The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1907-11-07
TRUST COMPANIES
FREE FROM RUNS
Two Embarrassed Corporations
to Deposit Stock With Com
mittcc Of Financiers.
MORE ENGAGEMENTS OF GOLD

NEW YORK, November 5.--The gem
eral conditions OF the financial situa-
ton were favorable to-day. The runs
on the trust companies had practically
ceased under the encouraging influence
OF the support OF tho trust company
committee. gold engagements were fur
ther increased, and the stock market
rose buoyantly In recognition OF these
conditions The announcement by Mt.
King. president OF tho Union Trust
Company, early in the morning that
an agreement had at last been reach
I'd by which the Trust Company of
America and the Lincoln Trust Com
paty were to deposit their stock in
the hands OF a committee OF trust COM
pany presidents. and in consideration
OF this were to receive all the sup
port required. finally cleared the air
In regard to the trust company Sit
uation.
Grave apprehension existed as to the
termination OF the conference at Mr..
Morgan's house at 3 o'clock this morn
Ing that an agreement In regard to
the two trust companies would not
be reached. and that they might be
subjected to run too strong for their
impaired resources.
Now that this danger Is removed
II Is believed that the situation Will
gradually simmer down. with the con-
tinuous arrival OF gold. until the strin-
scncy Is converted into the plethora
OF reserve money In banks, which
usually follows crisis.
More Gold II Coming.
Additional gold engagements were
announced to-day OF 100000 on ac-
count of Lazard Freres and 100000 for
Montreal. This bring up the total gold
engagement for America on the re-
cent movement to $4,000, 900. which
would afford the amount required for
lesal reserve against deposits of $780,
oo0,00o. The gold, which arrived yes
terday was deposited to-day, and that
by the Lusitania will soon be in the
vaults Of the banks
While there Is Still some apprehen-
sion regarding thu possible effort OF
The Bank OF England to check the
outflow OF gold from London by rails
ing It's discount rate on Thursday.
tnere Is strong feeling among con-
servatiye fnanciers here that the di.
feGtors OF the Bank OF England will
be very reluctant to fix rate of dis.
count which has not been reached
since 1873.
~ LHiSnt nave been found necessary
TO overcome this reluctance II the
fank of France had not so generously
dipped into its immense reserves. under
the enlightened policy OF Governor
Pallain. BY the purchase of sterling
bills to the amount of 100000 to
relieve the London market
Insist ON Conservatism.
The strength of the stock market
was the reflex OF improved feeling
throughout tho financial community.
1t is believed that the stock market
has pretty we'll discounted the worst,
and that prices are not likely to go
much lower. ever in case OF new dis
tusbances. 1t Is understood that the
arrangement by which the committee
II the trust company presidents takes
control of the majority stock OF the
Trust Company of America and the
Lincoln Trust Company is only a tenn
porary device to re-establish conf
dence. What will be the ultimate
disposition of this stock has not yet
been seriously considered, but 1t is
certain that the trust company COM
mittee and the clearing -house commit
tee will insist that these companies
pursue In future policy Of the strict
est conservatism and shall not embark
in any underwritings which are not
capable OF being converted readily into
cash.