Lewiston evening teller. [volume] (Lewiston, Idaho) 1903-1911, 1907-03-14


ranging from Is to so points reaction
in the active shares. This enormous
shrinkage in Stock Exchange valua-
lions has been accomplished gradually
and without any apparent serious con-
sequenGeE, or even symptoms of
disaster. on Wednesday the market
received a severe shaking down, such
as in some conditions would have sug-
geAed panic. In fact. it is a question
as to whether we have noJ been
through a period of panic adjustment,
stretched over several months instead
of being concentrated into a few days.
That the market stood the violent
break of Wednesday without disaster
or rumors thereof was demonstration
of soundness that was hardly expect
| ed In view of the tremendous decline,
which has already taken place, and
the manner in which that test was
| met. it is proper to ask Are we not ap-
! preaching a turning point in the mar
ket? Apparently we are. The fact
| that we are now on a much lower level
| than six months ago diminishes fear
of panic. 1t is evident that the big
holders sold stock freely in the lat
ter part of 1906 and commenced to buy
some of them back on Thursdays
sharp decline. The market, therefore,
is in much safer technical position
than for many months. The severe
| liquidation should very shortly be re-
| tiected in an Improvement III monetary
conditions. II is true local bank re-
! serves are at a very low cob and the
national bank statements published at
| the end of January show that the west
| has been lending its surplus funds
freely in New York. AS the time ap-
proaches for the April settlements,
the course of the local money market
will be watched with much interest.
Should the interior freely withdraw
balances held in this city, we may see
sharp spasms in local rates. Yet re-
cent liquidation in stocks ought to
soon bring considerable relief and be
reflected in better bank statements.
After the April requirements have been
! provided for we look for improve
ment in this respect, and by mid-sum-
mer-if not in the spring-the money
market should be materially easier
and in a more comfortable position.
Possibilities of Gold Imports.
| The possibilities of gold imports are
we are dominant influence in the
| worlds gold movement. Should we
need that precious metal we will be
able to command it and will no doubt
exercise the power when necessary.
Our international bankers seem dis
| posed to respect the feelings of for
| do not wish to stir up any further ami
mostly against American finance-a
policy that is wise in view of the fact
| that we may still be Obliged to seek
aid from abroad in the marketing of
our securities. If our railroad manag-
ers are correct in their conclusions,
| forthcoming for the purpose Of car
rying out imperative railroad i'm
provement, and it is desirable that the
the market for these should be culti-
waited and not spoiled bv overinsistent
demands for gold and credits abroad.
| The market, was, of course, consider
ably excited on Thursday by the re-
port that two prominent operators
had secured control of Reading, As
vet the outcome of the movement is
not disclosed. Evidently there is
spirit of rivalry between our great
railroad leaders which unless kept
within reasonable restraint, may east
ly create occasional disturbances in
the stock market. We have previous
ly seen the effects of such rivalres
upon market values, and it is to be
hoped that we are to see no repetition
of the experiences which happened a
few years ago when competition was
so rife between many of the same men.
The Railroad Situation.
Apart from these movements, the
railroad situation is not satisfactory,
Gross earnings, 1t Is true, are large;
but the number and extent of declines
in net earnings are increasing to a
significant extent. II these continue,
it is quite certain that some of the
recent advances in dividends will not
be permanently maintained, and re-
auctions will follow. General trade
conditions continue satisfactory. Bus
mess is on an active scale, although
as in the case of railroads there is an