New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1898-01-03
THE FINANCIAL MARKETS.
STOCK CONDITIONS FIRM.
WALL STREET IN CHEERFUL MOOD
RAILROAD EARNINGS.
Sunday. January 2-p. m.

Sunday. January 2-p. m.
The beginning OF a new year in the stock mar
ket presents a far more cheering aspect than in
many years, and the end Of the old year shows
incomparaby better investment situation
than at any corresponding time since 1872. No
one can tell what the new year will bring forth,
a matter OF course, but business men are
apparently well satisfied that II will be sea-
son OF expanding industries and approaching Sc
curities values. The Improvement in securities
prices in 1897. as compared with 1896. based
upon an actual increase in intrinsic worth. has
added millions to individual and corporate
wealth. How much further the appreciation in
securities values will go depends upon future
developments, but II these developments move
in line with current expectations there will be
little reason not TO predict a materially higher
level Of market values in 1898. Progress in
business and political conditions. If based upon
the factors responsible for the advance in the
last six months, must continue, and unless all
indications are useless as index OF the future
the course OF things will lead to Increased
wealth. power and prosperity in the United
States. People who now are not believers in
the prosperity Of the United States may live
to see a period Of greater progress in this coun-
try than at any time in the past history of the
Republic. 1t is poor time Tor bearlshhess'
Because Of all the bright features In the stua-
ton some people believe that, beginning al ~
clock tomorrow, the stock market Will Degln
to advance, and that prices of all securities VIII
rush madly upward without hindrance. Unless
the lessons Of experience and the common-sense
Of Wall Street operators are forgotten, tnere
will be no such scheduled activity on the STOCK
Exchange. Wall Street Is more cautious than
formerly. The public takes fewer risks. and the
rank and file Of the stock-market operators are
given more to elaboration than TO thoughtless
speculative activity In the best OF times
stock market will not advance continuously.
ample evidence OF which has been furnished re-
peatedy Just at present operators should bear
in mind that there is enough uncertainty over
the outcome Of the situation in China TO induce
caution and possible liquidation in stocks by
foreign houses and that Congress VIII De IN
session again this week and, In consequence,
prove another factor Of uncertainty from the
speculative point OF view. Moreover, II Is not
unlikely that many prominent market interests
will wait until later on in the season before
making extensive commitments in the securities
market Trade is excellent but business men
want to get a Zine on the spring movement
and they are not anxious to deal extensively IN
stocks with Congress in session ana posslole
Cuban sCares at any minute. In view or various
Temporary influences all containing elements OF
uncertainty. it does not seem probable that there
will be an active boom in stocks at present
The market is strong in underlying condltlohS
Developments in the business world furnlsh
every reason for steady strength. no reason for
selling but adequate reason for great buying
of stocks outright 10 hold for higher prices,
which must inevitably come Some lliie III 1919
In 1897 there a large absorption or stocks
and bonds by investors Perhaps such buying
was only OF a preliminary character and VIII be
followed by much heavier movement IA i.9o
London sold American stocks throughout the
wear Sales Of this character were readily ao-
sorbed. showing another element IN TINS coun-
rry's increasing strength and hnanciaI lhde-
pendence. Some people hold that European sell
ing az American stocks Is unfortunate. But this
is not the case so long as Americans can con,
venenty buy stocks thus sold ho!d them ana
fff.,r,, 70 y
in the number Of foreign held American securl-
ties means a corresponding reduction IN the
amount OF interest to be sent abroad. NO one
should dispute that IL is not an encouraging
sign when Americans can handle their own
security issues without European assistance
This growing financial independence was one OF
the striking features OF the last year. ana thls
ability OF home interests 10 take and ABSORB 1or-
eign sales was made additionally interesting be-
cause OF the rapid increase in this countrys
merchandise exports. The export trade OF the
United States in 1897 for eleven months amount
cd in value to 1914 612 800, against SssS COL 3l5
in the same time in 1896. Sl32 20. lsf in 1872
S74O 225 400 in 1894 and SIS2,292 3O9 in 1875
Bank clearings for the year 100. TeIe tsly
were better by a heavy percentage. The reasons
for the growth OF trade and commerce, for the
development OF Industries and the return OF con-
fdence after these years or bankruptcy depfes-
sion and fear are too well known and nave
been given in detail too often TO need repetition
here The Improvement In the country pro-
ductive energies has been striking. And the
decrease in the cost Of production, the increase
in knowledge concerning economic principles
and the growth of intelligence and wisdom IN
corporate management have been marked
The gain in stock values in the last year for
the principal active issues was consideraoie'
and the increase in operations large. for dne
vaar total sales in all stocks comprising 26t
Separate issues. were 77607,546 shares. against
20. 594 500 in the preceding year. The Following
able compiled from the annual table
printed in The Tribune yesterday may prove IN
feresting.