New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-08-26
FINANCIAL MARKET
Banks Gain Upward of $4,000,
900 in Weeks Currency
Movement.

Stock market prices went to new low
levels on the current movement In yes
terdays operations. selling representing
liquidation Of long accounts and opera
tons Of the professional element. the
pressure from the latter source being ef-
fective In bringing out stocks from spec
ulative holders. who simply were COM
PEELED to close their contracts owing to
dwindling margins and their inability
to secure new accommodation despite
the ease Of money. Money is in good
supply and extremely easy, but market
conditions preclude the possibility OF
wornout bulls securing assistance. At
the moment Wall Street has a surplus
Of human wrecks recently included in
the list Of prosperous spectators, and II
the bear party on the Stock Exchange Is
able to continue it's campaign for few
weeks more the scalps Of many other
overconfdent bulls will be added 10 the
big number that already adorns the belts
of the bear warriors According TO the
views Of many able men in the street
the stock market is in thoroughly
liquidated and oversold condition. but
the fact that the same opinion was ex-
pressed by the same people when prices
were we'll above prevailing levels en-
courages venturesome operators TO con-
tinue their transactions for still lower
quotations, especially at this time, when
reports from the West are so exceed
ingly bearish regarding the labor situa-
ton.
Just now interests who are all power
ful i'm the financial operations of the
country do not appear to be disposed 10
do anything to help the market, yet
they are the chief buyers OF securities.
They are taking stock on all declines
particularly Union Pacific. United States
steel Reading and the Hill shares,
which eventually they will be able to
soil at "a profit. The labor situation In
the West evidently has reached a criu-
eel stage. but no wise man is selling his
investments because of the possibility
Of a strike. Labor troubles come and
GO. but the country continues to pro-
grces. Closing prices yesterday were
we'll above the low points. and outside
of AmalEamatcd Copper, Atchison, 50.
Paul. Iehigh Valley, Northern Pacific
and Reading the prominent issues
showed only fractional net losses.
Eleven stocks supplied the larger part
Of the total business Of 695, 100 shares
According to the known movement of
money i'm the week the local banks have
gained upward Of 100000 in cash
holdings. the receipts Of currency from
the interior having more than offset the
loss suffered by the banks on their oper-
atoms with the Sub-Treasury Money
received at this centre in recent days
came almost entirely from nearby points,
while shipments Of funds were princi-
paIly TO the Middle West, the latter
movement suggesting coming demands
incident 10 the financing Of the grain
harvests. Fortunately, the New YORK
banks are in a strong position, and the
inquiry for funds in connection with
Western crop demands should cause no
disturbance in the money market here,
especially as gold can be imported from
Europe If the needs Of the market re-
ouire such an operation. For the twelve
months ended July 81 the foreign trade
statement showed a balance in favor OF
this country amounting to almost S5o4,-
100000 against SIS. 5OO,593 in the same
time in the preceding year, and official
figures showing the course Of merchan-
disc exports and imports In the current
month give no indication that the United
States will not continue to send goods
abroad In excess Of goods imported.
The local foreign exchange market has
everything in its favor. Europe needs
our cotton and our grain, and the time
is not far distant when the sterling mar
ket viii reflect heavy offerings Of bills
against shipments of these commodities.
There is no reason for uneasiness in
financial circles at a period when we are
establishing large credit balances abroad.
Underlying conditions affecting this
country are absolutely sound, and de-
clines i'm stock market prices do not
foreshadow the development Of weak
ness in intrinsic values. Stocks are go
ing into big pockets.