New-York tribune., 1909-10-28
FINANCIAL MARKET
STOCKS END STRONG.
Sterling Erchange Rates Up
Ifter Early WeakneSs.

Stocks were strong in the best part Of
the day. with substantial net gains
among the leading issues. especially in
United States Steel common, Amalga-
mated Copper. Union Pacific Southern
Pacific and Reading. The decline that
developed in the last hour in Tuesdays
market created a short interest which
furnished the basis for the active rise
yesterday, the chief, buying coming from
traders who showed an urgent desire to
cover on the absence of the sort of
liquidation that marked the transactions
of the preceding day and on the appear
ance of heavy supporting orders from
important banking quarters. Commits
sion houses were not active buyers for
public account, and the general move
ment did not create an impression in
quarters where speculation is carefully
watched that another period of rising
prices had set in.
With the exception Of a few leading
securities, business was light in volume
throughout the day, the larger part of
tie total transactions being furnished by
seven stocks, including the Interborough-'
Metropolitan issues, which with United
States Steel common supplied more than
one-third of the entire operations.
Though the buying of the last named
was heavy, its price failed to make a
conspicuous gain until the last hour,
while in most shares advances were con-
fined to fractions. with the heaviest
operations for long account in the final
dealings Commission houses that are
not noted for conservatism advised the
purchase of stocks at prevailing levels,
but in the day there was little response
from the outsiders who apparently have
been heavy losers in the decline from the
top points of the year, particularly in
Steel and Union Pacific. AS a per cent
industrial United States Steel is selling
for all it is worth Union Pacific may be
bought TO return about per cent, and
many other good stocks are now at at
lractive figures as investment purchases,
but the conditions governing money do
not yet warrant heavy buying on bor-
rowed funds.
Call loans were renewed yesterday at
4 per cent, the lowest rate in a week or
more, the easier tendency for this class
Of accommodation creating an impression
not warranted by the actual monetary
situation that bull operations in stocks
could be resumed with the certainty Of
no interference from the money market
Though the tone of the money market
indicated a good supply of funds avail
able for demand loans, there was no
suggestion in time rates or in the move
ment of foreign exchange that indorsed
the theory that monetary conditions had
improved to an extent that furnished a
reasonable basis for a sustained advance
in securities prices, especially as sterling
rates again were in the neighborhOod of
the level at which gold could be shipped
to London The Bank of England has
been able to increase its gold holdings
as a consequence of its D per cent dis
count rate, and while stiff quotations
for funds in the British capital doubt
less will prevail for several weeks to
come, there appears little probability Of
q further advance in the banks official
minimum quotation. which already is at
an abnormal range for this period OF the
wear. Exports OF cotton at high prices
are increasing. and a better supply of
bills against shipments Of grain is re-
ported. but the inquiry for exchange is
heavy enough 20 absorb all offerings at
prices that discourage the idea that this
country viii be able 10 import gold at
my time in the current autumn.