The Montgomery advertiser., 1908-07-06
FINANCIAL REVIEW.
Week Was Marked By The Greatest Inactivity.

Inactivity. New York, July .5--It is necessary to go back to the. records of pre- vious years in which Presidential elee- lions have occurred to md any paral- leI for the stagnation in which the se- curittes market ended last week. q
 The dwindlinK volume of activity coo shares. Last week the pendency of the holiday at the, end Of the week was aan additional influence in eon- tractfng the dealings. the more so as some of the stock exchange aB1emsa berg. felt themselves aggrieved over the refusal of the governors to grant a petition to close the exchangeh on Friday as well as Saturday and took their departure early in the week for a prolonged holiday.
 There was a perceptible. if slight stirring of demand in the bond divis- ion of the market in spite of the pro- found apathy in the stock division. Usually, such e demand springs up in anticipation of half yearly disburse- nents of dividends and interest in January and July. On this occasion. 1t was indistinguishable until after the turn of the half year and was very moderate then.
 The large offerings of new issues which have been placed on the mark ct in the last few months. following the success of the Pennsylvania sale of S40, 1000 of first mortgage bonds, are held partly accountable for the biunted investment demand. -> The showing of declining earnings of railroads in es- hibfts now coming to hand. the en- croachment which results on amounts available for distribution in dividends and even. in some cases, the margin lacking in the amounts required to meet fixed charges, make an unfavor- able influence on demand for invest ment.
 It Is obvious that the lack or money market resources plays no part in the sluggish investment demand. The half yearly requirements in New York were unusually heavy. including provision for disbursements approaching $200,- 100000 subscription payments for $1l,- B25.000 of new Northern Pacific stock and withdrawhl from the hanks of something like s2S,00D,o0o by the trust companies to replenish their. propor- ton of reserves in compliance with a newly effective provision of the law There was besides the notice from the Secretary of the Treasury of recall of &45,000,000 of, deposits payable by July Is. which is expected to converge largely on the New York banks. Not wtthstanding these large requirements U1OuEg OlA -CaAA AA -ANtW OEA eutQ not rise above two per cent. and that but moentArily, with a subsequent to one per cent. Loans on time carrying over the end of the year fell to a three and three-quarter per cent rate. Facilities for holding securities are thus made amundant and there Is no pressure of liquidation. The steady tone of the market is a consequence in spite of the of demand.
 Besides the ease of the money mar ket the good promise of the countrv's crop Is a sustaining influence on stocks.
 Confidence in the crop outcome was not impaired last week in spite of some unfavorable reports affecting the winter wheat crop. This confidence in the progress of the crops keeps up the hopeful spirit which is felt in a revival of business activity when tho crops begin to move.
 This hopeful spirit is discernible in the tone of the mercantile reviews and In the expressed views of railroad traffic officials.
 In the railroad world there is a noto of anxiety over the possibility of wage adjustments to be entered upon. Rail- road authorities consider that the con traction in railroad earnings confronts them with the alternative of raIsine freight charges or of reducing wages in order to conduct business at . proft