The times., 1899-05-28

The market is 10 have holiday until
Wednesday, three days and a half. 1t is
a most interesting matter to surmise what
the temper of the market will be on We'd
nesday morning, and if there is likely to
be any change in the trend of prices in
railroad securities and in industrials be-
ginning with the new week and the new
month. after the three days rest 1t may
be stated as a fact that the feeling in
number of the most important houses in
Wall Street is undergoing a change for
the better. The bearish talk of the past
month will on Wednesday give place TO
arguments of another stripe. 1t is believed
that the bear raid has run its course, or
very nearly SO, and that within very short
time the beginning of an upward move
ment in prices will begin. The arguments
are well known. First of these are the
facts in the situation which are bullish in
their significance intrinsically, and not
simply for a day or week The one item
Of the damage to winter wheat is relative
ly insignificant when compared with the
general prosperity everywhere. Further
more, it is now said that the corn crop and
the spring wheat crop will both be among
the largest in the history of the country.
Atchison may lose business through the
damage to the winter wheat crop, but it
will more than make up this deficiency
in the general freight business. On the
other hand Burlington, St. Paul, and Rock
Island will gain more in good spring wheat
and corn crops than they will lose in a
poor winter wheat crop.
More important TO the immediate fu-
ture of the market is the present tech
nical condition OF speculation. The com
parison of security prices above given is
most suggestive In this regard. II points
directly to a certain condition which it is
very difficult TO understand in more than
one way. During the past two months
there has been a decline in prices of from
ten TO thirty points, or more II has been
varied by reactions and revivals, but the
tendency downward has been marked and
steady. This decline was a reaction from
the great period of bull enthusiasm of
the past winter and spring. 1t was aided
by fear of the great 7ntation of new indus
trial securities. II is now asserted that
this decline has run its course and even
exceeded its legitimate limits.
All the great new public which helped
to push prices up few months ago is now
out of the market, or firmly intrenched
with big margins or with stock in its pos
session as an investment This public
cannot be further mulcted as a bull The
present public is selling stocks short.
This short interest has been growing for
several weeks. There has been little or no
liquidation of long holdings of railroad s.
curities during the past ten days. There
has been stagnation, but there have
been no declines. The bulls mean
while have been absorbing stocks con-
stantly for two weeks since the death of
Mr.. Flower. They have not advanced
prices. and hence it seems very evident
that they expect them TO advance. Money
is cheap. The weekly bank statement
shows an abundance of funds The level OF
prices is still high compared with that in
some OF the lean years recently passed, but
1t is low compared with that Of January,
and much lower still when compared with
other periods of prosperity no greater than
the present. A further decline would play
into the hands of the speculative public,
and perhaps also add to the bank account
of Mr.. Keene. 1t would not be good for
the country at large II would not help
the big trusts to market their securities.
1t would lessen the value of the securities
that the Standard Oil people, the Wander
bits, the Flower crowd, and the large in
terests in general have been accommodating
There is little question that the bull deal
ers are stronger than Mr.. Keene and the
smaller speculative bears.
The bank statement for the week is a
fine one in every particular except that it
does not show any increase in deposits
| The outlook for cheap money is assured
| however in wonderful increase in re-
series and a tremendous decrease in loans.
The figures follow:
Reserves increased. So 902 200
Loans decreased. 1IbIs,sDO
Specie increased observation-disclosures. 3,692, 800
Legals increased. 2,s5i 100
DeuOSitS decreased.