The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1910-01-09
WALL STREET NEWS
Taft Message Has No Effect
on Stock Trading.
PRICES SHOW UPWARD TREND
Total Advances Less Than a Point
in Any OF the Stocks Usually Called
Gain Is Not More Than Half
Point-Buying Is Inactive.

New York. Jan. S.-PartIy because of a
course Of reasoning following lines IA
miliar to Wall street that the long-ex-
peeted message of the President to Con-
gress was a thing of the past and partly
because Of general belief that the weekly
bank statement would be favorable. the
prevailing tendency of to-day's market
was upward
There is no doubt that a considerable
short interest was built up in the market
on the earlier position of the week, and
just as they have done on pretty nearly
every occasion IN the last three or four
months when a small profit was visible
on their ventures, professional operators
for the decline were as rule employed
yesterday and to-day in covering their
commitments.
Aside from this general trend, the days
market was wholly without feature. Ex-
cept in the case OF the Virginia Carolina
Chemical shares, the total advances made
were less than point in any Of the
stocks usually called active. and in most
OF these stocks the gains were not more
than half a point From the beginning 20
the end of the day only professional buy
ing and selling was evident.
Statement Proves Interesting.
The bank statement was notable for the
extraordinary disparity between the aver
age and actual figures of the return. IN
der the average system OF compilation,
loans increased SS.sS5,OO0 and cash in
creased S4l2O00, which. with an increase
in deposits of $4,000. resulted in a de-
crease OF $1.422.575 in the average sur
plus. The actual figures differed widely
from these with an exhibit OF a decrease
in loans OF $l4.120S0. an increase OF over
100000 in cash. which. with a decrease
Of nearly s2,59O0OO in deposits, save an
increase in surplus of ll.O6l,125.
Rather obviously TOO, the statement OF
banks outside the clearing house made
showing Of a decrease in loans OF Sl9.644.-
600 and an increase Of S2,0O00O0 IN cash.
OF course, the contrary and puzzling
character Of these different exhibits was
due TO the usual complicated shifting of
loans and cross currents OF money move
ment between the banks and trust COM
panies and out-of-town institutions Incl
dent to the first week OF the new year
Surplus Reserve Low.
Attention, however ought to be drawn
TO the fact that the average surplus re-
serve now is s4,765,S25, which is by far
the lowest shown at this date in the last
dozen years. and compares with a surplus
OF even SS,6407OO In 1907, when the bust
ness activity of the country was at its
height. It may or may not be considered,
according TO the turn of mind OF the in
dividual whether there is any great
amount OF room left here for a further
extension of stock market credit.
All trustworthy statements as 10 the
condition of the country's business seem
to run to the effect that an exceedingly
fiourishing state Of affairs continues in
this regard. and that the outlook for the
country's spring trade is good
It is equally obvious. however. that the
money situation proper is such as to give
reason for much serious thought. and not
the least interesting phase OF this matter
is that the countTy's adverse trade bal
ance is in a state where any material
fall IN money rates-of which. however. |
there seems to be no likelhood-wouId !
result in a large further expectation OF
gold. A certain lull in business right at the
moment is obvious, but this is entirely
seasonable and Is. indeed, according to all |
observation. less than Is eustomarily seen !
at this time