New-York tribune., 1899-11-11
BONDS.
THE DAYS OPERATIONS IN STOCKS.

Stock market speculation ran in favor OF the
operators for the decline yesterday nuihpeI
Of active professional dealers started IN seNerai
DAYS ago TO lower values owing 10 the inohe
tary situation, which, according 10 the oIhcia'
organs Of bear manpuators was. approachihs
a condition where panic would develop A GER
tain number Of enthusiastic commission mouse
buvers who dlsregarded the position OF the
money market and the active manipulation Oh
ratios bought on recent occasions more stocks
than their resources warranted. and in conse-
ouence they were either forced to sell or were
frightened into selling in yesterdays market
But the people who sold were not supstah'iai
owners of stocks. Substantial holders addeo 10
their lines and the short interest was increaseu
to an extent that suggests the adVlsaphty Oh
extreme caution in further operations lor Io"er
prices Bear attacks on the market were Daseu
upon the expectation Of a poor bank statement
to-day and from the depression Of spirits that
appeared to come from this expectation II was
assumed by some people Of clouded understand
ing that a monetary crisis was at hand.
The crisis will come for stock market bears
If they continue to sell stocks short on the be
lief that current monetary conditions will lead
to extensive liquidation among capitalists ana
large and small investors. Owners of securitie,
volume because of trade activity. The larger
CAPITALISTS, who are the largest holders of stocks
and bonds know that factors governing the
money market are not conducive to extensive
speculation in securities at the moment but
despite this they are willing to take all the
stocks that bear traders may wish to sell, while
they are satisfied that a temporary setback In
values will strengthen the market rather than
weaken IT, Traders were the chief sellers In
yesterdays market. One Of these days the
shorts will be forced to become investors at
advancing prices If they continue their stupid
policy Of arraying themselves against the mar
ket forces which hold the trump card in the
game that is now being played. 1t should not
be assumed by the small public trader that
prices will Immediately advance. and that big
margins are unnecessary; but he can safely as
sumo that on every reaction the position of the
short interest will become more dangerous, and
that the forces underlying the market will at
no remote period exert a decided influence upon
the movement Of values.
The stock market is not honeycombed with
weak accounts. If technical conditions were
weak the decline that began Thursday af-
ternoon would result In severe break In
values on extensive speculative liquidation. The
great trade activity Of the country Is not being
checked by a spectators famine In money. 1t
may be disappointing for patient holders of
stocks to note the slowness with which money
market factors working In favor Of higher
market values. but they have the satisfaction
OF knowing that the current position Of the
money market Is due to causes which are in
| creasng the actual worth of their securities.
The monetary outlook Is not as black bear
traders paint 1t. The banks below the So
called legal reserve. but they hold in cash, ac-
cording to last weeks statement OF averages
S1SS Cos 700 while the country at large holds
| $97 14O366 more than IT did this time a year
| ago-this is exclusive Of Federal Treasury hold
| ngs.