The Washington herald., 1911-02-05
Free Liquidation Had Little
Effect OnDealings.
STEEL ORDERS BEING BOOKED
Stanley Resolution Thought to BE
Only an Attempt to Break Steel
In Market-NatiOnal City Bank
Holds Call Rate Up to IL Per
Cent-Stock of Copper Metal Low.
BY THOMAS c. sHoTWELL.

New York, Feb $50 long was the
short interest in Wall street to-day that
in spite of the free liquidation the stock
market absorbed everything. gathered
strength as the session progressed. and
closed near the high prices for the year.
Trading was less active than early in
the week. Expectation of a good bank
statement had much to do with the ad-
vance in the market
Brooklyn Rapid Transit, American
Beet Sugar, and the copper stocks IN
general were prominent in the trading.
The bond market was also strong. Ru-
mors were afloat of the acquisition OF
control of the Gould system by a syndi-
cate Of bankers friendly to the Harri-
man system. There Is no suggestion
that any merger is thought OF, but the
completion of the Western Pacific from
Salt Lake City to the Coast has made a
friendly alliance desirable. Missouri Pa
cific stock is being accumulated by bank
ers of the first rank.
Distinct revival was noted in the steel
trade. perhaps as a result Of these rail-
road announcements. Business now Is
something above the low record which
was made in December. and every day
sees additional orders booked in excess OF
the December rate. Bookings are now at
the rate of about $1,000 tons day. the
capacity of the trust being something like
IS. 600 tons Orders on hand untitled at
the end of December were 2.s7L7N tons.
the lowest volume on record. Net earn
ings for the month of December were
previous quarter.
Attempt to Break Steel.
From a stock market point Of view
the Stanley resolution introduced in Con-
gress for an investigation Of the steel
trust had no effect, although 1t Is firmly
believed by leading bankers that the
resolution is nothing more than part OF
an attempt to break Steel in the stock
market This Congress has only four
weeks longer to live. and even II an in
vestigation were advisable. nothing could
1e done in that time. Besides the De-
partment of Commerce and Labor has in
vestigated the trust thoroughly. and has
found it observing all Of the laws as
now interpreted by the executive depart
ment of the governmnt.
Most important Of the banking devel-
opments Of the week was the discovery
that the National City Bank had de-
call. at a rate lower than ~ per cent.
AS result of this policy the bank is
piling up cash at a rapid rate, having
now 81 per cent Of reserves. as against
only IS per cent required by the banking
laws. This piling up of cash has led
to a belief in the minds of the public
that the Standard Oil party. which is
supposed to control the National City
Bank. is looking for some severe trouble
cash in anticipation. Any idea Of that
kind is secuted at Standard Oil head
quarters. The denial. however. does not
quiet the public entirely and because of
this accumulation of cash many persons
are beginning to slip out of the stock
market. especially where they can do
so at profit.
Copper Situation Improves.
The situation in the copper world is
becoming technically stronger. The un-
certainty regarding prices has kept con-
sumers from buying largely in excess Of
their needs. There is. therefore. no great
stock of the metal on hand except where
it is held for speculation Interests be-
hind the United Metals Selling Company
will organize a selling agency in Lon
don that perhaps will be called the Cop
per Buying and Selling Company. 1t will
take most of the business now done by
the United Metals Selling Company and
that concern will probably be turned over
to the Anaconda or the Amalgamated. or
perhaps liquidated entirely. Along with
the changing complexion of the copper sit
uation the smelling situation is growing
better. at least in regard to the stock
market The Guggenheim Exploration
Company will derive important BENEFITS
from the financing just completed, and
its stock has been very strong the past
week.
Other specialties to show pronounced
strength have been Distillers. U. S. Rub
Der, and Intercontinental Rubber, all the
low-cost producing copper company
stocks, Beet Sugar. Central Leather In
Harvester, and National Bis
cult Activity of these specialties sug-
gests caution in the general list.