New-York tribune., 1908-12-09
FINANCIAL AFFAIRS
LOW PRICED STOCKS UP.
General Market SH0ng-Stcrt'ng
EXCHANGE 4dUanceS.

on a reduced volume Of business as compared
with the totals Of recent heavy days on the
Stock Exchange, prices in the best part Oh I4le
five hours of trading moved in the direction ol
a higher level. marked Improvement beng re-
corded bv the Hartman shares. United States
Steel ST Paul and many Of the low pl1ced
issues The securities that are paying no uINl-
dends but have future possibilities IN IilS re-
spect are being absorbed by SPECTATORS "Io
seldom make mistakes In their market opera
tions. and. according to the present programme
tho quotations of these issues will move TO a
materially higher level in the course OF the next
few months as a consequence of an expected III
crease in their intrinsic value There are many
good reasons for the bellef that 1he ii'ulASLC
value Of the so-caed cheap priced shares VIII
increase as business conditions improve but
from the point Of view of many observers theii
market quotations already have discounted com
ing appreciation in their actual worth. Aner-
can Hide and Leather preferred, Central l'eiiihe'
Denver & Rio Grande. Erie. New York. thi'as"
& st Louis Peoria & Eastern. st. Louts south
western and Southern Railway common were
among the dividend paying shares that On
loved substantial gains i'm yesterdays trading
the interest i'm these stocks. however ana Narl-
Gus other shares. as. for instance, Missouri Pa
.if1c. Southern Railway preferred and the Va
hash stocks failing 10 distract attention from
the market leaders like Amalgamated Copper
Union Pacific and Southern PaCif" Union Pa
.,ifi, closed at \ net gain of more than points
and Southern F2r13lF , NJ ND it''t ''e,N
ing came from the professional element, com
mission houses being sight factors in the deal
ings The Presidents message was not an I'M
portant factor in the transactions. as his recon-
rendatious 10 congress were in line with fore
casts that had been current in the street for
several days. The general market was strong
a. the close. showing more animation than noted
earlier in the session
As the greater part OF the Panama bond issue
of $4,000 0no has been awarded to New York
banks and bankers the local institutions will
suffer d temporary reduction in cash resources
through the payment into the Sub-Treasury Of
the subscriptions. but New York bidders for
the bonds represented customers throughout the
country who soon will begin TO remit TO this
centre for their allotments, which will offset TO
q large extent the current loss by the banks u
the government. The receipts from the sale Of
the Panama bonds will bring the Treasury's
working balance 70 more than $4,000, 900, as
against Sl5000,0 GOO ct present but in view Of the
constantly increasing deficit the government
soon either will be compelled to make further
Offering Of bonds or else withdraw government
funds from depositary banks which hold upward
Of s114000.000 federal money In connection
with this years heavy excess Of government eX-
penditures receipts il is interesting TO note
that the Secretary Of the Treasury estimates
that in the next fiscal year the appropriations
will exceed those for the year ended June 80 by
more than s57 100000. In the fiscal year ending
June go 1910, however, government income
doubtless will be far in excess Of that in the
current fiscal period call upon the depositary
banks was made few weeks ago to the extent
of 100000. each bank being asked to surrender
5000, in line with the wise policy of the Secre-
tary OF the Treasury TO handle the operation in
a manner calculated TO produce disturbance
in the money market. A further call probably
will be put out before the holidays while it is
quite likely frequent demands upon the national
banks viii be made throughout the balance OF
the fiscal year for government funds in small
amounts each successive call.
Sterling rates strong yesterday a
consequence Of an active demand for remittance
and great scarcity of exchange. No gold ex-
port arrangements were made. though IL was
considered likely mere of the metal would be
shipped IL the market maintained its advancing
tendency. The Bank of France holds upward OF
1872. 900 in gold, and It will be called upon,
according cable reports. to finance q Russian
loan of S225.000 900. Though the French bank
easily could handle such loan without making
further additions to its gold supply. ii is prob
able that the institution will continue TO secure
the metal on every possible opportunity.