New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1898-02-07
THE FINANCIAL MARKETS.
IEAVY DEALINGS IN BONDS.
STOCKS EXPECTED TO GO HIGHER-RAu~
ROAD EARNINGS.
Sunday. February 6-p. n

Sunday. February 6-p m
TIE most remarkable and interesting festus
in the Wall Street markets y the enormous
movement Of capital into railroad mortgages
Last weeks daily transactions averaged nearly
100000 par ValGe. and for the SIX days they
amounted to S3i 1886 OD. he heaviest total OK
any week in the history OF the Stock Exchange.
There is practical scarcity Of high-grace IS
sues available for market purposes THIS re-
81 is in a demand for cheaper issues. and causes
IN appreciable increase in the valuation or al
bonds dealt in And 1t indicates confidence
among investors to take securities which nave
yet 70 become profitable income returners Ok
course. the buying OF many OF the .ow-priced
bonds represents speculation, tut the iAct tnat
SPECTATORS think f2vo-ably OF suen Issues io1e-
shadows al investment value. CAPITA IS more
active than in many months !, IS not only
the case Ia the securities markets, Dlt n gem
e-al business throughout the country. As
rule, the month Of January IL q tine OF guinness
IN business circles, as compared with the thfee
preceding months. but this year IL has proved
a. exception, as reflected in trade reports bank
clearinss. railroad earnings and The snlaN rec
ord Of commercial failures. Actual payments
through clearing houses IN January were larger
than in any month IN 1897 o. 1896. and more
than I per cent heavier than in January. lsJ-
Mercantile failures were smaller In January
than in airy corresponding period since ISL
Railroad earnings were well above those in the
same tine IN many preceding years. From Cnl-
cago daily dispatches are being received re-
garding alleged rate-cG;ting. bat 50 long as
earnings continue 70 show such handsome gains
little attention need be paid 70 these reports.
which are generally sent out for ,he purpose OF
Influencing market values. wholesale raie-cut-
ting Is thing Of the past, for the simple fee-
son that the large financial interests in control
OF the principal roads will no longer tolerate
ruinous traffic wars. The reorgan!zations and
combinations o. various companies IN the last
year have been accomplished by powerful Anan-
cia houses which are determined 20 see the
properties operated In the interests OF the STOCK
and bond holders, rather than FOR the enrich-
ment OF managers and uDscrgpu.0us directors.
Never before in the history Of the country has
the railroad situation been 50 favorable 10 H.
vestors as at present
Confidence in business AID financial circles
has been strengthened by the attitude OF the
Republican party on the money question The
lines have been sharply drawn between the two
National! parties, ana the business interests or
the country have cast their lot with the de-
tenders of public and individual credit. The ST.
Yer men have been buried in Congress Efforts
axe making among the bear coter!e on the STOCK
Exchange 10 convince investors that the usual
reaction following a Presidential election VIII
result In a free-sllyer Congress next November,
but investors show no disposition 10 listen 10
silly predictions. and they continue 10 buy
stocks and bonds on ell favorable opportunities:
II the Teller resolution had not been showed
under. and IL business conditions were not so en-
couragng a free-sver Congress might be T.
possibility. The farmer has found out that the
money kings" and the gold incubus 90 net
men throughout the country see none o.! the
predicted catastropnes Of sound-money Ad-
ministraton. Improvement IL private and cor
porate wealth is factor against which SILVER
takers must prevail If they wish success The
bear element is expert on far-fetched arguments.
II IS natural that specuators who have taken
their profits are anxious 70 recover stocks Ak
lower prices. and it IS also natural that holders
OF stocks for higher prices do not want 10 sell.
and that investors see no logical son Tor
disposing OF their holdings. There are many
fpcfrf
which are sufficient argument FOR holding secAr'-
ties; but perhaps the most important IN the cur
rent situation Is the N>w-YcrA Central-LaKe
Shore deal. II is not unlikely that the an
nouncement Of the Wander oilt consolidation Will
be followed by other transactions OF similar
character. and it is rore tsan prooaole tha'
railway consultations in 1895 will De as promi-
nent feature OF railroad flnanclcring as re-
funding operations were N 1897, and reorgaai-
cations in 1896 and 1898.
The stock market shows a disposition 70
broaden Commission houses are advising their
customers TO come early IN order TO avoid the
rush" Barring accidents. the current year
ought 10 see a revival OF speculative and In
vestment activity similar that in the period OF
low prices in 1877 TO the elimination OF the bull
movement in 1881 In a general bull movement
stocks can be carried 70 prices far above the
current level, ana the fact that the public Is
now watching Wall Street encourages the be.er
that the year viii witness reoord-oreaking VAL
les. Selling for profits was heavy last week
but stocks sold were readily ABSORBED by good
buyers and money realized on such sales was
placed into stocks that had shared in ths
bull activity. The Anthracite shares were In
better demand, especially the Reading issues
The sale Of the remaining Reading securities
held by the reorganization syndicate removed
an obstacle 10 bu.! activity in the stock, while
the cold weather encouraged its buying by I'M
pcrtant speculative interests. Southern railway
properties are growing in favor. The Granger
shares will doubtless sell higher. and, in the
Industrials. Peoples Gas and Coke Of Chicago.
This company pays dividends Of per cent. and
is making per cent. The stock IS more closely
held as an investment than ever before, and
the fact that IL has not enjoyed market atten-
tion since last summer places II in The list OF
issues that will move substantially higher.
Michigan Contra! and Panhandle" are slated
for further advances. Genera. Electric is in bet
ter demand In the low-priced RAILWAY stocks
Atchison preferred. Southern Railway preferred
and Wabash preferred vii. not lag behind in a
general upward swing. II is believed that the
influence OF the Vanderbilt consolidation VIII be
far-reachag abroad and that foreign buying OF
American securities viii be feature OF the
market az no distant time. The way prices ad-
vanced yesterday and the n arkea Increase IN
business encouraged the belief that this week
would see d busy time in securities ranssc-
tons
The following tables show the movements Of
tte chief Give stocks and bonds n the week.