Norwich bulletin. [volume] (Norwich, Conn.) 1895-2011, 1910-11-01
FINANCIAL AND COMMERCIAL.
SPECULATION DRooPS.
Slight Rise in Call Money Prompted
Late Recovery.

New York, Oct. 31.-The spirit Of the
speculation in stocks was inclined TO
droop today. Unsatisfactory steel trade
advices, the money requirements Incl
dent to the November settlements and
the credit and investment position gen
orally and the near approach of the
elections were factors in the action of
the market. A later recovery was
prompted by the slightness of the rise
in call money and by covering Of
shorts.
The action of the call loan rate did
not show excessive strain on stock
market resources from the require
Nents OF the November settlements,
the rate going no higher than four per
cent Relief is afforded also by the
distinct improvement in the money
position in London which is reflected
in lower rates for exchange in New
York The private discount rates de-
clinad again in London today. The
bank of England secured the bulk OF
the weeks supply of South African
became confident that the necessity for
a SIX per cent. bank rate in London Is
definitely averted. The likelihood of
drawing gold from New York for Lon
do1 account for shipment to South
America is correspondingly lessened.
The sustained demands upon New York
cash reserves add to the Importance OF
this relief. The sale of $4,000. 600 one
year Michigan Central notes in Paris,
marking the temperance OF short
time obligations Of the railroads for
lack Of ability to place regular bonds,
is regarded as systematic. The terms
of the transaction are not divulged.
but a S long ago as Oct. IS President w.
G. Brown of the New York Central
lines asserted publicly, before the in
terstate commerce commission, his
conviction that it would be necessary
for his company to pay six per cent.
on these notes. Moreover. the amount
then sought was S17,500 000 instead OF
the 100000 now secured. MIR. Brown
stated a { the same time that the best
bid which could be secured for the
ST, 500,0 900 of four per cent. twenty
YEAR debentures of the Michigan Cen
trail by which it was first sought to
raise this capital was 81 for the entire
issue. These statements by President
Brown were ignored bv the stock mar
ket at the time they were made. but
they were recalled TODAY in connection
with the sales of Michigan Central
notes TO Paris and with the renewed
dullness which has fallen on the bond
ma rket.
Statements that the steel trade went
through the last week of October al
low tide with new business for the
United States Steel corporation at less
than 50 per cent. OF capacity, had
discouraging influence. Less hope was
professed of any influx of orders from
the railroad conpa MES before newt
year. Reuorts OF shuttine down of tin
plate mills were an additional facto~
in the denression Of United States
steel. That stock absorbed a third Of
the total dealings in the market and
its movement was decisive in shown ?
tle general COURSE of prices. J.
touched last weeks low price but de-
veIor ed resistance AZ that level and il
its recovery carried the whole list with
IT,
Eordes were steady. Total sales, par
value, 81 665. 900. United States bonds
were unchanged on call.