New-York tribune., 1909-07-10
FINANCIAL MARKETS
SECURITIES IN4CTIVE.
Quiet Distribution of Stocks Con-
tinues-Lighter Flozo of Car
rency 10 Nee York.

Favorable news of the crops and general busi-
ness and a generous supply OF bull tips fail to
encourage active buying of stocks the chief de-
mand at present coming from the shorts and
from second rate operators who believe prices
must soon move TO higher levels as cOnse-
quence of the many encouraging factors in the
country's industrial situation In yesterdays s
trading further liquidation for the account of
substantial interests was reported. The market
as a whole was weak, and reflected for tine first
time since the movement began the effect of the
steady though quiet distribution that has been
going on in the general list in the last fortnight
particularly in the railroad shares, which are
selling at levels that represent only small in
vestment return to current buyers. The report
of the Copper Producers Association on the sup
plies of the metal on hand made favorable eX-
hibit but it failed stimulate a demand for
Amalgamated while the overnight consideration
of the splendid progress Of our grain crops as
indicated by the governments monthly figures
likewise was without influence upon the trading.
though operators heavily committed TO the bull
side of the market professed to see excellent
buying on the reaction. The larger interests are
supporting the market only to the extent of pre-
venting serious losses In the late afternoon
prices showed some improvement on covering
operations. and at the close few net declines
exceeding fractions were reported. the Interna-
tional Mercantile Marine shares. American
Smelling. Western Maryland and Louisville &
Nashville making the poorest showing Selling
of the Marine Company's stocks based on
the unfavorable annual report and the belated
discovery that the company had charged moth
ing off to depreciation IN the year while liquida-
ton in Western Maryland was, due to the expec-
tation of a heavy assessment on the stock in the
reorganization. The Hawiey shares were fairly
firm; also Pennsylvania and American Steel
Foundres. The foreign markets were stupid
as our own. Dealings in bonds were reduced
nearly one-half, compared with the opera
tions of the preceding day
Ind q a U1o demand money
outside New York presented in the position
of the domestic exchange market and in the
movement Of currency In the current week, the
latter showing a falling off in receipts at this
centre from the interior OF more than S5000.000,
as compared with a week ago. and decline in
shipments TO out-of-town points Of s3700.000.
This calculation is made basis of five bust
ness days for the week under review, but even
so the falling off in receipts and shipments is
large enough to suggest that the flow Of cur
rencv which in recent months has been heavily
in favor of New York. is beginning to move the
other way. Exchange at Chicago on New York
is now at a discount, against a premium last
week The local banks have gained on the
known movement of currency since last Friday
inward Of 100000 and unless there has been
a large expansion in loans or loss in cash on
unknown operations to-days Clearing House
statement ought to show a slight addition 10
the reserve though the heavy decrease shown in
last Saturdays exhibit of actual conditions may
be reflected to some extent in this weeks aver
ages A further decline in sterling exchange
Yesterday removes the possibility of gold ship
ments to Europe by steamers sailing in the early
mart of next week while the ease Of money at
London and the offering of forengn funds here
suggest the development of conditions that will
offset for some time TO come losses that may
be suffered by the local banks on their opera
,ione with tbe interior Much higher rates for
funds however will. from all indications. de-
yelop later in the season and the probability OF
higher money apparently is now an important
consideration in inducing the sale OF stocks at
prevailing high quotations. Loans of the New
YORK hanks have been heavily extended stock
market commitments. and when the interior be-
gins to draw upon this point for money in con-
nection with the financing Of the crops and
general fall business the liquidation Of specula-
tive loans will become imperative. There is no
better argument than this for the realization of
profts on stocks at existing levels.