New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-05-21
FINANCIAL MARKET
Heavy Cash Gain Reported by
the Banks.

stock market prices moved toward
higher level, under the influence OF
covering by shorts and buying for long
account, the latter apparently represent
ing accumulation by substantial inter
ests. The volume of trading was not
large, though in the last hour transac-
lions increased in all the leading issues,
which showed material gains at the
close, Union Pacific, Reading, United
States Steel, Amalgamated Copper and
Canadian Pacific ending from ! to more
than points above the final figures in
Thursdays market. Canadian Pacific
again enjoyed marked improvement, and
the fact that there was some buying of
Ontario & Western at the same time
encouraged the idea in Wall Street
speculative circles that the latter
road would pass to the control Of the
Canadian company. Doubtless the New
Haven would be willing to sell its hold
ings of the Ontario & Western, as year
or more ago it gave an option on its
stock to the New York Central, but it
is quite likely that the price it would
demand would be too high to appeal to
the Canadian Pacific people, while it
also is likely that a New York entrance
for this company would be strongly
opposed by the Vanderbilt interests.
The Wabash also figured in spectators
ideas as possible candidate for Absorb
ton by the Canadian Pacific. Baltimore
& Ohio moved up with Reading, and
Chesapeake & Ohio gained a point on
the advance in the dividend to q per
cent basis. The ability of many rail-
roads to increase dividends in spite of
higher operating costs, the favorabl
reports from the agricultural section of
the country, a large gain in cash by
the banks and the expectation Of an
early announcement OF the sale of 500
100000 ST. Paul bonds to Paris bankers
were factors that encouraged bull senti-
ment in the Street.
According TO the known movement Of
money in the current week, the local
banks have gained more than 100000
in cash resources. Contrary to expecta-
ton, based on the course OF the do
mestic exchange market, receipts Of
currency from the interior were exceed
ingly heavy and ran almost S6,OO0,O00
in excess OF shipments, while in addi-
ton the banks resources were increased
by receipts Of new gold and by their
operations with the Sub-Treasury. I'm
less the known cash gain by the banks
should be heavily offset by unpublished
over the counter transactions, the state
ment of the Clearing House to-day
should show a material advance in the
reserve above legal requirements, which
week ago stood at 81, S27 600, al
though the money market Of the week
has not foreshadowed the gain expected.
AS there has been little activity on the
Stock Exchange, it is not likely that
loans will count for much in the bank
figures. Sterling exchange was strong
yesterday, with an active demand for
remittance, against which the supply of
bills was not heavy; while there was no
indication OF material Improvement IN
the latter respect in the immediate
future, as far as increased offerings Of
commercial bills was concerned. Bills
against bonds placed abroad have not
yet made their appearance in volume
and it may be the intention Of interna-
tional bankers to peddle them out slowly
in order to maintain sterling rates at
high levels. Although the London mar
kets were closed yesterday, the infiu-
ence of the advance in discounts at the
British capital Thursday continued to
be a factor in our exchange market.
which also was affected by the some
what easier tendency in local money
rates in the last two days Call money
did not go above 31a per cent, compared
with high of 4 per cent earlier in the
week.