New-York tribune., 1910-11-05
FINANCIAL MARKETS
Call Money Firmer, While Ster
Iinq Rates Decline.

! On a light volume of business stock
market prices moved toward higher
levels in the early trading. while in the
afternoon operations weakness devel-
oped throughout the list on selling by
the professional element. which appeared
to be discouraged over the refusal of the
public to enter the market on the ad-
vance of the last few days, and on real
! izing by operators who decided to con-
vert paper profits into cash on the chance
of decline in prices following the cleo
ton. There were no outside news de-
velopments warranting lower quotations,
but further strength in the call money
market at a time when speculation was
OF unimportant proportions suggested to
many observers that actual cash would
be better asset than long accounts on
brokers' books in the course of coming
weeks. The estimated movement of
money for the week encouraged the ex-
pectation Of an unfavorable bank state
ment to-day, which was not offset by
weakness in sterling exchange as a fac
tor in the stock market The downward
movement in stocks was accompanied by
a report that the New York Central was
about to sell S20.0O0,000 short term
notes, and that such financing could
only be done on conditions unfavorable
to the company which was not consid-
cred improbable in banking circles, oW
ing TO the present position Of the local
money market.
Support was rendered in New York
Central Reading and Union Pacific
about points under the high figures of
the morning, while in United States
Steel good buying orders came out a
point or more under the best, stop or
ders being caught in the issues named
and in other parts of the market. In the
course of the early operations the rumor
again was put forth that the Washing
ton administration had prepared a fed
eral incorporation measure for the relief
of companies operating in conflict with
the antitrust law. and that the draft Of
the bill had been approved by leading
Wall Street interests. This idea, care
fully nursed, and silly tales of immedi-
ate heavy financing abroad of the re-
Guirements Of American railroads sup
piled the basis for the mornings ad-
vance on which shrewd old bulls liqui-
dated their holdings. Last prices were
above the lowest on covering of shorts III
the final trading. Steel common showing
a small fractional net gain.
The speculative element in Wall Street
appears to believe that the resources Of
the local banks soon will he materially
strengthened through imports of gold
from Europe. While there is no reason
to suppose that New York Wi be able
to secure the metal in London, with the
Bank OF England making every effort to
increase its own holdings of the metal,
Stock Exchange traders here are beset
with the idea that in the immediate fut-
ure Europe will take a large amount
Of new American railroad securities
which. with our growing exports of ner-
chandise would place the New York
market in position to draw gold from
the British capital or from Paris 1t is,
of course, possible that "A small amount
of the metal may be secured abroad if
sterling exchange here should decline
much further. but in the present state
OF the London money market ii is diff
cult to conceive Of shipments in volume
from that centre or, for that matter,
from Paris. Call money in London was
put out as high as 5A per cent yester
day. against "A high Of AZ per cent in
New York, while demand sterling at this
centre showed an easier tendency. Ac
cording 10 the known movement of
money in the current week the local
banks have lost more than S4,O0O,0OO in
cash holdings, the larger part of which
was due To operations with the Sub
Treasury. The loss TO the interior on
direct movements was 81 733 900, re-
ceipts from out-of-town points being
81 100000 less than reported week a 90
and shipments about 100000 heavier.