The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1900-01-14

selling for London account. which was
only discounted when the reduction in the
discount rates OF the Banks of England,
France and Germany gave confidence In
tho reality OF the relaxation in money
rates. The volume of foreign trade was
not large and would have been easily
absorbed IN an ordinary movement for an
advance, nut as the foreign selling grew
out OF the needs OF the London market
and served to increase the pressure for
gold In New York, there was no disposition
10 hold up prices so AS to afford a market
for London sellers to make profits Not
wthstanding the small demand for stocks
the supply was scarce and railroad stocks
have responded quickly all week to any
sort of buying demand, The market gives
evidence that the liquidation OF speculative
holdings of stocks has been pretty thor
ough. Statements OF the New York clear
ing banks, as we'll az those OF the great
foreign banks show that spectators tho
world over have been selling their hold
ings, paying Off loans and withdrawing
from the field, Many commission houses
and brokerage Offices In Wall street.
which found busy occupation all OF last
year, have ceased TO invite custom, pend
ing the development OF new factors Ia the
outlook. This closing out Of accounts now
safely attained, has involved some heavy
losses and no small bitterness OF spirit
which is reflected in the discussion by
brokers OF industrial combinations and
their foatations In a spirit Of compliment
This feeling was deepened by the strong
official intimation at the stockholders nm
nual meeting of the American Sugar Re-
tiniug company that the business was not
profitable In the presence OF new compe-
tition and that dividends would probably
be reduced or suspended during the coming
year, Professional operators thereupcn
AL he a
Gates as we'll as on other industrial stocks
and sold them by the Thousand shares.
The railway list did not escape notice.
but was much less affected. The low
price of the dividend paying industrials,
bringing the rate OF return in some eases
to per cent or oyerrehects the taking
of risk in holding these stocks. The he :
ginning of dividends on the common stocks
of some OF them has failed TO elicit any
advance in price and the preferred stocks
OF the same companies have shown a
tendency in most cases to decline having
the safety OF their dividends impaired.
There is an element in Wall street who
preach the doctrine that the country has
reached the crest OF prosperity They cite
In evidence OF this the marked dimiuution
OF the grain and cotton movement com
pared with last year, and point TO the COM
paratlyely small increase in gross earnings
OF railways. While these show last years
earnings well maintained. the Increase is
not near so great as last year,
Advances In railway rates now being en-
forced lead to falling on In the volums OF
the traffic. Increased cost OF material
makes encroaehment on net earnings by
enhancing the cost OF operation. Such are
some OF the reasons assigned by capitalists
and operators in securities for their disln-
clipation to nut money into stocks at
I present They prefer 70 await develop,
uents, TIE increased cost OF operation is
particularly noticeable in the cases OF