The age-herald. [volume] (Birmingham, Ala.) 1897-1902, 1899-06-04
FORMATION OF
A BULL PARTY
Encouraged by Upturn of Prices
in Stock Market.
QUICK RETREAT BY BEARS
Bonds Sold Off But Were Later in
Yielding, and Were Much Less
Marked United States Gen
orally Advanced.
QUICK RETREAT BY BEARS


New York, June 3.-Yesterday's sharp
upturn in prices had the effect of encour-
aging the formation of bull party in the
stock market, and they made it sufficiently
obvious at the opening and even before
that they had fixed upon the stocks of the
new steel combinations and a few other
industrial specialties as the most prom
Using field for operations.
Probably the most influential factor in
determining the bear attack was the aban-
comment OF the purpose to sustain the price
OF the new amalgamated copper stock at
or above par. The $50 900 900 of stock of
this organization was largely over SUBJ
scribed at par and the payment of sub
scriptions was completed week ago Mon
day. The subscribers were understood to
include some of the most powerful finan-
cial interests in the country and the new
stock was supported at or above par all
last week in the face of every languid
public demand. When the price was al
lowed TO slump DO 50 on Wednesday and
Thursday in the outside market it was in
tefpreted to mean that the powerful back
ers were not disposed to combat the re-
dictionary tendency in prices for the pres
ent.
Fortified by the acquiescence on the part
of an element which had frustrated preyI-
Gus attempts to force down prices, the pow
erful bear party proceeded to work their
VIII with no important opposition. A large
oody OF security owners had for some time
heen in the position of inerty holding on.
waiting for a further rise in prices.
When the bears began to offer prices
down by Wide gaps and the owners saw
Their holdings being q from
them they became alarmed and threw over
their holdings indiscriminately There
was number of potent factors in the gen.
eral situation, which aided the bear cam
palSn. There was growing conviction that
the yield of wheat had been seriously cur
talled by the damage to the winter grow
ing plant.
1here was report of a case of yellow
fever at New Orleans and the action of
the Texas authorities in declining quaran-
tine against Louisiana, an action which
necessarily impairs the integrity of rail-
road earnings in the territory There was
the trade war In gas in this city and III
sugar and the tax to be imposed on fran
chises under the New York law. which it
was rumored might lead to the reduction
OF passing of dividends on several stocks
which hold an important place on the New
York stock exchange.
There were showings at reduced net earn
ings for April by the st. Paul, Burlington,
Northern Pacific and Union Pacific sys-
TENS for which some plausible reasons
were offered, which their face was evil
dence of decrease in the sums available for
distribution among stock holders. There
was a hardening tendency in exchange
for shadowing an outward movement of
gold which came in an announcement in
the banking hours on Thursday of an en-
gagement of $1,000 900 for shipment to Eu-
rope. The fact that this engagement was
made after an easing of the rate for ster1-
ing exchange led some exchange bankers
to question whether the operation could
yield a profit as an ordinary exchange
transaction. The fact that it was made by
the institution that financed the Amalga-
mated Copper Company and also the pay
ment of the Philippine indemnity may servo
as explanation.
The purpose was to provide for the pay
ment to Spain, SO as to avoid the export
of gold and a sufficient amount of foreign
exchange was accumulated to cover the
amount due to Spain, so that the gold Cor
certificates of gold could be transferred
from the sub-treasury in New York to the
banking institutions. 1t was obviously
corollary of the plan to set off foreign OBJ
legations to the bank to make up the for
eign credits turned over to the government.
But the operations seem to have induced
piethoric condition in the local money mar
ket and a hardening tendency in the Lon
don money market, which were not counted
upon and which made the outward move
ment of gold necessary to restore the bal
anee.
The relief to the London market gave
strength to the stock market there, which
spread to Americans and was reflected
back upon the New York stock market.
This, with the fall in wheat, the subsid-
ence of the yellow fever scare and good
prospects in the anthracite trade led to the
late recovery in prices and general cover
ing of short contracts. Prices recovered to
last weeks level, or above all around
Bonds sold off in sympathy with stocks,
but they were later in yielding and the
declines were much less marked.
United States 9's and old AS registered
advanced X, and the new As and the IS
u in the bid price. Old As coupon de-
clined 4.
The total sales of stocks to-day were
2S9110 shares, including: American Steel
and Wire $500; American Sugar 21,00O;
American Tobacco, 1000; Atchison, pre-
ferred 1000; Brooklyn Rapid Transit,
%, 300 Burlington, 1890; Federal Steel, 49,
200; Louisville and Nashville, $500; Man
haitian, 1O,7OO; ST. Paul, 10000 Tennessee
Coal and Iron, 5000.
Money on call steady at 2Q21a per cent;
last loan 2. Prime mercantile paper, SAG
per cent Sterling exchange steady, with
an actual business in bankers bills at
4S7%G4SS for demand and at 4.S51a4.So4 for
sixty days. Posted rates, 4S62d4Sf94S9.
Commercial bills, 4S1m4.SI12- Silver certln-
Gates, C1@62; bar silver, CO.'S. Mexican dol
lars, AZ. State bonds inactive Railroad
bonds steady. Government bonds strong;
Is regular, 100; IS regular, 1925; do. cou-
pors, 1922; new As regular, 1907; do. cou-
pons, 1907; old As regular, 1RlA; do. cou-
pons, 119la; IS regular, 1129s; do. coupons,
ll9ss.
SHOCKS
Tho leading futures closed as follows:
Atchison... ..... 80. So. ........., liz
Atcbison prcferred.,.. -. :. ...... 55A
Baltimore and Ohio.... ......... Go
Chesapeake and Ohio.... 1850 ......... Pc
Chicago, Burlington and Quincy. .129A
Chicago Great Western. 1874
Chicago and Northwestern. 1914
L. atrnl