Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1907-11-05
TRUST COMPANIES SOLVENT
New York Finanoiers Confer and
Reach This Conclusion.
INSTITUTIONS, STAND LONG RUN
Market showed Early Declines, hut
These Are Followed by Rally
More Gold is Being
Sent over.
INSTITUTIONS, STAND LONG RUN

NEW YORK, Nov. A-The Trust COM
oany of America and the Lincoln
Trust company opened for business
usual at - o'clock this morning. This
followed conferences Saturday and yester-
day at the home of J. Pierpont Morgan
concerning the general financial condition
and the desirability of relieving the, heavy
strain caused by runs on these two trust
companies during the last ten days When
the Trust Company of America opened this
morning thirty-five people were In line, a
considerable diminution from the number
on hand during the earlier days of the
run. The opening OF both institutions in
dicate that the conferences held last night
had exerted beneficial effects.
During the conferences the boards of di-
rectors OF the two trust companies were in
session, while number OF hnancers were
assembled at Mr. Morgan's house. both
bodies being in touch with each other. A
committee OF experts it appeared. on Sat
urday had gone over the affairs of the
Trust Company OF America and had pro-
nounced it solvent.
At the Stock exchange the opening
showed early declines, followed by a rally,
and then running of OF prices.
At 1890 Isaac N. Seligman, speaking of
said:
The directors of the Lincoln Trust COM
pany are now in conference considering
several plans of action. The company has
sufficient funds TO meet all demands. The
directors are considering what it is best to
do under the present circumstances"
ImpOrtatiOns OF Gold.
The Seaboard National bank announced
today that it had procured 200 in gold
from Europe. This made an even $4,000 900
engaged for import since the present move
ment began.
Hedelbach, Ickelheimer & Co. also an
nounced today the engagement of 81 100000
in gold and Lazard reres engaged an ad-
ditional $1,250OO0 for import. This makes
the total engagement for the movement
$S2, .OOO
The general financial situation was still
tense today, but the banks and trust COM
panies feel confident that conditions were
well under control. The raising of the
Bank of England discount rate to per cent
was not unprotected by those familiar with
conditions in Europe. The fact that $1,000
900 In gold was purchased in open market
in .ondon during the morning for export
to America probably FASTENED the action
OF the bank. This brings the total gold
engaged up above $SO,OC0,0OO. Of which about
$Z.2OO,OOO will arrive on Wednesday and
s1O.OOo,OOO on Friday. This viii go at once
into banks where the engagements have
been made. and will be deposited
in the banks where the engagements have
been made by exchange houses and gold
brokers.
Crops short in Europe.
While there is considerable pressure for
~ NIL oI q. ga e.IN 49,
try has the advantage in the state OF the
trade balance. Crops are short in Europe
and it is absolutely essential to obtain
American wheat and cotton at any reason
able price. These prices are much higher
than in 1893. when cotton was at cents
against about II cents at the present time
and wheat was 20 cents, against the present
price Of H.07, while American steel rails
.are selling at the record price of $50 per
ton. These forces, with the fact that the
frst half of the year showed an excess OF
exports of $1S9,O0O,0O0 as compared with
balance the other way in 1893 of $6S, ,OOO. 900
create situation where~t will be difficult
for the European banks to hold their gold
even by high discount rates. Reports from
Buffalo and other points indicate that the
blockade in the movement of the crops is
being broken and that many hundreds of
carloads will soon be on ship board in New
York, against which bills can be drawn
on European money markets.
Twelfth Ward Bank to Reopen.
1t was announced today that arrange
ments have been made by which it may be
possible for the Twelfth Ward bank which
closed its doors several days ago, to re-
open next Monday.
Many depositors went to the bank today
at the request of the officisls. who asked
them to sign an agreement to the effect
that on all big deposits in the bank that
% or 100 per cent Of the amount would be
left on deposit for a period Of four months
Greatest Flight in Finance.
In statement given out this afternoon
Frank Hilford. president of the Lincoln
Trust company, said:
This has been the greatest fight in the
history OF finance, The directors have de-
cided to continue the night and to pay on
the depostors."