THE WALL STREET PANIC.

Wairarapa Age, Volume XXX, Issue 8865, 28 October 1907, Page 5

THE WALL STREET PANIC.

MILLIONAIRES TO THE RESCUE. WILD SCENE AT WALL STREET. A STRIKING RALLY. NEW YORK, October 25. Mr J. D. Rockefeller, of the Standard Oil Trust, deposited with the Union Trust Company two millions sterling to aid it, or to afford relief generally. Mr Pierpont Morgan, -the wellknown financier, sent to the Stock Exchange just before it closed for the day five millions sterling, to lend at the rate of ten psr centum. The effect was magical. Brokers scrambled for the money, and the scene was the wildest of the year. Some stocks instantly rose to four to six points. When call money was at a hundred per cent., and brokers despairingly sacrificed stocks at any price, Mr Pierpont Morgan's dramatic offer induced a striking rally. Mr Morgan was loudly cheered, as also was Mr Rockefeller, who visited Wall Street for the first time for many years. The superintendent of the New York Banks declared that the institutions were solvent if rash and unreasonable depositors do not endanger the situation. A calmer feeling prevails in New York, though some small concerns have suspended. EFFECT ON LONDON SECURITIES. LONDON, October 25. The Bankers' Magazine states that 387 representative securities on the London Stock Exchange have declined twenty-six millions, including fourteen millions in mining shares, owing to the slump in copper.

SCARCITY OF MONEY. RELIB.F MEASURES. GOLD FROM EUROPE. Received October 27, 4.43 p.m. NEW YORK, October 26. The scarcity of money in New York is now the greatest difficulty of the situation. The efforts of Messrs Cortelyou, Morgan and Rockefeller have only slightly relieved the strain. It is suggested that Clearing House certificates should be issued as was dowe during the crisis in 1893. It is also proposed to import gold to the amount of £5,000,000 from Europe.

ADDITIONAL LOANS. SITUATION GENERALLY IMPROVED. BATTLE PRACTICALLY WON. Received October 27, 4.17 p.m. NEW YORK, October 26. Mr Pierpont Morgan and his associates have made additional loans to stockbrokers at 20 per cent. The runs on the banks are subsiding but the safest banks, such as the Union Dime Savings Bank of New York, with deposits amounting to six million sterling, insist on the precaution of sixtv days' notice of withdrawals. Mr G. B. Coi'telyou, Secretary of the Treasury, lids distributed amongst the basks a furthu- eight n-illion dollars. A receiver has been 'appointed for the Knickerbocker Trust, but plans are in progress for the rehabilitation of the institute. Mr Morgan declares that the situation has generally improved, and the battle has been practically won. ANOTHER FAILURE. Received October 27, 4.17 p.m., NEW YORK, October 26. The Williamsburg Trust Company, Brooklyn, with a million and a-half sterling of deposits, and which was the first National Bank in Brooklyn, has suspended payment.