The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-07-04
FINANCIAL NEWS
AND COMMENT
Stocks Make q Display Of
Strength on Relatively
Brisk Trading.
BANK RESERVES REDUCED
Weekly Statement a Character
istic Showing for This Sea-
son Of Year.
BANK RESERVES REDUCED

There was a rather unexpected amount
Of animation combined with firmness in
yesterdays stock market. Dealings in
the neghborhood of 100000 shares do not
| compare with past volumes which were
considered dull record, but on the scale
of recent transactions and under the
present circumstances they wsre, for the
session before u holiday with 20 many
uncertainties pending, fairly brisk
showing Moreover n varied array Of
stocks made and held gains of q point or
more, the upturn being principally In tho
standard shares.
That tlpre might have been some July
investment of dividend and interest money
WAS a reasonable conjecture although the
trading appeared to be for the most part
OF unchanged professional origin. Some
general recesslons in the last hour pointed
to profit taking sales, but the close was
steady.
Short covering undoubtedly contributed
10 the bulk of business. as there was some
manifestation of more hopeful sentiment
toward next week which includes several
possibilities OF optimistic influence. such
AZ the Government crop report, the French
loan hotation and the long awaited de-
cision in the Eastern rate case. Announce
mcnt was nduS Pziriy III tiie utty tihst uio
Interstate Commerce Commission would
not hand down n ruling this week. and tho
prospect of 80 many potential factors or
improvement converglng ON the new week
was little trying to bearish positions
SO far as any actual developments pro-
vided an impetus for the upward ten
dency of quoted values, II was derived
from further consideration OF the confer
ence on Thursday between the President
and Mr. Morgan. Overnight news did not
add much To Wall Street Information
about the significance OF this interview. but
II manifestly lent itself to hopeful con-
struction II II denoted an approach be-
tween politics and business interests. which
have been too much estranged for the
good of the country.
European dispatches struck hopeful
note with regard to the immediate outlook
for values although there were signs that
cheerful expectations had to contend
against various depressing matters. IN
Guiding the way In which new security
issues were dragging. The subjects OF
domestic concern which chiefly attracted
attention have already been referred to.
Further reports of poor railroad earnings
were made for May but offsetting sat
lsfaction was derived from the exports OF
wheat which made a new record Tor the
week.
IL rs DOSSlhle lndl llt uioicy mol hos
may become less academic matter In
the near future on account OF the de-
Management of the commercial paper mar
ket which has followed the Clafiin failure.
At the moment. however, there IL nothing
which affords a substantial basis for cal
culations of any important monetary
change. Foreign exchange continued TO
harden. demand sterling rising to 4.S7%,
but advices from abroad indicated that
European pressure for gold was probably
at an end.
The weekly bank statement was the
extraordinary exhibit which is customarily
made over the midyear The surplus re-
serve WAS reduced two-thrds to little
more than $4,000. 900 as a result OF a
$a7 900. 600 decrease in cash holdings The
loan change was triiiing and deposits or
course contracted with the loss in cash.
Income tax payments and the shifting OF
funds incidental to the turn OF the mid
year accounted for the fall in reserves.
but the bank position denoted r. altogether
temporary Such an impairment Is a
familiar occurrence at THE time