Evening star., 1907-07-14
Market Affected by Anticipation
of Hartman Report.
FAVORABLE BANK SHOWING
Government Withdrawals Cause
Money Market Pinch.
MORE LETHARGY IN BONDS
Situation Attributed to Public Aglta-
ton Against Corporations-Cop-
per an Unsettling Influence.
FAVORABLE BANK SHOWING
MORE LETHARGY IN BONDS

NEW YORK, July 13.-The rectifcatlon
OF last weeks discrepancy In the cash
item of the bank statement conduced u
the favorable showing of the clearing mousse
institutions today and explained the smah
effect of the weeks withdrawal OF govern
ment deposits from the banks on top Oh
seeming exhaustion OF surplus reserves
The cash gain reported today by the oahhS
of s4O0Ooo compares with an apparent
loss on the known movements OF money Oh
upward of S6OooOoO Last weeks state
ment contrariwise, reported loss OF 20
10000 cash where gain of S.UO.OO had
occurred according to the known move
ments of money. The explanation probably
is that corporations transferred deposits
from banks to trust companies on very
large scale to effect the July settlements,
after which these cash holdings have been
transferred back to the banks.
The heavy loan contraction of S10SSS. 400
is ascribed partly to stock market liquida-
ton. but change in security holdings In
connection with the release enected py the
surrender OF government deposits may
figure also in this item. An expectation
of some such anomaly in the bank state
ment was factor in keeping up prices In
the dull market The activity and strength
was confined to comparatively few stocks
Union Pacific the conspicuous leader
of the market. The pending publication
of the findings of the interstate commerce
commission on the Hartman inquiry was
an influence on this stock. The belief was
entertained that the contents of the report
which might be adverse to the Hartman
properties have been so explicitly recog-
nized that their effect has been felt already
in the stock market The Hill stocks
were affected by talk of maturing plan
for the transfer of Northern Paclncs
equity in the Burlington to the Great
Northern. The closing was strong with the
hell Total sales of bonds. value,
$JI5,OO.
Money Market Pinch.
The pinch in the money market due to
the withdrawal of government deposits. al
though ample warning of it's inevitable ap
proach was given, was the cause of the
speculative upset of the week in the stock
market. The position was vulnerable. ow-
ing TO the needless extension of operations
for the advance in face of the disturbing
elements in prospect The taking of gold
for export for France was aggravation
of the situation. The outcome was accepted
as a demonstration that the hoped-fOr re-
vival of investment demand from the distr-
button of halfycarly profits had failed to
materialiZe.
Additional evidence to the same effect
was the small subscriptions to the Union
Pacific and Atchison convertible bond Is
sues. The bond market itself continues
lethargtc and narrow, and confirms the I'M
ton. Financial comment continues to lay
large responsibility for the situation upon
the public agitation against the corpora
tons. Significant evidence of the persist
ence Of this spirit was the fling of the gov
ernments petition in the suit against the
American Tobacco combination. in which
was formulated the new policy of seeking
receivers for offending corporations. Vari-
Gus steps taken by the New York state au
thorities against corporations emphasized
the Impression. The knowledge that Sun
day would see the publication of the find
ings OF the interstate commerce commits
sion in the Hartman inquiry kept alive the
apprehension that this influence would be
continued into next weeks market The
fall In the price of copper was unset
ting influence, and the effect of the govern
ment report on condition of cereal crops
was adverse to the market.
United States - have advanced 4. while
the registered As have declined y, and the
As coupon " per cent on call during the
week.