New-York tribune., 1911-02-19
BANK STOCKS ON STOCK EXCHANGE.
FINANCIAL MARKET
Bank Statement Shows Gain in
Actual Cash and Reserve
HoldinqS.

On a moderately active volume Of
business stock market prices moved in
the direction Of higher levels throughout
the two hours Of trading, Lehigh Valley,
Reading, Union Pacific and United States
Steel enjoying the chief Improvement.
In the early operations heavy realizing
sales were reported, but the selling failed
to weaken the general list, offerings
being readily absorbed by substantial
interests The action Of the Southern
Railway directors in restoring the pre-
ferred stock Of the company to the divi-
dend class continued to exert favorable
effect upon sentiment and although GER
tain traders brought out the possibility
Of an extra session of Congress, with a
reopening of the whole tariff question,
as a reason for lower prices there was
no response from holders of stocks TO
the appeals Of operators. favoring a de-
cline and no indication in the character
Of the trading of anything in the nature
of a serious decline in the near future.
The fact that the members Of the Inter-
state Commerce Commission were In
conference encouraged the idea of an
early decision in the railroad rate con-
troversy. and while there may have been
no basis for the report that a generous
proportion of the increase asked for by
the railroads would be granted. the
Street appeared TO accept the rumor as
indicating that a part at least Of the
demands Of the transportation companies
would be allowed. Furthermore. the re-
sumption OF dividends on Southern Rail
way preferred and the willingness Of
bankers TO go ahead with plans for
financing the requirements of the rail-
roads encouraged the idea that the chief
| interests in the financial community
were Convinced that the commission
would not uphold the shippers on a ma
| jority Of points in the controversy. The
Erie shares, Amalsamated Copper, Ches-
| apeake & Ohio and Atchison were among
| the days strong features.
Bank statement figures showing the
actual condition of the Clearing House
| institutions as of Friday night made a
favorable exhibit, reserve above legal
requirements increasing $3,S72,650 to
/ 39,641.725. There was a gain in cash of
/ $3.50, 800, while loans decreased s4,79S,-
/ 600. the first loss reported in this item
\ In many weeks. That the tendency of
( loan contraction and cash expansion be-
| gan toward the close of the week was
reflected in the changes just named and
/ in an increase in loans in the statement
Of averages Of $7.655.30O and a gain of
/ only S1,819,400 in cash. The average re-
serve now stands at 35,S43.400, which
J compares with s25,6S0325 at this time
last year and s13.545,075 in 1909. Trust
company loans increased more than
[ S12,000,000. Associated bank loans are
! row a little more than $4,000, 900 under
deposits The general position Of the
banks is strong. and the banking COM
munity Is in an excellent position to
1 handle forthcoming financial operations.
Following the action of the Bank OF Eng
land in reducing its minimum rate OF
discount last Thursday, the Imperial
Bank of Germany yesterday lowered its
rate TO per cent. which is below the
average for this period in former years