Newark evening star and Newark advertiser. [volume] (Newark, N.J.) 1909-1916, 1914-11-25
STOCK EXCHANGE
TO BEGIN TRADING
AGAIN SATURDAY
Unrestricted Dealing Will Be
Resumed-1, 700 Men Attend
Prosperity Feast.

NEW YORK. Nov. 25.-While Wall
Street was rejoicing over the an
nouncement that the Stock Exchange
p.ou1d reopen for bond trading Sat
1irtiav. more than LOO bankers and
merchants testified to the prevailing
optimistic spirit of business IN q
ssprosperity luncheon" directed by the
merchants Association at the Hotel
Astor. and primarily in honor of the
opening of the Federal Reserve BAN
system. At this luncheon benjamin
strong. jr., epitomized the new ousl-
ness spirit by saying that the word
spanic" was eliminated from the leNl-
con of business
Difficulties in the way of trading n
bonds on the floor of the New YORK
Stock Exchange have been removed.
and business will be resume -
Saturday morning, under restrictions
to Safeguard a rush OF European sell
sng orders. This will end the four
months embargo on business in the
exchange and give further impetus 70
The expected return of prosperity.
Plenty Of funds are available for
loans and it is not thought there will
ibe need for the offer of the bankers
TO form q $25, 900 900 call money pool,
since trading is at first to be re-
etricted to bonds.
Trading on the floor Of the Stock
Exchange will be resumed nearly four
months after the closing on July 81,
because of the avalanche of foreign
liauidation occasioned by declarations
of war by the principal European ma
lions.
The meeting of governors this
afternoon was advanced twenty-four
hours. in order that the announce
ment of reopening might be made
sufficiently early to give bond dealers
opportunity for preparing themselves
for business on Saturday. The regu-
lar meeting day of the governors Is
Wednesday.
This week containing a holiday, a
meeting this afternoon would have
given bond men only Friday in
which to prepare themselves to go on
the floor of the exchange and begin
omen dealings in bonds for the first
time since the Stock Exchange closed
its doors seventeen weeks ago
Assurance was gwen to the Stock
Exchange authorities that the large
Wall Street banks stood ready to CO.
operate for the protection of the bond
market under the widened trading.
Wall street was given stronger as
aurance that a call-money pool had
already been formed. and that 1t
would guarantee the market against
eny selling of a forced nature from
American sources. Regarding the
likelihood of large sales from Europe,
there was as much difference of opin-
icn and information as at any time
since the resumption of business be-
gan to be discussed. Representatives
of bond houses with important for
eign connections asserted that they
had no instructions from Europe to
sell securities. and denial of reports
of large selling orders came from SO
many sources that in Wall Street
there was a distinct inclination TO De
cheerful over the prospect.
There was acknowledged to be
feasibility, however, that selling or
sers were being held back until II
could be seen what prices were to be
Established when bond dealings are
resumed.
In the formal statement announcing
4he resumption 1t is specifically de-
Cared that all dealings are to be
under the supervision of the Special
Committee of Five. which has eX-
ereised absolute authority over the
affairs of the exchange since July 30
last, the day of its suspension.
All Transactions for Cash.
II is Furthermore prescribed that
all transactions are to be for cash,
thus precluding virtually every
element of speculation or marginal
trading Also, there can be no trad
ing below the minimum prices au-
thorized by the committee from time
To time. Any infraction Of these
regulations will it Is understood,
bring Immediate punishment upon
the offender.
While the trading will partake Of
an open character in that 1t will be
done ION the floor" quotations will
not be transmitted to the ticker SER
vice. but prices will be issued at
stated times during the day. This
will be a surprise to many members
who expected broader and freer
market. The question of quoting bid
and asked prices Of bonds not ac-
tlially sold s yet to be determined
In point of fact Wall Street re-
cards the action of the exchange as
a sentimental rather than an actual
factor towards the restoration OF
normal cond tons
Until IT Is seen how successful Is
the resumption of bond dealings, the
stock Exchange governors are not to
consider seriously any date for open
inv the board to stock dealings. This
was the definite statement made at
fhe Stock Exchange. When the pro-
posal for widening the operations Of
+he exchange are taken up, 1t will be
with the approval and support Of the
Federal Reserve Board at Washing
ton. 1t is now generally believed
that the situation which arose last
week was due to the fact that the
special committee OF five, which has
been determining stock market mat
4ers since the war recess began. failed
to notify the Federal Board Of what
they proposed to do, and were there
fore compelled to postpone the re-
opening of the exchange for bond
dealings until the whole matter could
be gone over thoroughly by the gov
ernment body as well as by the bond
men.
The reopening Of the exchange may
re followed shortly by resumption Of
business on the floor of the Coffee
Exchange The managers of the Cof-
Zee Exchange were to hold a special
meeting today to consider a plan for
the reopening not later than Decem-
her 2 It was generally believed a
decision would be reached to resume
business on Monday.