New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1898-12-26


The traditional holiday reaction In the stock
market failed to appear last week. and from
present Indications there is little probability Of
It's arriving In the calendar year now closing.
Wall Street credit Is high. and money is penti-
full If this were not so, there might be very
different story to tell This year there Is moth
ing about which to worry. The market value Of
securities may. It is true. carry some over
enthusiastic traders to bankruptcy before the
new year is over, but the intrinsic worth OF
stocks and bonds must gradually appreciate and
finally reach investment level warranted by
improving business and money market condi-
tons. Speculation so far has not been Of the
wildcat variety. Nor have the so-caed cats
and dogs Of the Street received the attention
that indicates the waning of a bull movement.
Low priced stocks whose prospects bright
have been dealt In TO some extent, but the value
of this class Of securities warrants higher
price-leve and the fact that speculative at
tenton is given them does not reflect wild
unwavering trading The low-priced group con-
tans many Issues in which there equities
that some day will develop into very great
worth
At certain times in the week the market ap-
peared to halt, acting as II it would move in
the direction desired by room traders Room
market has In the past declined remained
in a condition of suspended animation at the
end Of the year. the room traders thought 1t
would follow the same course this season. but
unfortunately for their accounts prices refused
to decline beyond a moderate reaction In the
early part OF the week. 1t must be evident
to the room trader that market founded upon
easy money. confidence and prosperity is a
hard to break. and 1T must appear clear
to the professional element that It has lost the
knack OF governing the market owing to cir
cumstances totally beyond the sphere Of its
influence. The power OF genuine public sup
port in the current market has surprised the
oldest expert in the Street. a cautious public
with large bank accounts is taking stocks and
bonds out Of the Street to hold as permanent
investments for higher prices which some
future time will bring. This kind Of buying re-
qures no borrowed capital. Even the man
who can buy twenty shares outright" IS
factor In this movement AS long as holders
retain their possessions. as long as small trad
do not overtrade and important market In
terests do not unload. prices cannot suffer
material setback
VIII important market interests unload when
money is so cheap when confidence is so great
and the future promising? VIII the genuine
holders of stocks liquidate at the current level
when they feel almost certain that values Will
sell much higher in 1899? Big fluctuations Will
doubtless both sides OF the market.
and many small traders are likely to suffer
losses. despite the bull movement. but will
general downward movement begin with the
speculative tendency expanding in all centres
and money continuing in abundance? Watch
the money market for the danger signal in
stock market trading. AT present the red flag
is not needed, for the amount OF unemployed
capital the amount Of credits abroad and the
actual circulation OF money In the country were
never larger. We produce or rather mine
gold in enormous amounts yearly. Our gold
trade balances, is enormous. The country Is
a gold basis for this year. next year and all
years TO come. Silver agitation may go In
the camp Of the faithful followers Of 16 to l.
but the power for harm Of such agitation has
gone. Whatever currency legislation may be
ress and financial enlightenment. II Will pre-
serve and strengthen rather than destroy con-
fdence The trade reports for last week
hibited further statistics OF growing business.
while bank reports verified the improvement
shown. The stock market moved 1t moved
business not large. Possible calling Of
loans incident to January interest disburse-
ments may be factors in this weeks market.
Their effect however, can be OF only temporary
duration