New-York tribune., 1907-12-22
STOCK MARKET OPERATIONS.

Transactions in yesterdays brief session OF
the stock market were moderately heavy IN vol
unle on a movement of values that SeileIdlIS
tended in the direction of higher prices furlher
covering by the shorts and some actlVe puHllls
by substantial houses were effective in carrying
MANY of the leading issues point or more anoEe
rhe closing of the preceding day, and though
some of the Improvement was lost before the
end the general price list presented long COL
umn of net gains. In Amalgamated copper
American Snnelters Baltimore q ONO. Great
Northern Northern Pacific Reading and Union
Pacific the demand was better in character than
recentlv reported. and it generally was assumed
the more important Wall Street interests were
actively employed in efforts TO place quotations
on a higher level before the first of the new
year, this opinion being strengthened by the ap-
pearance in the market Of orders from houses
that are closely identified with substantial bank
ing concerns. Atchison, Distillers' and Pennsyi-
vania were among the few issues in which there
was no attempt TO bring about better hgures-
Both in stock and bonds the business III the
two hours was far heavier than in the same
time in Fridays market. The bank statement,
published after the close OF trading, showed
further Improvement in cash and reserve hold
ings and a material decline in loans, the result
of all changes being decrease in the deficit i'll
the reserve item of $S.350,175. The gain in cash,
amounting to $3.50 200. was much larger than
that indicated by Fridays estimates, and evi-
recently withdrawn for boarding purposes, The
total deficit now stands at $3l,15lOO0. as COM
pared with a surplus Of $3,2SO,3OO at this time
last year and S4.159, 400 in 1905. Loans still
heavily in excess of deposits, and readlust-
ment in these items must be made before normal
conditions be shown
Bank clearings continue 70 show reduction
from the large totals recorded in corresponding
weeks last year the loss for the week ended
Friday amounting to 389 per cent, New York
supplying the heaviest decline In all ciues'
however. there material falling off from
the same time in 1906, representing an actual
curtaiment in business operations, which found
further reflection in lighter railroad earnings in
most parts of the country. For the first week in
December forty-six roads reporting present q
decrease of about per cent, and for the second
week thirty-four companies show a loss of u
per cent with the heaviest declines in Louisville
& Nashville, Missouri Pacific, Southern Rail
way, Texas & Pacific. Denver q Rio Grande.
St Louis Southwestern Wheeling & Lake Erie
and the Wabash Comparisons, however,
made with period when transportation re-
ceipts were, as rule, heavier than ever re-
ported In similar period, and the declines
therefore not significant they appear
the surface, especially in most re-
suits are better than in 1905 and preceding
years And the same thing may be said of bank
clearings No one knows to what extent the
reaction in business will but 1t generally is
believed it will not reach serious proportions.
and that normal conditions return in
the money market there will be a substantial
Improvement in industrial operations throughout
the United States Most concerns that Suf-
fering from contraction In their transactions
base their troubles entirely on the restriction
placed upon credit by the recent financial up
heaval, but the fact that the outlook favors a
freer movement Of money after the turn Of the
year encourages the expectation of general re-
in 1q1S from denrasci0n
it is thought trade will be somewhat slower in
the new year owing to the Presidential cam
pa1gn.
There is to believe that within few
weeks the government will call upon national
banks for a return Of some Of the federal de-
posits which were placed with them for
gency purposes. Deposits in national banks for
the account of the government amount to
54,7s7,l27, including funds to the credit of
federal disbursing officers, while the actual
working balance in the Treasury is less than
sl2, 000 amount entirely too small under
any condition. A call upon the banks for gov
ernment money may be made in the course of
the next month without the accompaniment of
disturbance in the financial markets. but the
fact that the Treasury will be compelled to take
such action at a time when bank reserves at this
centre are light, with the necessity on the part
of the banks of soon liquidating their Clearing
House certificates, does not encourage the hope
that spectators in stocks viii be able to secure
in the near future supply of accommodation
large enough to carry on extended bull move
ment in securities Doubtless the Treasury will
place the chief part of the burden of restoring
its working balance TO larger figures upon the
out-of-town banks, which stronger In
reserves than the New York institutions, and
this will help the local banks in meeting the re-
quirements of customers Gradual recovery may
be looked for in money. Persons. however, who
are banking the immediate return of easy
conditions with the opening of the year will
be disappointed. In January interest and divi-
dend disbursements will aggregate $4,000 900.
against s175.0oo 600 in the month in 1907.
and the preparations for meeting these payments
will serve to maintain money rates at stiff
level in the current week