The Fort Worth gazette. (Fort Worth, Tex.) 1891-189?, 1891-05-14
THE "BULL" CAMPAIGN.
THE RESULT A ThREE-WEEKS
TRiAL-iTS BASE.
The Spirit of Trade Throuchout the
Country Steadily Growing in Conf
dence-Harvest AnticipatIons.

NEW York, May 9.-The s'buIl" cam
| paign has now had three weeks of trial
| The result proves that it has been based
| upon natural conditions and has rested
| upon q sound foundation. During the last
! four weeks we have exported about Si9,-
! 600 900 of gold which has 10 that extent
! depleted the reserves OF the banks; and
! this has been not only severe but also q
more or less unexpected test of the strength
! of the stock market. Under an ordinary
! state of things. such drain would have
| Suficed to cause important selling of long
| stocks and big decline in prices; but, in
| the present condition of things. whilst it
| has encouraged active selling by the bear
| operators, it has not prevented a material
| rise in prices and has simply acted as pre-
ventive OF still further advance. 1t IS
| another evidence of the intrinsic strength
of the market that not only has the upward
| movement had little or no support from the
London and continental markets, but it has
actually had to contend with the return Of
securities from those sources.
These facts show incontestably that the
success of the bull" campaign, thus far, is
due 10 bona fde recovery of confidence
and to solid causes. III the same time,
however, the larger operators are wise in
their disposition to postpone any extreme
urging of the rise until the uncertainties at
tending the money market are mitigated.
At present, the end OF the export OF specie
is not in clear sight. The European money
markets are kept unsettled by the still dis
turbed condition Of South American finances
and by the possibility that Russians ex-
pendituros for armalents and railways,
also preparations for conversion of i loan,
may withdraw large deposits now resting
at foreign centeTS and Thursdays advance
of the Bank of England rate of discount to
1 per cent IS an expression OF this uneasy
feeling. 4 crisis at any OF the European
shipments of gold and send nome American
securities; and such q crisis is far from be-
ing beyond the range CT possibility; there
are. indeed, those who think such an event
probable. Until the probabilities Of such
disturbances are dissipated, the present
range Of prices is safer than Il higher range
would be, and the more prudent operators
appear to hold that view.
But while it may be prudent to maintain
this attitude for the time being, that fact
does not warrant any untavordble infer
ence as to the position Of the market at a
later stage. a few weeks later, not only
viii the European demand for gold have
been satisfied. but the situation arising
from the results of the worlds harvests
will necessitate a material refuX of gold to
this country. The recent cold wave has
come too late to cause any appreciable in
jury to either the winter or spring crops of
wheat. The latest adviceS from the other
tie improvement on the unfavorable pros
poets OF their harvest and we have. there
fore, still reasonable promise of IN cXtraor-
binary export of this cereal at much above
average prices. This alone is sufficient TO
insure course of the foreign exchanges
that will contribute largely towards meet
ing the interior demand for currency dur
ing the fall months. In the meantime, the
reserves Of the New York banks are not
suffering any actual reduction, the with
drawalS of gold for export, since the be
ginning of April, having been set off by the
return of currency from the interior and
the exchanges with the sub-treasury.
Whilst, therefore, there may be reason for
moderation in stock operations for the mo-
ment, there is none for apprehension as to
the future on the contrary. any favorable |
turn in the European situation or in our |
foreign exchanges would be accepted as
sufficient reason for the resumption of &C. |
tivity in the ''bull'' campaign.
The serious labo disturbances in Europe |
on the 1st of May have been an ursettling |
factor on the foreign markets during the |
week, with which business here has in |
some measure sympathized; but, on the |
other hand, this has been offset by the |
abatement of war gossip at the continental |
capitals, Here, labor day has passed |
with less agitation of the eight hours ques- |
ton and less display of the socialistic agita- |
ton than had been expected, which is a |
valuable contribut on towards confidence |
and enterprise in business at large The |
spirit of trade throughout the country is |
steadily gaining in confidence; and neither |
the labor market nor the capital market |
shows any lack of wholesome employment. |
Should the anticipated abundant harvest be |
realized, the resulting prosperity of the |
farming interest will tend to create q fall |
business of unusual activity, with season |
of unusual earnings for the railroads.
HENRY CLEwS