The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1897-10-17

four months Of the bull market. Salts
tics might be cited of the proportions of
reaction to decline after previous great
bull markets; but precedents are mis-
leading and various and the main fact
that even in the full tide of the condi-
tons which induce an advance in prices
of securities it is invariably the rule that
a backward swing occurs covering a ma
terial part, though not the whole of the
advance. The professional traders sold
out their stocks a month ago at the
high prices, and they don't care to buy
again SO long as there is prospect of
causing further declines. During the
week many holders of stocks who have
been persistent in holding on for
turn, have become Disguised and have
liquidated on a large scale to have furth-
er loss, thus giving material assistance
to the bear party. The motives assign
ed for the selling are various and of
little real force, as is demonstrated by
the fact that when the alleged cause is
removed there is no cessation in the de-
cline.
The trade reviews all report continu-
ed expansion in their lines, the improve
ment in the iron industry being especial
ly marked. The increase in the output
of pig iron and the decreased stocks in
dictate that the rate of consumption has
increased about forty per cent since Ju-
ly LIST. Further engagements of gold
for import were expected to have been
made this week, but the purchases of ex-
change bills against last weeks engage
ments have kept the rate of exchange
above the import point. This point has
oil hanr lor - Ixya
prices of gold bullion in London and
by the rise in discount rates at London,
Paris and Berlin. A very heavy move
ment of gold before the season ends is
considered inevitable.
London has ceased to sell American Sc
curities in the New York market and
this week has buyer. The govern
ments trade statement for September
shows balance of trade for the month
in favor of this country of over $62,-
100000. The movement of cotton, now
but just gaining full tide, is expected to
give heavy balance for October in
this country's favor. 1t is to be borne
in mind, however, that the low price
of cotton prevailing will make a great
difference in the amount of exchange de-
mand to pay for exports.
Io-day'S statement of imports at New
York also show a striking increase over
last week of $2,SS3,551, while the ex-
ports from this point for this week
fell off $2,454, 1894. This must modify
the internal exchange situation to an
appreciate extent.
The weeks declines have been heavier
in the specialties, Sugar and Tobacco
leading with 61a and 81 respectively.
Declines in railroads range from / to
3 per cent, the Garngers, Southern and
Southeastern roads leading. Chicago Gas
sold as low as S71a, but recovered to
"a.
Railroad bonds were less active and
weak in sympathy with the stocks, but
the declines were less important. Total
sales, S10,750,00O.
United States bonds have been strong
and higher, the new tours coupon selling
at 1211s, a new high record.
The total sales of stocks to-day were
l36, 800, including burlington, S,2O5;
Northern Pacific, preferred, 5,545: st.
Paul, 10,100; Union Pacific, 1862;
American Tobacco, 6,164; Chicago Gas,
%, 445.