The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-12-02
FINANCIAL NEWS
AND COMMENT
Wall street Talking Of an Open
Market for Listed
Shares.
MONEY MORE RELAXED

trhing increase In the volume Of
dealings on the third day OF open bond
trading on the Stock Exchange was &C.
companied by continued irregular1ty in the
price movement. Quoted values on the
whole seemed to have a sagging tendency
in which respect convertible issues we're
somewhat conspicuous. There were, how
ever. features of frmness, and the APP
pearance of the bond department only
served to promote expectations of an early
experiment in the resumption of open
trading in listed stocks. even though in
ternational shares might be temporarily
held In allegiance.
There was talk OF some announcement
soon from the stock Exchange authori-
ties relative to the prospects for restor-
ing business in stocks to the floor. and
this talk was accentuated by authentic
reports that the supervisory committee
was all but being swamped with fansac-
lions offered through the Stock Exchange
clearing house. \ development signfi-
cant of the improved sentiment which has
resulted from the partial restoration OF
the securities markets at various centres
vas the Offering of Lake Shore ) per cent
nine months and one year notes.
The aspects OF money all favored tho
movement for establishment of the open
stock market Foreign exchange was
the features of the international money
market to excite apprehension over Stock
Exchange departures from state OF
suspension Of dealings except under cover
The domestic money market obviously had
downward trend.
Call loans were effected as low as
per cent Time money was in increasing
supply and prime commercial paper was
bought at ~ per cent All the argu-
ments for a Wall Street return 20 business
AZ usual which have been derived from the
appearance OF the money market and from
the facts OF the banking position were en-
phatcally strengthened by the overnight
disclosure that all the local Clearing
House certificates had been retired.
1t seems that not far from $l25,o0o, 900
OF these certificates were issued in the
aggregate and that the largest amount
outstanding at any one time was more
than 100000. 900 in excess OF the corre-
spending amount in the l907-0S crisis Re-
tirement of the certificates has been ef-
fectei in a period i've weeks shorter than
was the case seven years ago and this
together with the way In which emergency
currency Is being withdrawn from circu-
lation, demonstrates the practical recov-
cry of financial equilibrium. About 90 per
cent OF the emergency currency taken out
by New York banks has been retired. and
AZ several other cities there are no Clear
ing House certificates now outstanding.
These are among the most trustworthy in
dications which could be furnished that the
emergency period has long been passed
and that the processes OF approach to
financial and business recovery have been
prepared. With Clearing House loan GER
tiilcates out OF the way bankers are
almost certain TO adopt more liberal at
titude in respect t. the grant OF credit
accommodation. and the present plethorc
capacity OF the money market is bound
TO exercise an influence for the improve
ment of business volumes and values.
\ sign of the monetary situation IS
afforded by the problem OF redsCount
rates with which the Federal Reserve
Board is wrestling. In the Cleveland and
Chicago reserve districts the minimum
figure was dropped yesterday to the level
of New York. Boston and Philadelphia,
and the general position of money would
probably Justify lowering of the official
rates all around. The pressure which the
reserve board feels to make rediscount-
ing more ATTRACTIVE illustrates the ease
which is developing in the money market
and is to that extent suspicious. Finan
cial judgment Will however, he reser''. ID
as to the redisCount policy OF the new
system until more time has elapsed and
it can be seen by just what considerations
it is dictated.
the days budget contained was the Wash.
inGtun official estimate OF tho November
foreign trade results. Calculations that
an export advance OF more than $50.
600, 900 accrued show that recovery IL
proceeding on an expanding scale, hut
information OF this sort has perhaps lost
little of its effect because of the daily
attention which is being directed 10 the
countrys external commerce.
Less gratifying was the nature OF inn
portant railroad reports for October in
Guiding especially the returns OF the Penn
sylVaniA and New York Central systems.
ShrinkaCes of Si,112,000 in the Pennsyl-
vania gross earnings and of S260U.00o in
New York Central earnings measured tho
business contraction from which the coun-
try has been suffering. Ky economies which
must have approached the heroic the New
York Central was able TO report net
increase OF s1,2.0,000. while the net de-
crease in the case OF the Pennsylvania
was only about s462, 900, but retrench-
ment of the kind that the railroads have
had to practise lately hurts the whole
huSiupss community.