The Birmingham age-herald., 1907-10-29
VERY LITTLE LIE
 IN STOCK MARKET
Confidence In Situation Is Not
 At All Disturbed
BANKERS POOL DISSOLVED
Issue of Clearing House Certificates Obviates the Necessity of a Pool and Prices of Stocks Make
 an Advance.

New York, October 2S.-The stock mar pended animation at times today, owing to the restraints placed upon the flow of banking credits. The higher range of prices prevailing, in spite of the seanty volume of the transactions, was the ex- pression of the confidence generally felt that the financial crisis Is now under con- trol. This influence derived from the general situation was modified to some extent by the readjustment of loans oh the stock exchange. necessitated by the dis solution of the bankers pool which sup piled sSO,00o,0OO to $S5, 900, 600 to be loaned on the stock exchange last week. Bor- rowers at the stock exchange resorted directly to banks which were members of the pool to secure accommodation. The result was some dislocation in the exist ing 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 house certificates was considered to have done away with the requirement for it. This was a matter 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 crisis in it's larger field.
 The widespread addition to the example set by the New York clearing house in other cities by the issue of clearing house certificates was regarded as bringing the : whole situation under definite control by throwing an insurmountable obstacle in the way of the abstraction of cash from the banking reserves by irrational deposit tors. Last week the dread hung over the position that such d course would proceed to a length that would not only leave in- sufficient currency for the cash ex- changes of business but would shrivel up the sources of banking credits as we'll. Such evidences of dislocation from the plan adopted as came to hand today were considered inevitable from its working out and did not alter the conviction that the path of greatest assurance of safety had been followed. In parts of the coun- try where currency is in active cirCula- ton now in the movement of crops the greatest disturbance occurred the br eak in the wheat market being one of its reflections. One feature of the recent situ- ation has been the large withholding of cotton from the market by growers in the belief that higher prices would be ODtd1neQ.
 The withdrawal of banking credits will throw large amounts of this on the mar ket and stimulate the export movement of cotton with important effect on the foreign exchange market. Another de- velopment which came into increased prominence today is the heavy foreig purchases of copper which have been going on and which have wrought a re- covery from the long continued decline in that metal. Prices of copper were marked up'A to cent per pound by the bid and ask prices at the New York 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 trades today alleged q substantial reduction in the surplus domestic supply as a conse- quence This is accepted as an important index of basis having been reported