The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1899-02-06
FINANCIAL FACTS.
The Stock Market has Become Hes
MISREPRESENTATION is now in
Ordcr-Noncy Abundant for Legftl-

Inc STOCK nurket mas BcCoine hch-
MISREPRESENTATION is now In
Ordcr-Noncy Abundant for LegftI-
mate Purposes.
Special Correspondence OF IntellIsencer.
NEW YORK, Feb. i.-The high range
of prices for securities has had another
week OF test. but with no very marked
results. except that the market has be-
come hesitatlng. There are appear
auces OF certain large professional oper-
ators having done considerable realiz-
ing. and that factor may account for
some declines In those stocks which
have advanced most. These operations
have naturally caused some shTiakaSe
in the volume OF business at the ex-
change. the sales for the first four days
Of the week having averaged $4,000
shares per day. compared with an aver
age Of 1,44i,o0O shares for the cores
pondng days OF last week. This sort
Of reaction from the previous high ten
sion OF the market was no more
IIlIlIl WIS " bE tApCNANhs hhs h"S 49,
that 1t has not been greater mny be at-
trlbutcd TO the presence OF an extra
ordinary outside element. which Is
ranged almost entirely on the "bull"
side. That class OF operators seem to
be more than usually flush of means,
and their sanguine estimate Of the mar
ket Induces them to stick TO their hold
ings with tenacity.
In our last advices we intimated
probability that the higher grade OF
stocks having been advanced to ex-
traordlnary prices, attention would
probably be turned to the lower grade
Issues. This has been the most nota-
BILE feature In the market. AS rule,
stocks that have ranged In the teens
and the twentles and thlrtlcs had pre-
vIously participated comparatively 1T
tie in the buying movement, but now
great and small operators alike are
turning to them Us relatively cheap,
and the probabilities are that this stage
In the current campaign may be attend
ed with some further development.
Nevertheless the realizings by leading
operators Of large blocks Of the higher
grades OF stocks relnxes the backbone
Of the market. and while there may
be considerable activity and some rise
in spcciaitics among the cheaper fssuss,
yet It is reasonable to expect a iluc-
tuating movement rather than amy FUR
Their rise. Under these circumstances,
It. will be pruuent. for the present. to
limit buying 10 breaks In prices and to
realizing on the rallies. thus making
in-and-out turns and relying on all az
gregatlon OF small profits rather than
holding on for large ones. There is.
however, one group OF stocks which
seem to be looming up hopefully. The
Chicago & Alton purchase for the ben
eft of the Southwestern roads now has
an encouraging look. and II cOnsum-
mated cannot fail to be of Immense
benefit to the securities affected. Miss
ourf. Kansas & Texas probably benefit
ing more than any other road from the
contemplated arrangements.
Taking the stock market as whole,
however, ii appears 10 me that II has
reached n stage at which conservatism
is In order. The prices OF the higher
grade stocks have reached an unpre-
ce6enied elevation: and even II the i'm
proved finances and prospects of the
roads have warranted considerable
rise. 1t Is 10 be remembered that the
public have rot yet become accustomed
prepared to regard the new quotations
as permanent. II is. however, of some
Significance in this matter that prac-
teal railroad men are the strongest
bulls TO be found. and That they are
SO on the intrinsic merits OF the rail-
road situation. They have not passed
through the severe trials OF recent rate
cutting without learning something.
Managers havc been driven to economy
In operating expenses and have made
improvements in plant which will en-
able them to carry freight proiltably
at lower rates than have ever been
known. These OUTLAWS have. for the
moment. absorbed earnings which
might otherwise have gone to the stock
holders, and In this way some disap-
polatments have arisen in view OF the
large gross earnings: but It Is eminent
fy wise and conservative employment Of
income and will put the roads In 4 po-
sltlon for increasing their future profits,
while ut the same time giving the pub
lie the benefits of low charges for
transportation. An intelligent writer to
one of the morning papers makes the
following remarks pcrticnt TO the rail-
road situation. which present some very
important facts: "Railroad stocks.
Which SeeIlcu u,l.lhelN ever u clIH IL
dividend are now mounting In value.
The cases of Union Pacific. Northern
Pacific. Atchlson and Southern railway
are noteworthy. Each OF these great
companies was practically fresh from
reorganization and In each of them
there has been developed Il new earning
capacity OF magnitude. Many others
reflect the same conditions on smaller
scale" To those well informed and in
n position TO take an intelligent look
int othe future. these are considerations
which materially contribute TO conf
dence in railroad stocks as Investments:
they hav had their influence in caus-
Ing the recent great advance In prices.
and they Will serve as potent check
against any violent reaction from the
scale of values now established. Still
II must take some time before the
weight OF these considerations Is fully
appreciated by the average investor or
Spectator: aud some recession in
prices Is therefore 10 be regarded as
n possibility ir not n probability. But
ut the same time II Is not to be lost
sight of that, In spite OF the oscillations
incident TO speculation, our railroads
have evidently reached stage OF de-
rclopmcnt ut which the issues of the
Older and better located lines must be
acknowledged rs lirst-class invest
men;s. as much so rs In the case OF
British railway stocks. stable rs TO their
Income and ranking in their interest
return close alongside mortgage bonds.
and when this prospect comes to be
more generally understood. the prices