New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-08-06
FINANCIAL MARKET
Local Banks Show Heavy Gain
in Cash Resources.

The course Of stock market prices yes
terday suggested to many minds that the
stantial Wall Street interests was begin
ming to encourage a change in the market
policy Of traders who for many months
had been identified with the bear side of
speculation. Quotations were strong in
the initial dealings, while at the close
net gains as rule showed fair pro-
portion of the maximum Improvement.
the heaviest advances among the promi-
nent issues being reported by Amalga-
mated Copper, Atchison, Consolidated
Gas, Reading, Southern Pacific, United
States Steel and Union Pacific, the last
named being helped by buying orders
from extremely well informed sources.
In recent days reports have gained cur
rency in the Street that the Union Pa
cifc common stock dividend would be
reduced at the next dividend meeting Of
ton to state that the next dividend
will be at the usual rate of 10 per cent
a year. barring the development of con-
ditions upsetting the railroad industry
in this country, Of which there is not the
slightest indication in present condi-
tons affecting the transportation bust
ness in the United States.
w &c haff oh Of
Union Pacific enjoying material en-
hancement than there is of substan-
tial price decline from its prevailing
level. The Hartman properties could
show a heavy falling off in net returns
for months TO come as compared with
corresponding periods last year and yet
be justified in maintaining their present
dividend payments. Mr.. Hartman
placed Union Pacific on d 10 per cent
basis because he knew that even allow
ing for periods of lean earnings the de-
velopnent Of the country through which
the company operates its lines, together
with the income received on its holdings
IL other properties, would insure the
maintenance of that rate, and his sue
cessors in the management of the road
are of the same opinion The advance
in market prices was made in the lace
Of higher quotations for wheat and cot
ton. though in the late dealings the adj
vance in commodity prices and the
strength in sterling exchange We're ef-
fective in bringing about recessions from
the high points of the day. Steel COM
mon. for instance, selling down more
than / point from it's best level.
According to the known movement Of
money in the current week the local
hanks nave Increased their cash hold
ines more than S14. 10000. due to
heavy receipts from the outside and to
excess federal government payments
over government income. The large
gain of 81, SIS, 900 from out-of-town
poluts represents in large part funds
sent to this centre from nearby cities,
rather than shipments of currency from
the West. where exchange on New York
Is beginning to reflect demand for
money from Chicago and other Western
towns on their Eastern correspondents.
Shipfnents of money from New 1Orb so
far this month have been relatively
light. even the amount of national bank
notes sent TO Washington for redemp-
ton showing a material reduction from
recent totals. the smaller outgo appar-
entity rejecting Il determination on the
part Of the local institutions 10 retain
as much currency as possible. Current
inquiry for time accommodation Is in
active. and no large amount Of money is
being put out on call, while commercial
paper is in light demand, with offerings
fairly heavy In the foreign exchange
market a firmer tendency in rates has
developed. owing chiefly to higher uis-
counts in London and the ease in money
here. but in spite Of the fact that de-
mand sterling is az a level that shows
little If any profit in gold import oper
atoms il is believed that New York will
secure the larger part OF the South
African gold that will be available in
the open London market on Monday.
our bankers doubtless have anticipate ted
the buying Of exchange necessary to OBJ.