New-York tribune., 1908-12-05
FINANCIAL AFFAIRS
HEAVY DAY IN STOCKS.
Hill Shares and LOU Priced Issues
Strong Features Banks Lose
Cash.

Stocks we're intensely strong and active
throughout the five hours of trading, closing
near the best prices Of the day. which repre-
sented advances of from / to 212 points in the
leading shares with corresponding strength in
the issues of some of the lesser properties, as.
for instance Colorado Southern common. which
made new high record at 541a comparing with
its low price Of the year at 21 and II in the
manic Of 1907 The Hill stocks led the advance.
but interest was by no means confined TO that
group. the Hartman and Gould shares attract
ing a large amount Of attention while through
out the general list of prominent issues business
was better distributed than recently reported
the same thing holding true of the entire market.
Commission houses had heavier orders, espe-
calIy for out-of-town account. the appearance
in the market of orders Of this character ana
hr,ving by brokers who identified with the
largest Wall Street interests being followed by
active buying by the shorts and renewed oper-
atfons for the rise by the professional element
in general The chief selling came from opcr
ators who took advantage Of the upward move
ment 10 convert paper profits into cash Sub
stantial houses bought United States Steel
shares. the Boston report that a suit was to
be brought against the steel corporation on the
absurd ground that the concern had been spec
ulating in its shares failing to create a
liquidating movement. Some one down in Bos
ton apparently is short Of the market, but Wall
Street is not sympatheticalIy inclined. The buy
.
attract more than passing notice. The pre-
ferred advanced for the day nearly 4 points,
the common was up ~, while elsewhere in the
Gould group conspicuous strength was shown
by Texas & Pacific and Missouri Pacific. The
Erie shares improved result Of the com
pany's favora BILE earnings The American To
bacco bonds and preferred stock were strong
features
According to the known movement of money
I'm the current week the local banks have lost
more than 5000 900 in cash holdings. due al
most entirely 70 their operations with the Sub
Treasury. including gold exports. Though the
government continued to show an increasing
revenue deficit in the week. special operations
with the local banks brought about 3 big loss
to the latter and unless the unknown movement
of funds presents an offset to the transactions
with the Treasury to-day's statement Of tire
Clearing House institutions will show mate
rial reduction in The cash item. Indications sug-
gest that there has been an expansion in loans.
and if this proves to be the reserve hove legal
requirements viii register substantial decline.
Money rates At the close Of the week are quota
bly, higher than they were at the start. but out
side Of the cell department Of the market the
demand is not heavy. though in commercial
paper the business OF the last few DAYS has
shown Improvement The volume Of pavments
through clearing houses is increasing. and for
the month of November the records show a gain
Of - per cent over the same time last year and
q gain Of per cent over October Of the current
year. while in the week Just closed there was a
u per cent over 1907. The increasing use Of
money is reflected in the expansion Of business
presented IN bank clearings. and with each
gain in the amount Of weekly clearings the
chances Of higher rates for loan accommodation
will become more defined It is not to he ex-
pected that money ates viii rule at the current
easy level fer any length Of time. though there
Isl no reason TO suppose that anything approach
ing excessive quotations will develop.
Reports received last night from the CONNER
cial agencies covering all parts Of the United
States presented satisfactory evidence Of strong
underlying conditions in the commercial world,
with indications of a gradual expansion in ali
lines of industry These symptoms OF greater
activity on our Industries, together with the
large supplies Of money and the belief
that senseess opposition on the part Of
the public TO corporations that obey the law is
on the wane. encourage activity in the stock
market by interests who have large financial
resources and whose operations tend to increase
the market value Of investments and to
strengthen the credit of this country I'm the eyes
of the whole world. Stocks are not moving to
higher Levels on arguments that not based
on facts There may be manipulation in the
current speculation. but it is the sort of manip-
ulation that is .enriching every investor in the
country rather than the sort OF manipulation
that has for its purpose the destruction of
values and the ruin Of innocent holders of Sc
curities The forces In the current market are