The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1907-03-17

LARGE MONEY SETTLEMENTS
ARE INSPIRING CONFIDENCE
Traders Are Still EXcitedly
Discussing the Crash in
Thursdays Market.

today from the inordinate depression
of Thursday S market. An over-eN
tended bear account was IN evidence
in the ebulliency of the late uPshoot.
The days business, however, showed
a very large absorption of stocks go
ing on, The complexion of the bank
statement had something to do with
the confidence Of the market. The re-
duction of the deposit item by sealing
down Of loans proved sufficient to re-
duce the reserve requirement. more than
proportionateIv TO the cash reduction
and so to conserve an addition TO the
surplus. The loan item is supposed TO
include the large preparations for tho
Friday settlements of the earlier part
of the week, for greater effect upon
the averages than the loan contraction
by stock liquidation later, so that the
effect of the loan reduction is expect
ed to be carried over into next week 8
statement.
The Dimensions of yesterdays mon
ey settlements are indicated by today s
clearing house exchanges, which rose
to S6TS, S,71S,3l5. The only time this
figure has ever been exceeded was on
January 3, 1906, when the annual set,
Elements resulted III exchanges OF
at Yesterday . low level today, indicat-
ing the power of New York to with
draw gold from London unless that
step should be deemed impolitic. Funds
were more freely offered in time loans
today with the restoration of conf
dence, and rise IN the New York eX
change at Chicago at par has oc-
CURED.
The tenor of the United States Steel
annual report, especially the reference
10 the sustained level of orders re-
-,nna Tho f,rcf Of rho W
a sustaining factor in The strength Of
the market. So also was the tone Of
the Mercantile agency reviews. show
ing an expanding volume of business
through the country. Hasty profit
taking made the closing of the market
irregular, but there was excited buying
still in progress.
Total sales Of bonds, par value, ST.
$4,000.
which has occurred This week has been
so sudden and violent as to leave opin-
ion dazed over the meaning of the de
mopstration and its probable ulterior
consequences. The extent of the de
clInes has been SO portentous, the vol
ume of the offerings which have de-
luged the market have been so over
whelming aud nj the same time the
usual consequences of failures of finan-
t13l 1lSdS1erS nave DPtN SO PDllEelN
lacking as to leave an uucanny effect
upon the minds of observers. The ex
tent of the slump is the more remark
able as coming upon the heels of pro
longed decline which had already gone
far 10 discount unfavorable factors
which were supposed 10 be then upon
the market The measure of fall in
prices is so much greater when com
pared with such a previous occasion
as the panic of 1901 with which the
present week is most generally com
pared for violence of fluctuations and
indiscriminate unloading of stocks.
There is no doubt that the prevailing
opinion in the stock market, financial
and railroad world attribute the prin-
cipal responsibility to the situation the
railroad corporations find themselves
IN from the prevailing attitude TO-
wards them of governmental agencies
and the prevailing sentiment of the
whole country. The discussion IN Wall
street for some time past has been of
compilation of laws passed by various
State Legislatures for the restriction Of
railroad charges and for other meas,
urcs of regulation; of the course of
proposed measures of the national
government looking TO additional re
straInt upon corporation powers and
administration, especially in the is
suing of bonds and stocks and the
fixing of valuations Of railroads with
a view to traffic charges to be per.
mittcd to tn. railroads.
has been greatly heightened by the
/ course of prominent men in the rail
| road and banking world which was
| construed as an indication of the keen
| anxiety they were laboring under of
! the prospect offered by Sins course of
events The attitude of appeal to the
| public and the government authorities
J which this course suggested has awak'
cned the apprchensions of holders of
/ stocks This is true of speculative
[ holders, but the more permanent IN
vestment holders have Acen affected
also to some extent.
The money situation must be allowed
for a large share Of responsibility tor
the conditions which have grown mp
The tightncss of money is now world,
wide, the pressure in London and IN
Berlin being almost as acute AS in New
/ York The very active trade condi
tions call for extraordinary supplies
for the circulation and the result il
a depletion of cash holdings in bank
| inc reserves on which to base credits
The excessive demands for capital Ia
place in fixed form has been sub
icct of observation for months
II is very generally assumed that
the active speculation of last fall left
large holdings in the hands of men of
large wealth that have never sine,
been cleared up owing TO the pcrsis
tcnce of the general speculative public
in refraining from the market This
is supposed to account for Il large part
Of the forced liquidation and TO OK
plain also the absence of failures due
TO tie heavy fall in prices The source
of the selling remains undiscloscd, how
ever and the difficulty. therefore, OF
forming an opinion on lis motives oi
resemblau"es are elements OF continued
dsquiet in the stock market The gen
eral feeling was, of course. much re
assured by< the effective rally which
seemed 10 ward off II Threatened dis
aster, but opinion on the future of Tho
stock market is in n confused state
Bonds were little affected by tn,
crash in stocks
United States new Is have advanced
onc-half per cent on call during :hC