The age-herald., 1899-05-28
Disposition to Sunder SpecuIa-
 ton in SpeciaIties.
OUTSIDE NEGLECT OF STOCKS
Moderate Absorption of Gilt Edge and Government Bonds, With Issues for Reiunding and Reorgani-
 zation Purposes Leaders


 to sunder the speculation in railroads and in the industrial specialties The immo bility of the standard railroad stocks in face of the demoValized opening in sugar and Metropolitan Street railway was strilxingy like the midsummer markets of yore, when sugar was likely to absorb half to three-quarters of the total deal ings, and when many of the industrials now traded in had not been conserved. The bears seemed to have gathered fresh cour- age and mad quite a savage onslaught upon sugar, the tobacco stocks, the New York municipal stocks, shelter and steel and wire. Losses in the railway list were insignificant in most cases. There was simultaneous decline in New York Central and Pennsylvania, which was in rather marked contrast to the later strength of some sS the so-called differential trunk lines. The first hour had not expired be- fore an active demand sprang up for the Reading securities, based on the strong showing of the April statement of earn ings. decrease in operating expenses of the coal company and an increase in gross earnings by the railroad company, combined to produce an increase in net earnings for all the companies of $107, 649
 In connection with the good report sub mitted to the New Jersey Central earlier in the week and dhe May gross earnings of the Ontario and Western, the coalers developed quite a buying tone and enjoyed substantial gains all around. Erie first preferred shared in the advantage. The rise in these stocks was carried to other railroad stocks and checked the decline in the specialties, short covering causing ral- lies ef between one and two points, The failure of the market to show any marked response to the bank statement induced a fresh raid by the bears, which carried su- gar down to 145, an extreme decline from yesterdays close 7of 912 points. The mar ket yielded in sympathy, the speciaties quite sharply and uhe railroads only slight ly. The market closed under pressure but with net gains remaining for most of the stocks.
 Sterling exchange made an unusual show of strength for Saturday, with a rise of Ae, due to the burdening rate in money and the demand that center from the con- tinent for gold. In connection with the plethorio condition here disclosed by the weekly bank statement there is some re- newed apprehension of gold exports The demand for railroad bonds contnuei strong at advancing prices Reading Ps be. ing most conspicuous. Tine exchange will remain closed until Wednesday. When the season of uncertainty regarding the fate of
 
 ton in stocks by the outside public pro- verbally falls to minimum and the stock market is left to the professional room traders. The very fact of outside neglect of the market deprives it of support so that the professionals are almost invariably bears in dull stock market in accordance with the possible effect of crop failure in the two markets.
 That has been the state of affairs dur ing the past week. Fractionally every professional trader on the stock exchange has been bear this week. The late re- covery in prices is not so conclusive evi- dence of a definite indication of a change of heart. as the professional trader looks with apprehension always on a few days interval of inaction and it's possibilities of important developments. The heavy de- cline in values compared with the corre- spending period of last year. the rise in value of imports and the persistent rise in rate of sterling exchange were all incl dents to reinforce the argument that our credit balance abroad has been exhausted and that an early movement outwards of gold was likely.
 The languid tone of securities of mumer- ous industrial combinations was a striking indication of the saturated condition of the public demand for them, and was taken to foreshadow the danger of a break in prices of these, which were inflated in value
 
 ize prices generally. There were evidences not lost sight of by the bears of desire to realize on some of the heavy holdings over by powerful interests to check the panic due to MT. Flowers death. Much was made also of the impairment to values of an important group of stock, which would result from the enactment of a public franchise tax bill by the New York legislature.
 On these various assumptions the bears sold stocks quite assiduouSly during the early part of the week. A number of tele- grams during the week checked the conil- dence in coming reaction in prices. Most important was the excellent traffic returns of railroads for the third week in May. Beginning with St. Paul on "Wednesday with an increase of $36,O00,oO0 on gross earnings over last year, there was practi- cally no exception to the favorable returns. As the comparison is with an unprece- dented period last year it could not fail to have force. Reports of damage to Euro- pean crops during the week suggested fu- ture price for wheat that would attract a movement of the reserve in farmers hands constituting the invisible supply.
 There was a moderate absorption of gilt edged and government bonds. But the fla vorites are new issues for refunding and reorganization purposes
 U. s.. new As and old 4s advanced A; tho new 2's declined E.
 New York, May 27.-The Commercial Advertisers London financial cablegram:
 The markets were inactive here today, but the general tone was favorable, though investment securities were duil on continued apprehension of dearer money. Americans were firm, and a few favorites were fractionally higher.
 Spanish As were good at 62&. Tintos were 49. Paris is more cheerful Discounts were a shade higher. Money is steady, but higher rates are expected next week.
 The total sales of stocks today amounted to 241, ,596 shares, including: S. F. Co. 5, zoo; Atchison, preferred, 17,200; Brooklyn Transit, 20SOO; Burlington. 4.2O0; Consoli- dated Gas, 1o,2OO; Continental Tobacco, 4,900; Louisville and Nashville, 2,500; Mexi- can Central, 1000; Ontario and Western, 6,10O; Peoples Gas, of Chicago, 4,300; Read ing first preferred, 12,40O; St. Paul, 5000.
 Paine, Murphy & Co.'s Stock Letter