Los Angeles herald., 1908-09-12
NEW YORK STOCK
AND BOND MARKET

NEW YORK Sept 1.-THE action Of the
stock market today was a striking testimony
20 the important part played by cheap ana
abundant money supplies In the movement
which has carried prices to their current high
levels. The stiffenng OF the money market
was very moderate In dasree and the avail
able supply remains far from the point OF ex-
taustion The inroads making on that supply
establish Its declining tendency however, ana
sreoulators today continued to pay more Tor
leans on call for many months preceding me
apprehension that the forces OF depletion may
cause stil higher rates proved Formidable
weight upon speculative sentiment. ESTIMATED
by accepted authorities of the weeks curren.
movement to and from the interior estimated
the turning Of the tide away from New YORK,
the excess OF shipments from the city having
reached about s2,0O0,0O0. Losses on suptreas-
ury operations. which amount to SS2IOOO, are
extended by payments to the government OF
drafts on New York correspondents to pay
internal revenue taxes, which make their ap-
rearnnce only when demand for cash AT IN
terror points is felt There has been marked
decline also in the daily average OF national
hank notes presented to the subtreasury Tor
redemption, which are features Of the season
when interior banks are shipping this form or
currency to New York. Bank notes OF the
United States treasury fund still stand at up
ward OF $50 $1,000 in spite OF efforts OF extra
clerical forces TO keep up with the sorting Of
these bills FOR return to the issuing banks
This compared with a maximum OF over $751;
100000 Of these notes in the general fund IN
july, hut II also compares with only slO,00O,-
001 in the period before the refiux from the
circulation began after the panic The fact
that only about st7O 600 of the $50, 900
bond circulation put out following the
panic has been retired by the issuing banks,
explains this automatic pressure to get out OF
circulation. The rise in call money yesterday
was traceabie to calling loans by one OF the
banks engaged in accommodating exchange for
redemption of New York city revenue bonds In
Ion on November /. There were reports
OF actual selling OF loans today, but the supply
of bank money offering on call is said to be
less and this created fears of a definite turn
away from great ease in the situation. vari-
Gus reports were current of the enormous loans
outstanding on call by the banks most closely
AFFILIATED with the group OF capitalists creditedl
with the conduct of the upward movement of
prices during the summer The control OF the
situation thus conferred In few hands. caus-
ing uneasiness over the possible effect OF the
change In the market situation of such a
powerful combination. The passing OF the
American Locomotive dividend made the other
railroad equipment stocks weak and the in
ferences from this not helpful to the
iron and steel group a whole. Reading got
some occasional benefit from the further con-
sideraton of yesterdays decision against the
validity of the commodities clause of the Hep
burn act While the market Irregular at
times. the days business done below yes
terday's prices and the prevailing tone was
weak.
Bonds were irregular Total sales. par
value, SO, 5000 Government bonds were I'M
changed call.