New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1899-11-01
BONDS.
,ruD DAYS OPERATIONS IN sTOCKs.

The prospects for higher prices IN the seou'l-
" market have not been lessened by the FACTORS
now troubling short sighted market followers
Money market conditions are not favoTanie al
the moment for extensive operations on the
long side Of speculation. but the current posi-
,io, ~ the market does not reflect permanent
conditions Boer success in the Transvaal IS
not a permanent market influence. And the de-
crease in the net earnings for September OF 'he
Chicago Milwaukee and st. Paul IS not an IN
,d,cat,on Of q change in the railroad situation.
Bear traders considered the factors named OF
.snfnc,ent Importance 10 attack values In yes
terday's market. A few stocks OF the Vola'He
variety sold down a point or more. but as
rule losses were fully recovered before the close
Railroad net earnings will, # is argued IN some
quarters be seriously affected in months 20
come by the increased cost Of materials. the ST.
,Paurs loss being given as an instance Of what
may he expected in the rest Of the year. but the
fact that railroad charges cor transportation are
advancing IS lost sight Of. while the steadily
growing volume OF traffic is not considered. The
decrease IN st Paul's net earnings was due not
so much 10 the increase IN the cost Of labor and
material as To the policy Of the company TO i'm
'prove the property at time when enormous
earnings justified extraordinary expenditures.
s. Paul earned more than II per cent on us
stock last year, and as gross earnings are now
heavier than IN the record breaking period
year ago the company can well afford 10 sho"
q decrease In net earnings. St. Pauls Scpten-
her statement cannot be twisted into bear ar
eumcnt If holders OF stocks should become dis
Outraged they might rivet their attention upon
the not earnings of the Pennsylvania. which for
Septornbcr increased TO Sl56.OOO. Pennsylvania $
traffic IS representative Of the country's indus
rad
70 watch. All the large companies can show de-
creases in net earnings in tho rest OF the year
as compared with year ago yet have a sur
r,lus above dividends AT the end. There IS only
one cause for restricted speculation In stocks
at present namely. the money market situa-
ton This however, IS not a bear factor, and its
mower as a restraining influence ought soon TO
,pass away under the effect Of increasing sup
plies Of money at this centre. The active specu-
lation that began on Monday morning has been
checked to some extent by higher rates for
,oono, purchases made by weak marginal trad
ers a, Mondays opening may 10 liquidated az
Toss ana aggressive bull activity may not be
renewed for several weeks 70 come But the
,sctual worth Of securities will continue 70 I'M
;prove. and the market VIII develop technical
condition from which sharp upward move
,1nent Will result.
Selling in yesterdays market represented IN
great part short sales and liquidation by weak
speculative holders ON the decline a substan-
tial class ~ buyers took stocks London was
T. heavy seller owing 10 the decline I'm the Lon
don market following the reports Of British re-
0scrsos IN the Transvaal In the afternoon deal
incs recovories were made throughout the list
especial strength being shown by the steel
,stocks. Shorts began TO cover as soon as they
realized that they could not force extensive
liquidation. and toward the close the entire list
moved rapidly upward. Federal Steel common
was the conspicuous feature In the advance, its
last price showing a gain Of over per cent A
good demand for the stock from legitimate spec
ulatiye and investment sources was noted.