The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1897-08-23
WALL STREET MEN AFRAID THE
PACE is A TRIFLE
SPEEDYi "a
PLENTY OF ROPE FOR BEARS.
PROBABLY BE CAUSED BY
OVERSELLfNG. N
1t May eliminate i'm n Short Interest
Large Enough to- Send
Prices Up!

NEW YORh, Aug. AA.-Iue partial
reaction in the stock market during the
week has not been entirely unnatural.
1t had been preceded by a large adj
vance covering an unprecedented range
of issues. Operators were therefore
carrying an amount of stocks far in
excess of anything experienced for
many years pasta condition which
tended to expose holders to attack. The
bears" acfer long abstinence, were
hungering for a meal: and not a few
bulls were willing to ta-4 their hand
some profits; while others who had al
ready done so were quite willing to
see, if not to help, reaction. AT the
same time there is a class of cOnserva-
tive bulls who, while believing that
the market is destined for a greater
rise, yet expect it to come step by step
and through course OF frequent eau
tious realizingS. This CLASS have some
influence upon Wall street opinion, and
they are likely to set an effective prece-
dent of taking fair profits, which will
have it's result in Christening an over
sanguine temper. Another factor which
tends to encourage these frequent real
izings comes from the great breadth
of the market With such an enlarged
assortment of issues as the list now
presents, there are always stocks
which have not had the average rise;
and, when prices weaken, those who
have profits on their holdings are ready
to take them and buy those neglected
shares. In brief, it seems to be a rule
i'll stock operations that when the
market is a broad one prices advance
Nv - ~
continuous straight line.
The weather and the crop conditions
of the last two weeks have afforded
a motive for pessimists and timid op-
orators taking in sail. The bears have
exaggerated the tenor of these reports
and have made bold ventures on the
barest possibility that there may be
some abatement from the fulfillment of
the great prospects that have contrib
uted to the late advance in prices. So
long as it is not wholly impossible that
there may be some disappointment in
the corn crop and better result Of
the foreign harvestS than has been ex-
pected, it may be prudent to give the
bears plenty of rope as the best means
of protecting the interests of the bulls;
indeed, it seems likely that the next
upward squirt will be mainly stimulated
by the overselling Of the prophets Of
crop disasters. A few more days will
settle these uncertainties, but there
will still remain those who prefer to
postpone until the frost line has been
passed. So that, on the whole it is
not improbable that we may have to
face a. brief period of Vacillation, prob
ably eliminating in short interest
large enough to give another good up
ward turn to prices.
1t is not easy to fully explain the
temper of the London market for our
securities. 1t is still sending stocks
home, and it would seem that the sup
ply held for speculative account must
be approaching exhaustion. After such
striking demonstration of the
strength of the home market and Of
the certainty of still higher prices in
the future, it is not supposable that
this realizing arises from lack of con-
fidence in our market. Sentiment seems
to have much to do with the move
ment. England has, at the moment,
some rather emphatic grievances
against US.
TARIFF PILL BITTER.
The tariff is a bitter pill, the more
so because it throws a wet blanket
upon an active revival in the trade
of the United Kingdom. The postpone
ment by congress of action on the cur
rency question has no doubt tntensi-
fled the English distrustsof our finance
at its most sensitive and positive point
Secretary Sherman's recent blunt ut
teranceS, coming after the famous
Cleveland Venezuelan message, seem
to have deeply reused the ire of the
London Spectator and the English
people, and so seriously does the Eng
1ishman appear to have taken these
matters to heart that conceivably he
thinks it prudent to give American Sc
curities the cold shoulder. Whatever
cause may be assigned for the British
neglect Of our securities, the fact has
little or no perceptible effect upon the
New York market. r
The London press is reluctant to con-
cede that there is any near prospect
of the shipment of gold to this country.
We are told that our payments for
interest and dividends, the remittances
made on account of citizens travelling
abroad, the payments to be made on
account of securities now coming home
and for the sugar and wool purchased
in anticipation of the new tariff, will
about offset Europe's unusually large
purchases in the United States. No
knowledge, however, is shown of the
fact that the Indebtedness accruing
on these several accounts-including
the large anticipatory importations-
has already been settled for, and that
our importations are showing a large
falling off, while our exports are great
ly exceeding the extraordinary dimen-
sions of a year ago. Present indica-
tons favor the prospect Of the impor-
tation of gold setting in before the
close OF the present. month and running
on into an unusual aggregate.
Henry Clews.