The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1896-02-24
REVIEW OF THE WEEK
FOREIGN DEMAND CAUSED HIGHER
APPRECIATION OF STOCKS.
Bonds Were Active with Lively hid
ding for the New Government
FOurs from 110 to lis.


since OF stringency in the money market,
encouraging exhibits Of railroad earnings,
indications Of easier market for CONNER
scial paper and the large deposits of gold at
the subtreasury here and with other de-
posftories on government bond account have
had stimulating effect. The prevailing be-
lief that the net results of the bond sale to
the treasury will be considerably in excess
OF previous estimates, and confident e.pec-
sation OF the completion Of the payments
within the next three weeks, and without
disturbance to the money market, have
stimulated revived purchases of cur securi-
ties for foreign account. Toward The end OF
the week the higher quotations from London
and the buying referred to constituted an
important bull card and encouraged local
dealers. VINO had assumed that the advance
had run its course. AT intervals the stock
market had appeared. through intense dull
ness, to justify this theory. but fresh start
followed the development OF exceptional
animation and strength in the railway bond
market. The transactions in both govern
ment and railroad securities reached abpor-
NAL totals buying for both investment
anu speculative account The news of the
decision of the Treasury Department TO
award the si.700000 If bonds on which the
payments of the first installment lad been
defaulted TO the j. p. Morgan syndicate was
Almost immediately reflected in buoyant
market for the bonds. The devel 0pnent ex-
cfted logical assumptions that TO the great
banking syndicate was chiefly due the credit
IQr the Improvement
The declaration OF the regular quarterly
dividend by the directors of the Burlington
Tsiiroad appeared to exert unexpected
pany. as web the other grangers.
st Paul has been favorite among do
nestle and foreign dealers in anticipation
of he
mon dividend. Strength in Northern Pacific
securities has been attended by the publi-
cation of statements of alleged details of
a reorganization plan, but the unexception-
able authority Is TO the effect that nothing in
Ine way of plan has been decided on.
the various powerful interests identified
with the efforts TO rehabilitate the great
closer together AT this time however. the
regal obstacles TO the carrying out of the
plans favored by influential New York and
encouraging 10 note that the general mar
ket has evidenced a revival of genuine in
strictly professional control of operations
= Inc condition holds good to only a limited
extsnt; however, in the case of the indus
J trlat shares, Which continue to be dominat-
: cd by leading spectators and pools. At
the beginning OF the week the last-men-
Sloned class OF stocks monopolized the list,
nut railway groups soon forged to the front
with the grangers and fnterna tional shares
In greatest demand. 1t cannot be disguised
our securities, and notably for our gilt
edged railroad bonds, was due primarily to
me belief abroad that further free-silver
agitation during the present session of Con-
Sress Is impracticable.
The aggregate sales were 794,177 shares
The more important net gains were: Louis
vile & Nashville. go: Colorado Fuel. az
ferred' 21s; Leather preferred, 2: Sugar PaT.
preferred. Union Pacific. New Jersey Cen
trai and Minneapolis 4 St Louis, IL per
cent: Minneapolis & ST. Louis firsts pre-
ferred. 3. and Minneapolis & st Louis Sec
onds preferred, IA. The grangers gained
1%@2a, the last in st. Paul The principal
bi& San Francisco trust fives, 6ls Seattle.
Lake Shore & Eastern firsts. trust re-
receipts. 3ss; Fort Worth & Denver City
nrsts. trust receipts. 3ls: Chicago & North
wa a6d irsisa trust Fecep5T and Rana
collateral trust fives. trust receipts. g.:
Oregon short-line skies. 27s; Oregon short
consol hves, trust receipts. 81: Atchison
ad1ustm 121f f fogrs a. nniSn Pasitis Den
onds. "a; Northern Pacific threes. fours
and collateral trust SKIES. 3: Northern
Pacific consol fives and Northern Pacific
trust receipts. ga per cent. The total
Business in government bonds was large
confined to the new fours, coupon. The
demand for these issues was very pro-
nounced at figures ranging between l163s
and lis. The total sales were s.. 7e7 $50
vestment houses was also very heavy' The
speculation In State mortgages was more
active tnan usual. and an upward trend in
not large. The bulk of transactions was
IN virginia centuries and Tennessee set
tlemen n,o t arees. me aggregate dealings
Silver certificates developed strength in
the nnal dealings an d and rose to 50 on trans
WHAT HENRY CLEwS SAYS.
In reviewing last weeks operations in
Wall street. Henry Clews says: THE as
pect or financial affairs continues to stead
lily improve. In the intrinsic conditions of
trade. and In the earnings OF corporations.
there Is no great change. although the ten
denotes are favorable and the feeling is
growing more and more hopeful. II IL con-
coded that there is now a clear prospect
OF years comparative rest from djstrusts
and that at least affords a safe basis for all
operations not extending far into the flu
ture. In respect. however, TO certain sne-
cial conditions which have long disturbed
the Atlantic there is change so marked
and important as TO lay the basis for a
distinct revival in Wal street interests
The treasury loan has ceased TO excite
apprehension OF disturbance in the money
market Instead of 20 per cent of the
bonds being taken up. as contemplated in
the official plan of installments, subscribers
have already taken about $40, 200. These
payments have caused no disturbance in
any noticeable realizing upon other invest
ments in order tn provide the means for
payment they have simply amounted to
transferring this amount OF idle capital into
permanent form OF investment So far
as the operation has been done without
disturbance TO bank deposits or to COM
mercial and speculative loans, IL has been a
distinct gain to confidence in the future
of the money market. Time loans on COL
laterals are therefore now easily obtain-
able, and the banks are more disposed TO
discount at about the legal rate. To this
extent one important obstacle 10 Stock Ex-
change operations Is removed.
The loan in itself is a most important
contribution to confidence. Ii Is a Striking
exhibition OF the financial power and re-
source OF the country, and OF its ability TO
raise large amounts of money at short
notice. IL Is also a most assuring express
sion or public confidence in the main
tenance OF the financial integrity OF the
government IL shows that our people
nave entire confidence that the present en-
barrassments OF the treasury but tran
silent and do not imperil its ability TO MAIN
tain gold payments The loan was a direct
test or the confidence or the people In re-
speet 10 this very point, and the response
SHOWS tnat distrust In the ability of the
government 10 honor its large amount OF
demand obligation Ia gold has virtually no
place I'm the public mind. especially in the
mind or that portion CT the people VINO are
best qualified 10 Judge on such q matter
Moreover, the large amount of money or
zered 10 the government is evidence that
should the treasury need TO borrow f,,r,her
amounts for this purpose there can he
doubt a 70, f..rf,c