New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1908-11-05
FINANCIAL AFFAIRS
HEAVY DAY IN STOCKS.
Ne5r High Records for the Year an
Union Pacific and Other Issues
London Takes Profits IN
the Local Market.
the Local Market.

Stock market values were strong throughout
the five hours of trading a large volume Of
business that included a fair proportion of pub
lie buying, heavy operations by the professional
element which traded on both sides of the ac-
count, and realizing sales by London. Arbitrage
houses sold stocks at the opening for specula tive
profits, while many local interests did the same.
but the largest capitalists in the country, who
for months have been identified with the upward
movement OF securities, added TO their holdings
and freely predicted the development of wide
spread inquiry for securities as a consequence
of the election of. Mr. Taft. Wall Street has
been buying stocks for q long time on the belief
that the American people would. as usual do the
right thing AT the right time. and though the
smaller operators may take their profits at this
juncture it is not likely that the Hartman
Standard Oil-Morgan-G Could Vanderbilt people
have any intention Of distributing their securi-
ties at present prices. Stocks are not high
based the price of money, on the underlying
strength OF conditions governing intrinsic value
and on the success of the party that stands for
business progress. The selling of stocks yes
terday the oldtime theory that profits should
be taken on the publication of favorable news
not heavy enough 10 offset the new buying
power influence on quotations. which end
ed the day at net gains of from l to points
in the leading active issues. The heaviest deal
ings were in st. Paul, Amagamated Copper
Reading, the Hill and Hartman issues, Penn
sylvania and United States Steel common and
preferred. Union Pacific sold at 177A, new
high record for the year, while IN many other
securities the years best figures were reported
The railway equipment shares were in better
demand, and excellent buying noticed in
Rock Island preferred. The bond market was
extremely active dealings being heavier than
any preceding day this year
It is generally believed in financial circles that
money rates will move toward a higher level in
the course of the next few months a result
Of an active demand for funds from nercan-
tile and stock market interests, and possibly
from the United States Treasury. The Treas
urys cash balance IS in the neishborhood of
s32.0G0000, while national banks hold upward
of S119,00G,000 of federal funds, q part of which
may be withdrawn by Mr.. Cortelyou in the near
future. The government November 20 will
be called upon to redeem $4,000 600 3 per cent
certificates of Indebtedness, which are held in
the Treasury as security for national banknote
circulation, and it is not likely that the banks
owning these certificates will retire the crcula-
ton involved, as such operation would COM
pei the deposit Of s14.000.000 OF lawful money
by the banks with the government. The chances
are that the greater number OF banks which have
outstanding circulation based on these certifi-
Gates will substitute other securities, and as a.
consequence the Secretary OF the Treasury will
be forced TO meet the maturing obligations from
cash on hand which he can replenish by draw
ing upon federal deposits in national banking
Institutions. Government receipts since the be
ginning Of the fiscal year have been far under
10 about $4,000 600, and from July TO $44.-
coo 900, and unless there should be heavy gain
IN income the deficit viii expand month by
month q result Of the appropriations made
at the last session OF Congress In the interest
OF the country's general welfare. Fortunately.
however. current indications point to a steady
increase in government receipts. The present
deficit In the cOuntrys finances is due entirely
the falling off IN customs and internal reve-
nue. receipts, and the decrease in these items
has been due 10 business depression. The cleo
ton of Mr.. Taft means a return OF normal times
in the business world, which Will be accom-
panied by enlarged buying movement OF
those articles upon which q duty is levied and
internal revenue is charged.
The Treasury Department soon may invite
bids for large issue Of Panama bonds in order
TO reimburse Itself for money expended on the
construction OF the Panama Canal and In this
event q call upon depositary banks may bs
pos poned. The local banks and the banks
throughout the country. however would be will
ing TO return government deposits and subscribe
TO a government bond issue. as they have large
amounts OF idle funds in their vaults and no
one need therefore feel alarmed over the money
market If the Treasury Department should de-
eide to do extensive financing as q result