The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1899-06-19
FINANCIAL |'|l, FACTS.
Some Recovery in Tone on the
Stock Exchange.
THE CAUSE OF IMPROVEMENT
Due to tho Encouragement to Buying.
Tho Foreign Movement in sccuri.
tics-The United States, However,
Continues to BIO Largely Creditor
Nation-Exports and Imports.

slcC'h' So'feopolueuCo Oh Encouragement,
NEW YORK. Juno 17.-During the
past week, there has been some recoy-
cry In the tone OF business On the stock
exchange. The Improvement appears
TO have been mainly due to the encour-
agement to buying consequent on the
previous drop In prices: the transac.
tons however, have not been large.
and the second half OF the week was
marked by n disposition to realize on
the few days advances. with some
consequent yielding in prices There
are plenty Of. strong believers in the
Intrinsic strength OF the market: but
they are, cautious against overlooking
under certain circumstances in the sit
uatlon which are Of an unusual nature
and influence Of which cannot be eS-
actiy measured. fa T.
Undoubtedly. the position Is one that
calls for moderation and circum-
spection. 1t Is true that the general
conditions OF national prosperity which
gave rise TO- the great advance early In
the year still remain In their full force
and the Impression they produced still
has Its influence. But, in speculation,
1t Is impossible to make the maximum
range Of prices perpetual, no matter
how much conditions may seem to fa-
vor: and 1t may easily be found that In
the present position. further decline
In prices will be needed In order to
restor. really active buying and fully
recuperate the bull spirit.
saHN 4s 81 l. . u.
At an earlier stage Of the campaign.
It waJ mainly q question OF how much
the value Of securities had been en-
HANGED by the great burst OF national
prosperity. That question was answer
ed by an unequalled rise In prices; and
now the question has come to be-how
far values should be affected by the
important changes in the supply of Sc
curities on the market? 1t Is doubtful
whether sufficient attention has been
given to the extent to which securities
have been returned from Europe with
in late months. One of the morning pa
pers has made careful inquiries among
seven principal arbitrage houses. us to
the extent of that movement from the
beginning of 1898 to the end OF last
month. The lowest estimate OF the
market value Of the stocks and bonds
returned within that period, less the
amount exported. was s325 900. 900 (net),
and the highest s40O.0OO.OoO (net), the
average of the estimating showing q
net reilux to the amount OF about $780,
100000. This movement, think. will
create some surprise by It's extent; and
though only an estimate yet the fig
ures come from those who have done
nearly all the transactions and they
therefore should approach accuracy.
1t Is certainly u factor Of some real
Importance that securities. valued at
their market price, at s3s0,o00.900 have
COME upon the market within the last
seventeen months: and the Importance
of the fact becomes all the greater
when 1t Is considered that the govern
ment has within the same time placed
S-oV'oUV. 600 Of its bonds on the market,
making q total new supply of $5C0. 900, ;
QUO. The extraordinary plethora OF
money In the banks has facilitated the
carrying of these securities; but 1t
cannot be assumed that they have yet
been digested and found resting place
as permanent Investments.
Nor is this the only consideration.
Inc return or these securities from
abroad has gone far towards liquidnt.
ing the large creditor balance that has
arisen from the great excess of exports
over imports that occurred during the
same period. That creditor surplus has
been perhaps the most important ele-
ment In the rise OF securities that oc-
Cured during the first quarter Of 1899:
and 1t becomes an important question
how far that rise in values can be con.
sldered as having been r,eutrallzed by
the almost complete remova! Of the
stimulus that so largely contributed to
the advance? Though do not pretend
to measure the exact value OF this fac
tor among the many that are reshaping
the market. yet cannot but regard It
as possessing considerable practical i'm.
rortance-much more indeed than has
hitherto been attributed to it.
1t Is worth considering how far this
foreign movement in securities has off,
set the creditor trade balance. The val
Ne Of the Imports and exports lnclud-
Ing specie, for the seventeen months