Telegram-herald., 1891-08-03
1HE BEARS MADEADASH
But the Bulls Soon Recover red
Their Lost Ground.
PARTIAL REVIVAL OF TIE MARKET
The Hear Element Becoming Bolder--
Prospects of Corn Crop Beciouded
by the Cold Weather-The Sill
yer Question Not Settled.

NEW YORK, Aug. 1.-The course of
speculation at the stock exchange has
developed some new phases. Wear:ed
| OF the protracted dullness, the 'bears"
made bold dash on the "bull'' posi-
ton on Monday, with the result of q
break OF to points IN the speculative
list. The day following. reprisals were
forthcoming from the ..buls." with the
advantage OF recovery of the pre-.
vious days lost ground. The victors,
however, at the same time lost what
ever strength the previously oversoid
condition of the market had conferred
on their side, and fresh selling niove-
ment on Thursday produced a relapse
in prices To about the level touched
under Mondays attack. During tn e
remainder of the week. the contest was
kept up with diminishing interest, but
with the balances of advantage inclinlng
TO the "bears." These operations were
confined mostly to the ''room traders"
among whom the disposition TO cell
decidedly preponderates. The "bull"
element is dormant for the time
being. regarding the SITUATION as un-
propitious at the moment for active
operations, but at the same time re-
tanning confidence CT their position and
| appear both ready and able to inter-
| pose effectively against any room at
tempts to seriously depress prices. This
partial revival of activity will do good
as test OF the disposition and true
condition of the market, and was prob
| ably started as feeler III prospect of
future conten plated plans. Some.
| hnwever, seem TO think that he pre-
sent stage is not favorable 20 the
development Of any ridical movement
III either one direction or the other.
The ''bulls" certainly do not find IN the
situation of the moment any points
strongly favoring a rise; and yet sup
! posed possibilities OF an Improvement
in the spirit of the affairs at a later
stage seem to encourage many OF them
! to hold to their stocks tenaciously.
The bears" while disposed to take
the most of
the Spirit of Hesitancy
| that is now holding everything in sus-
pense on both sides the Atlantic,
yet know that many lines of
stocks are held by determined parties
and are cautions about venturing on
extensive excitement on the ''short"
side; and thus both sides TO speculation
evenly counterbalance each other for
! the moment, which acts rs safety
valve to the situation. So much for
what appears to be the current market
estimate of affairs in Wall-st. My own
| nd ~.
effect. The immediate practical ques-
| ton Is not whether the current market
value Of stocks reflects their real lntrin-
sic Aslue, but whether the general con-
| dltions now affecting the market are
compatible with the maintenance of
current prices. And on that question
my judgment inclInes to the negative.
In the first place the patience and en-
durance OF holders of stocks have been
| tested TO close upon the breaking point.
aud there is no recuperating cement
within ready sight. In the next place,
the ''bear" element IS becoming bolder,
| and we have no: yet seen what could
he accomplished by the large profes-
sional sellers who attack the market by
sales of tens Of thousands OF shares.
| Again, within the last few davs, the
| prospects of the corn crop have become
becicuded ny the protracted cold
weather i'll the corn belt, coming upon
the latenees of the crop. This is very
| important matter, Is affecting not only
the tonnage of the railroads. but also
| the results of the harvest to the farm
| ing interest and to all commercially de-
/ pendent thereon. And, again, the
symptoms IN political circles indicate
that
The silver Question,
90 far from having been finally disposed
| of by last session OF congress, is likely
| to be forced into the coming PresI-
| Dental election as one of lts most con-
| spicuous issues than which nothing
| could be more threatening to At least
the foreign estimates of such of our in
vestments as are not specifically gold
bearing. Yet, further, IL cannot be re-
gardcd as certain whether We have
ceased to be liable To export gold. no
less than 1900 900 having been sent out
last week, with q possibility that, in the
event of new troubiee At the European
| capitals, new draibs might be made
| upon U.s. Nor le II TO be overlooked
that, although no new financial dis
asters are occurring abroad and call
money there 70 fsuperabundsnt, yet
money on time il put out with
| extreme caution, owing to q vague lear
that further troubles may arse some
time during the next few weeks. And
| finally. although call loans rule very
| low here and the reserves OF the New
York bs1ks are about three times IN Q
/ amount they were At this date Ia 1920
or 1889. yet, In the absence oil sny
ability Of the Treasury To afford heip TO
the market Il needed. that factor - not
| sufficient TO afford certain pFoiecton
against stringency as the fall advances.
| These are not assuring Circumstance.
They have not vet been siloseu 10
| have their fun effect upon prices,
! although they are largely responsihle
| for the past utter stagnst' n OF the
stock maj ket. and Il would oe foliy 70
assume that they cannot have ae-
! pressing effect on rrlces nov OF ~
| later ssage 10 view II these factors
would recommend the selling OF stocSs
on All rallies. ard huying only on isft'.
| nounced breaks for brief rTnas sho
email profits. HENRY SAhNs'