit can be sustained under the 25 pei
cant reserve law 70 the amount Of So, ,OOO. .O0
and that the banks viii be in position &c
keep their cash reserves intact even asainst
considerable demands. The fact that sx
change rates return 80 quickly In favor
OF this country ana that the gold was 81
readily obtained 10 accepted az an indica.
tion that the solveney Of American nnan.
oiai institutions is not questioned IN Europe
II u believed that much more gold will
come this way within a short time. Tn,
oriala has come ~ the most favorable mo-
moIit for the Importation Of gold becaus,
the movement Of the crops has creatst
heavy credit balances in favor OF III,
United states which have not been div
counted this year By finance bills. Anothtl
factor which facilitates the imports OF goI.
is the large orders for American securities
which reached the stock exchange to4a,
from London ana various points on In,
continent Foreign investors study care
fully American properties and they ar
evidently convinced that sound railwa,
securities have touched q level which, viii
make their purchase profitable. Prices
were sufnoisntly favorablo a week OF tw,
ago % induce a movement Of this eharacte
but has requh I'd the crisis TO brin,
the matter vividly TO the attention o
European investors % that In this respeo
the trouble has had a certain value as ,
corrective. The news that American 80
eurities opened considerably higher IN tn
London market than on Saturday prove