Los Angeles herald., 1908-12-16
NEW YORK STOCK
AND BOND MARKET

NEW YORK, Dec 15.-The money market
showed the further effects of the demand Oh
Te,trope for gold. The subtreasurys absorption
from the banks of little over million doi-
lars although moderate by comparison WIN
the dav before, brought the cash loss on tna1
account for the banking week UP to Slo'Sss'VV IVY,
vrbicb is hut a little less than the figure OF the
surplus reserve as shown in the bank stats-
ment of Saturday. Payments conuhue 70 t,le
subtreasury office for Panama oahs a. U ornij.
Preparations were in progress TO-DAY Ior apPii
cation for the Brazilian coffee loan OF "n l
$40 0OO 600 appropriation Will be oIieIeu III
York tomorrow These demands Ior gaHN 4te
facilities outside the stock market, WIN t t
surplus down to the vanishing point nave me
effect of disodging some loans ehployeu IA
speculative holdings of stocks anu III Os"Si's
n shifting in other instances.
The speculative position was made Vulnera-
BILE by this situation and there was a purify purify
in the speculation ready to take auVah.ase
of it, The purpose of this party was Pio-
claimed by advertisement and followed by an
extensive line of selling orders from Boston esl
The market was not without support at ullIer-
ent stages at which drag on the uecIiIe
careed occa sional rallies. The rising interest
rates for call money and the lessened lneilha
ton Of lenders to place funds III that WY
hampered the speculative BUYING ana ie,I d [lae
way open to the forces operating Tor ue
cline The appointment of commission by
Governor Hughes to probe the metnous anu
practices of speculative dealnss was ., np
opportune use Of by the bear party, although
a substantial element of the stock eXchshse
membership welcomed the work thus set on
foot. -, u.ta
The good effects Of the work Of the commits
sion which formed the banking legislation last
year is proof of the good that might oe u0 i
by improvement of stock market methoos. !. 4 nc
fact remains that the proposed investigation
and reform would infringe on the practices OF
an active element In the speculation, and the
appointment of the commission mad some III
timdating effect upon this element.
There were some happenings Which rem ns
forced the bears in their attack, which laid
much stress on the unsettling erect OF tariff
revision especially OF the steer sci,euuie s,it
examination by the ways and means commit
Tee of the house of important steel men gave
point to this contention. Part OF the Acute
weakness shown by American Smeiting III tiIe
last few days has been attributed TO the prop
ositIon to reduce the tariff on lead pad
effect was produced by the reports OF the
increasing agitation over the proposltioh VI t.io
railroads to advance freight rates anu aVeras
the extensive increases said to be involved III
the changes proposed to the interstate CUM
merce commission. Threats TO take con
gressional action on the subject opened up
prospect of hostile activity toward the project
which was not relished by those VINO nave
counted on the addition Of the Increased Irelsh1
charges to the holders OF railroad securities; "A
reduction in COPPER quotations at the New
York metal market was factor IN inc ue-
preston shown by the metal industrials. me
disclaimer of the Pennsylvania railroad OF the
reports of placing of its steel rail order for the
YEAR was the cause Of some disturbance, as the
holding back of that order is OF influence on
the business of all the other railroads. A
much more active demand was reported tor
time loans, and less was offered, lesuiting In
advancing rates in consonance with the rise
to per cent in call loans. Inc nrmer money
mo rket reduced the demand for remittances of
funds of European centers and weakened the
exchange market Expected engagements or
gold for export, therefore, were not MADE. me
eonsiderahIe demand to cover shorts at the
end of the day was testimony to the profess
sonal origin Of much of the selling.
Bonds were heavy. Total sales, par value,
s6,ie4,OOo. United States bonds were unohansed
on call.