Evening star., 1907-10-24
THREE MORE BANKS
CLOSE THEIR DOORS
Continued from First Page


to the trouble of 1893 at all, for at that
time manufa cturers and others engaged
in industra al enterprises had their plants
under heavy mortgages Today the situa-
fiOn Is entirely different. Manufacturers
own their own plants and are discount
Ing their own bills. There is no fear of
depression throughout the United States.
and l am confident that the situation in
New York will soon be cleared up"
The number of brokers seeking loans
at the stock exchange continued very
large during the day and the supply of
funds very scarce. The urgency of this
demand and the necessities of those who
the occasional weak points in the mar
ket. Declines in special stocks were vio-
lent on this account, but the general list
became quiet.
Just before . o'clock this afternoon call
money was lending in small lots at from
30 to 20 per cent.
Run on Baltimore Bank.
Special Dispatch to The Star.
BALTIMORE, Md. October 24-7The
first evidence of panicky financial feeling
here came this morning when run start
ed on the Home Bank, at 92O East Balti-
more street. The withdrawal, by deposit
ors during the past few hours have been
very heavy, but the banks officials state
that the funds in hand are adequate to
the situation and no serious consequences
are anticipated.
1t is thought that runs on other banks
will follow tomorrow, but the leading
financiers of the city say that there is no
danger of any banking house closing it's
doors.
Call Money Ruled at so Per Cent
Money on call today ruled during the
greater part of the business session at so
per cent. The National City Bank con-
tinued to lend certain amounts at 6 per
cent. according to it's practice and reso-
lutions, but the wisdom of this policy is
now being seriously called into question,
as 1t tends undoubtedly to disturb the
equilibrium of the money market.
This mornings announcement by the
Secretary of the Treasury that he was
prepared to deposit SIS, 100000 with the
local national banks was. of course. the
chief factor in such strength as the mar
ket showed at the opening of business and
In the advance in American stocks in the
London market. The banks reported a
very heavy gain in their operations with
the subtreasury. a reflection doubtless of
Treasury relief measures already under
taken.
After all. however. the chief feature
of the monetary situation at large, was
the state of the foreign exchange market.
which was described by one competent
authority as condition of paralysis. For
the past few days bills of exchange have
been difficult of negotiation. even when
amply secured. and yesterday and this
morning they were practically unstable.
Notified Not to Draw.
1t is a fact that certain houses trans
acting large business. particularly in
bills secured by exports of cotton, have
notified their southern correspondents to
draw upon them no further or at any rate
until the present crisis has passed. owing
to the inability to dispose of the bills
drawn upon European buyers of the
staple. The effect Of this state of things
VIII, of course. check or greatly impede
the export business OF cotton and grain
which tends to intensity the strain in the
monetary situation
With the course of the day there was
much discussion In brokers' Offices. and
upon the stock exchange. with regard to
the advisabiity of an issue of clearing
house certificates by the associated banks.
This idea was. however. stoutly contro-
verted in clearing house circles and It
may be accepted as fact that recourse
TO such a measure will be had only as
last resort.
1t would again serve no purpose what
ever to discuss at length the transactions
in one stock or another. The necessities
of the holders of securities rather than
the merits or demerits Of the latter ac-
counted for such movements as took
place. Still. as was the case yesterday.
buying was noted in the market and
when the present state of decentralization
has subsidized these purchases will doubt
less have their full reflection