New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-07-27
FINANCIAL MARKET
Money Rates Still at Easy Levels,
but Higher Figures Likely
in August.

The stock market moved IN an eX
tremely irregular manner throughout the
five hours Of trading, and with the ex-
ception Of a brief period Of activity in
the early dealings, when decided selling
pressure was reported. speculation was
quiet and without especial feature. At
the close there were more net gains
than losses. Efforts Of bear operators
10 bring about materially lower quota
tons were without much effect upon the
general list, and while traders as a rule
were extremely bearlsh bull interests
showed no apprehension over their po-
sition and maintained that possible de-
clines at the moment would be readily
made up with the expected passing Of
the European war cloud. There is moth
ing in the home situation that war
rants the liquidation of securities, and
in view Of the large supply OF money in
the country and the strength Of the
United States in the international money
market heavy liquidation of our invest
ment issues held abroad as a result Of
acute disturbance In Europe would not
upset conditions here. Lehish Valley
and Reading showed exceptional
strength and United States Steel was
firm most Of the day In spite OF attempts
10 weaken its price. The Hill shares
and Canadian Pacific were heavy, and
the selling Of these issues and the
strength in wheat were In part responsi-
BILE for the early decline IN the general
market. while a report that Canadian
reciprocity had been defeated in the
Dominion Parliament, and, Of course.
uneasiness in foreign financial quarters
over Moroccan complications. helped
along the enthusiasm in bear circles. In
the last hour prices generally showed
complete recoveries from the low fig
ures Of the morning, shorts who were
bubblng over with views on why the
market should decline being the heaviest
buyers. Stocks are in strong hands and
financial conditions are sound-two
pretty good reasons for the resistance
shown by prices on the Stock Exchange
to bear pressure.
The local money market is inactive,
but the inquiry for funds for the interior
shows some improvement, and from the
course Of domestic exchange rates out
Of town banks soon will begin to make
demands on their balances here 10
much larger extent than now reported.
These institutions already are settling
obligations due the government by
drafts 10 the Assistant Treasurer Of the
United States at this point on their
New York correspondents, and as the
crops are maturing earlier this year
than is usually the case II Is not UNI
likely active shipments of currency from
here incident to the gathering and
marketing of the harvests, will develop
inside Of the next few weeks. So far
on their operation with the Sub-Treas-
ury in the current week the local banks
have lost upward OF 100000. 1t Is
not unlikely, therefore, that Saturdays
Clearing House statement Will show a
reduction in cash holdings and In re-
serve. too, unless active loan contrac-
ton is under way. Sterling rates were
strong Yesterday, owing in part 10 de
mand in connection with the London
fortnightly settlement and TO the Mo
roccan situation, which had both SEN
timental apd actual effect upon the
market Discounts in, London were
harder. but there was no change In set
Element rates from those OF two weeks
ago, the contango on American Issues
being quoted at 3l2 per cent and bank
stock market loans at pa per cent. on
the British Stock Exchange frmer tone
prevailed at the close as "A consequence
Of a rumor that the German warship had
been Withdrawn from Agadir and that
the whole Moroccan question would be
settled by diplomacy rather than by
war.