New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1897-10-04
THE FINANCIAL MARKETS.
!SrOCKS CLOSE STRONG.
CONDITION OF THE FEDERAL TREAS
TRY-RAILROAD EARNINGS.

sunday, october 3D. M.
The course OF security values last week tow
ard lower level was neither unexpected nor dis
appointinc Sentiment favored lower prices, and
powerful interests encouraged the reaction It
was pointed out in this column a week ago that
the Street had become bcarsh. that Important
market interests desired a setback to prices. ara
that the speculative situation would be strength
ened rather than weakened 5y a nariod a d"-
cl,rinr values The current level of values OF
the majority of principal active stocks as com
pared with the high level for the same STOCKS
in IS.6 shows only a slightly higher range anu
a number Of active stocks are actuaiN pelo"
the high level Of last year. When the vast ali
ference between business conditions Pf'Naii"'s
at present and at the time or iast year his"
level is considered: when II Is re''eNHpcic" ''"'
there is now actual Improvement H's'eau vi
prospective it will be conceded thai STOCK FaiueS
are not high and that they 40 ho' represent al
sxaccorated idea of what has already been ac-
co,nplisbed by the onward march of prosperity.
The reaction which began on SEPTEMBER ~ con-
tinued without important interruption uhtii
midday October l. when sharp rally set
in followed yesterday by similar move
ment. with substantial gains in the MAORI
~ of issues. compared with the low level
reached on Friday morning. and in many cases
which accounted for the summers advance now
annear TO be depended upon for another upward
movement: but it Is likely that in the course OF
this movement frequent reactions will take place
and that there will not be a one-sided Dull mar
ket all the time. Important interests snow evil
dence of getting ready 10 support the hiarkei'
and il is not unreasonable to expect an ac'i,e
bull speculation throughout the coming Week.
Yesterdays closing was extremely suohs' :,
The recent returns of railroad earnings. IN
Guiding the net statements Tor august; rinam
sufficient reason for confidence IN American
railroad stocks and bonds. They also present
~ striking reflection of the wonderfui chanse
in industrial conditions in the last rev non.ns,
and form a most gratifying array OF evidence
of the recuperativc power of the countr! al
large aft years of depression gloom ana ms
fortune Look at the earnings OF the fehhs!i-
vana the Burlington, the Northern ra vnnI,
Atchison Erie. Reading, st. Paul New orh
Central and other prominent lines fehnsyi-
vania for the month of August increased III
cross earnings SJ3S 200 and S}J6O0O in net,
on the lines east of Pittsburg. and total on
all lines Of $50. 400 increase in gross ana Hit,
400 in net despite the bituminous coal STRIKE
which affected the road to a considerable eN
tent Burlington for August Increased IN gross
$3.50 146 and $35S.O14 III net and -. Paui TOT
the same month gained S2i6,362 in het: Atcni-
sons net increase for August was HlC9'o-o;
Louisville and Nashville gained Sl33, ~ IN net
and Reading gained S114,5II in net Erle mace
an addition OF S1O0.971 to its net earnings IN
August; Wabash. $93.12I; southern Kail"a!'
S5OS17 and Jersey Central 500. I'D The de-
cline in stock values last week diu not re-
fleet business conditions. The growth OF busl-
ness has not come to standstlL On the
contrary improvement grows stronger ana
more pronounced every day. ana the returns
of earnings just referred to and those now com
ing in for the third week In September are
truthful messengers Of increasing industrial
activity. Many people who sold stocks last
week forgot all about the accommodating PROOF
of business expansion. and they allowed them-
selve- to believe that everything bright in the
situation had been discounted and that the
bull movement in securities had reached its
end The downward course Of values was not
the end Of the bull movement. but mere
shaking out process which helped rather than
injured prices 1t an incident OF specua.
ton: nothing more. II was not reflection or
a permanent change. and 1t is not unlikely that
the coming week may see as decided cnanee
in the opposite direction, both in sentiment ana
values The close of the week brought I'M
provement and if the market this week Is TO
follow technical conditions as we'll as business
conditions higher prices will prevail The fol-
lowing table shows current prices, coinpare ea
with the high figures of 1S82. the low IN 1885
and the high level last year: