Omaha daily bee., 1911-01-16
new YORK STOCKS AND BONDS
Announcement of New Capital Issues
Opens Up New Problem.
BANK CLOSING OF MIXED RESULT
Extraordinary Cotton Exports in De-
cember Carried value OF ARricui-
! turaI OutRo Far Above the
prccedtnE December.

NEW YORK. Jan. 15.-Auuounceinent Of
now capital issues last week served to open
up the problem Of available supplies Of in
vcstment capital and the success TO be eN-
pCCted in meeting requirements. The turn
Of the year and the refluN of funds to re
serve centers was all that awaited TO
enter upon this necessary process. The New
York city $50. 600 bonds 20 be issued be
fore the end Of the month proved larger
than had been expected The decision to
make the denomination "a per cent instead
OF the expected a. per cent was interpreted
as a reflection OF increased confidence on
the part OF capital and a willingness TO
accept a lesser Investment return that last
fall. when the New York city bond issue
was first discussed and when the AZ per
cent rate was considered necessary to tn
sure a fotation at par 1t was assumed
that assurances had been obtained from
banking sources OF sufficient subscriptions
to make the sale a success before the de-
tails had been determined upon. On the
the older New York bond Issues was evil
dence OF some strain i'm the bond market,
growing out Of the new issue.
The reception accorded the announcement
of the new Pennsylvania stock issue also
had n modifying effect on the hopeful feel
ing over the investment demand In pros
poets. The sharp decline in prices follow
ing so moderate an offering as that immG-
diately, If contemplated in the Perpsyl-
vania plan and on terms profitable to
the mind of the capital market Improve
ment in this direction is considered to be
a necessary preliminary. of effective rem
/ edial processes in other directions.
The closing OF the Carnegie Trust com
! pany and the inevitable rumors 10 which
| II gave rise complicated the situation
! slightly in spite Of the underlying convic-
! ton that a weak point in the financial
/ situation had been eliminated with ad-
vantage. The incident served to point one
more parallel with the sequence OF events
/ following the depression of 1923, which has
4 marked the financial history since the
crisis of 1907. The end of 1895 saw a num-
/ Der Of minor bank failures and, at almost
I the same time, the definite termination OF
| the persistent reactionary tendencies which
had interrupted all recoveries for two years
preceding.
| Extraordinary cotton exports in Deem
| Der carried the value Of the agricultural
outgo far above the preceding December
! I'm spite of moderate declines in other items
/ The November precedent warrants an
| assumption of further export expansion in
/ the department of manufactured products
and another substantial addition 20 credit
| balances abroad i'm aid of the further
| recuperation of money market resources
which is going from domestic sources,
The determination of steel trade authori-
| ties to maintain present price schedules
was as expected. Its influence on senti-
ment is affected by the avowal that a
| lowering Of prices would have little effect
| in stimulating present dull demand The
| lessened rate of contraction Of untitled
orders during December reported by the
/ United States Steel corporation brings into
! the reckoning the decreased activity at the
| mills on old orders well as the receipt
Of new orders for the period.