New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-10-01
FINANCIAL MARKET
Banks Suffer Heavy Loss on the
Weeks Currency Movement.


Stock market traders worked on the
bull side OF speculation in the best part
of the day without attracting an outside
demand for securities. Bull tips were
plentiful. and something pleasant was
said Of about every stock on the list,
while the room element made up its
mind that the Republican state ticket
would be elected, and that Republican
victory after all, would he the best
thing for the business interests of the
community. Earlier in the week the
contrary view prevailed, and opinion is
likely TO change again to-day, as the
Street is in an extremely mercurial
mood. with no well defined ideas on any
thing. In the end Wall Street will reach
its usual conclusion regarding the mean
ing of Democratic success and cast its
votes for Mr.. Stimson and his associ-
ates. but in the mean time professional
spectators will use the progress of both
parties as market arguments as best
suits their changing views and technical
market conditions. Monetary condi-
tons are not favorable to a bull move
ment at present, and efforts to advance
prices to materially higher levels, which
can be done only by a general participa-
ton in the market by the public, will be
checked by higher rates for loans.
Loans already are heavily extended,
and are more than S10O,0oo,0o0 larger
than they were early in August. not
withstanding the light volume of bust
ness that has been transacted in the
speculative markets for many weeks
Total sales yesterday We're not of i'm
portant proportions, while the opera
tions were poorly distributed, with the
chief dealings IN Union Pacific, United
States Steel, Reading and Amalgamated
Copper. The Gould stocks and Western
Union were strong but trading in them
was not heavy. Buying Of Western
Union was accompanied by report OF
; per cent dividend. guarantee by the
American Telephone and Telegraph
Company; also by a report Of an actual
merger. OF the two companies The
Street was so certain that something of
the sort was about TO take place that it
had all the details figured out TO the
nlinutest item. The taking up Of diff
ferent specialties again was something
Of a feature. but not an impressive one
so far as being an indication of the
presence of substantial interests in the
market was concerned. Last prices We're
at or near the best Wheat and corn
made new low records for the year,
while cotton was strong.
According to the known movement Of
money In the week the local banks have
suffered a heavy loss in cash holdings.
the estimated reduction amounting to
more than ST., 900, due almost en-
tirely to excess payments to the Sub
Treasury. On their direct operations
with the interior, not including ship
ments Of gold to Canada, the account
was about evenly balanced, but con-
siderable proportion of the loss to the
government was indirectly for outside
institutions. customers Of which paid
customs and internal revenue obliga-
tons by drafts on this centre. Unless
there has been a large contraction in
loans and offsets to the decline in cash
on the known movement OF currency by
over the counter payments, to-day's
Clearing House statement doubtless Will
show a material decline in reserves. as
compared with a week ago, when the
total above legal requirements stood at
SI7. $4,000 Money rates were firm
yesterday, but foreign exchange was
easier, demand sterling falling % points
under the pressure of a good supply of
cotton bills and offerings against bonds
placed abroad, while lower discounts In
London also tended to weaken the
market In addition TO a small amount
NJ Union Pacific bonds taken in London
in the week announcement was made
Yesterday of the sale OF a considerable
block OF Chesapeake e. Ohio issues TO
foreign interests. the two operations. it
Was thought. foreshsdowing the resump-
ton 81 a European demand for our
securities Such demand would be a
most desirable development at this par
ticuIsr period.