New-York tribune., 1909-09-15
FINANCIAL MARKETS
ADVANCE IN STOCKS.
Reading the Leader-ActiUity OF
PoOLS-Time and Call Money
Higher.

Opening active and Irregular, with overnight
Improvement in a number OF issues. the stock
market yesterday displayed an advancing ten
dency. although on reduced volume OF ousl-
ness. and closed at about the best OF the day
The trading was mixed in character. a consider
able proportion OF the buying representing COW
ering by shorts and another substantial part
the operations of pools There were intervals OF
dulness with occasional recessions due 10 profit
taking but the undertone was at all times
strong and in the last hour the market become
broader and more active. the close showing net
gains for practically the entire list. ranging from
fractions TO four points The market leader was
Reading, which on sales Of nearly one hundred
and seventy thousand shares advanced 2h
points. ending the day. however, about a point
under fits high. Its advance was accompanied
by reports OF a coming increase in the price of
coal and OF vague favorable Developments fol-
lowing the arrival Of President Baer who has
Just returned from Europe. Union Pacific pre-
ferred was unusually active. making net gain
of 355 points on buying associated with the now
familiar reports Of early announcement OF the
segregation plan. and the common rose more
than points. Southern Pacific and Steel COM
mon advanced fractionally. Western Union was
among the active Issues rising TO it's highest
figure in many months, S1as, on reports. subse-
quently denied. that the company was to be alb
sorbed by the American Telephone and Tele-
graph Company. and closing with net gain of
1& points at SO%. The reports were revived Of
melon" for Louisville & Nashville and that
stock advanced 4 points. while Atlantic Coast
Line. which controls it. gained 2h points.
Little public interest is reported in the securi-
ties market. and. according to the statements
made by commission houses. no large lines Of
stock are being carried for the account of the
so-calIed outside element, which was compelled
in the bull speculation. several weeks ago. In
view of the low position of bank reserves 1t is
well that there is not a weak public following on
the bull side of speculation but IT should be
borne in mind that, while stocks are in strong
hands, they are being carried in large part on
borrowed money. Even strong speculative IN
terests may be compelled to reduce their lines
in the event of stringency in the money market.
though il is not likely that such a movement
would be accompanied with serious declines in
prices, assuming that reckless speculation
develops. The absence of speculation Of this
character will tend TO prevent acute disturbance
in money The flow of currency TO the interior
was heavy last week. and from present indica-
tions it promises TO be larger this week. the in
quiry in connection with the financing OF the
crops and the mercantile demand which natur
ally is active after a period Of business de
4
point Of out-of-town bank balances In the last
eighteen months the New York banks have
! gained on the interior currency movement more
! than S2J0O00,000. In the same time the local
| banks have lost an enormous amount Of money
on gold exports, while loans have been en-
! larged TO a marked degree. and in spite Of the
| big receipts from other cities cash holdings OF
| the Clearing House institutions are smaller at
! present than they at this time year ago,
with reserve above legal requirements of only
81 i.4l9. 10. compared with sol 992,S25 In 1908.
Trust company reserves also are only trifie
/ more than legal requirements Since last Friday
! the banks have lost more than S4.OO0.0o0 on
their operations with the Sub-Treasury.
Time money IS firmer and higher quotations
FOR call funds are looked for. the call rate hav-
! ing touched per cent yesterday. It's highest in
several months. The hardening tendency in the
money market far has not been reflected in
an easier market for sterling exchange. in which
there continues 10 be noteworthy scarcity OF
commodity bills and fewer bankers bills than
recently reported. Cable dispatches record a
better demand for money In Europe and a
strong Continental inquiry for gold at London,
especially from Russia, which in the last two
weeks has secured all of the South African
metal offered in the open London market, the
I shipments 10 81. Petersburg doubtless repre-
senting disposition i'm banking circles at that
centre 90 strengthen resources in expectation Of
dearer rates Tor accommodation. New York al
: IN the nsighborhood OF $500.00O,OO0. and 10