Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1907-12-07
FINANCE AND
COMMERCE
Wall street.

New York. Dec. G-Todas S stock
market lacked much Of the animation
of that Of yesterday. but was even
moro Irregular in tts movements. The
tendency under the trend WAS to a
higher level, hut without vigor of the
spurts which carried prices up ycster-
day. The heavy tone at the outset
was attributable to the news OF the
closing Of a bank AZ Pittsburg. The
effect was shorter lived and less pro-
nounced than that OF the Kansas city
failure of the dav before. and, IN fact.
the suspension was oon seen to be Of
much less importance. The Kansas
city failure. on the other hand, con-
tinued 10 create a bad impression. and
its Influence extended to foreign mar
kets.
Another u~nfavorsble influence on
socks was the sustained premium on
currency which was paid oH some
large amounts during the day. and a
rather firm tone of the call money
market.
The recovery In the currency pre-
MUM was said to be due partly to the
demand for weekly pay rolls, The
Pittsburg bank failure also had some
influence on the demand for currency.
II Is evident hat 50 long as cash re-
sources are so much held ia smaller
banks throughout The country, AS the
responses 10 the controllers call re-
vcals that they are. there viii he q
vast curtailment Of the ultimate facil-
tiles of exchange by checks on the
banks la the central reserve points
The lack Of ultimate reserve Is for
use Of such partial substitutes for
money and which perform many of
the functions Of money in normal con
ditions of credit. undoubtedly due in
large part FOR the persistence of the
premium on the currency. Uutil the
banks outside Of the central reserve
cities avail themselves of their privl-
lcge under the banking law Of re-
depositing one on two-fifths OF their
reserves In the central reserve banks.
the dislocation Of the domestic ex-
change will continue to a greater or
less extent. The significant facts IN
the days news iu this connection were
the fan To- par In the New York
exchange rate IN Chicago for the first
time since the closing of the Knick-
erbOcker Trust company. and the de-
cline to a discount of the New York
exchange az Boston. The hardening
OF the call money rate may have had
= connection with he payment Of tho
81 .000. 600 installment on Great North
ern new stock which was made TODAY
II did not escape notice that tho sud-
den rise IN the nm stocks. which
the rail-, Ia stocks. has come
very opportunity for stockholders
had the payment to make today. 4
this one Of si1.6Z5.00O on January J..
for an installment on subscriptions to
Northern Pacific new stocks. The eK-
banded dealing in stocks which have
the weeks rise in prices
must also have increased the borrow
ings Of funds on call. The estimates
the weeks currency movement +
gave nothing t. account for the nrmer
tone n call funds. a liberal cash gain
by the banks being Indicated The
TO the interior were The
since the heavy demands iu
direction developed and the euu-
.inued receipts uf imported gold made
more Than an offset the net gain re-
being apparently upwards of
u. oon. 00N. The weeks operations iu
'tncks seem o. promise an expansion
n the loan item hut a substantial
reduction Of the deficit in the legal
reserve Of the banks Is hoped Tor In
tofuorrow's hank statement.