New-York tribune., 1909-12-04
FINANCIAL MARKET
STEEL STOCK STRONG
Banks Lose Heartily an Cash on
Currency Increment.

Activity i'm the stock market was con-
fined 10 a few issues. but the general
list showed an improving tendency. with
decided strength in many of the promi-
nent securities. notably the local trac-
t,On shares. Reading. Union Pacific,
Consolidated Gas. Amalgamated Copper
and American Smelling and Refining.
Brooklyn Rapid Transit and the Inter
borough Metropolitan stocks We're strong
features. the movement in them being
accompanied by reports that Morgan and
Ryan interests were active buyers. The
Street has made up its mind that Mr..
Ryan will want TO buy something with
the proceeds of the sale of his Equitable
Life holdings. and il appears 10 believe
that he will make an investment in
Brooklyn Rapid Transit. which many
people consider cheap al its current quo.
tation. despite the competition that will
develop with the building OF new sub
ways in the Borough of Brooklyn. II is
understood that Mr.. Ryan sold his Equit
able stock TO Mr. Morgan for the price
at which he purchased il from the Hyde
estate. plus 4 per cent interest on the
purchase and IL is also understood that
in the event Of the complete mutualiza-
tion Of the company Mr. Morgan will
turn the stock over on the same terms.
There is. however. no immediate pros
pect Of the company becoming a mutual
concern.
Bull traders found substantial
amount OF stock when they carried
United States Steel common To ~. TAX
ing large blocks from that price down 10
ssik. while similar situation was re-
ported in Reading and Union Pacific
Reading is selling at a price that would
only be justified by some great distribu-
tion Of assets or by an increase in the
dividend TO : per cent, and though il is
known that certain interests in the COM
pany are opposed To higher dividends at
present. the Street appears To be con-
WINGED that the long predicted change
In the rate will he made at the next
dividend period. The majority interests
in Reading. however. are making no
promises The president of the company
recently was quoted to the effect that he
was opposes 40 an increased dividend be-
cause the physical requirements Of the
property needed the expenditure Of more
money. Much of the buying i'm the day
came from the shorts but there was no
evidence that the short interest had
been fully covered. There is big bear
interest in American Sugar Refining and
more of the stock available for specu-
lative purposes than 1T any time i'm re-
cent years The issue. nevertheless, was
strong yesterday.
According 10 the known movement Of
money i'm the week the local banks have
lest upward of S5.OOO,00O IN cash hold
ipgs i'm spite Of a considerable gain on
their operations with the interior. Re
oeipts from out -of-town points We're
heavier than in any preceding week
since the early part Of July, and repre-
sented TO a large extent remittances
from Chicago. where exchange on this
centre has been quoted at an abnormal
premium for this period Of the year.
The banks. however. shipped substantial
3mounts of gold To South America and
Canada in the week. this movement, to-
geiher with Sub-Treasury transfers 10
San Francisco. mUre than offsetting the
favorable balance on transactions with
the Middle West and nearby points. and
suggesting a reduction In rcs,rVcs in
to-day's Clearing House exhibit unless
there has been material contraction in
loans as consequence Of the liquida-
ton in the stock market. The course Of
call money in Ihc week has not Indicated
Improvement IN the reserve above legal
requirements Chicago banks have been
putting out a large amount "f money in
time loans i'm the local market. while
borrowers on call also have secured ac-
commodation from out-of-town sources.
and from the current tendency of the do
rnestic exchange market money from
other centres will be an important factor
in the situation here throughout the
month. Sterling exchange conditions re-
feet a great scarcity Of commercial bills.
ewing TO the Light outward movement OF