The times. [volume] (Washington [D.C.]) 1897-1901, 1900-11-26
STOCK MARKET GOSSIP
Confidence in an Early Renewal Of
the Advance.
Weak Holders Well shaken Out md
Railways and Financial Interests
Beginning To Blu! Again - Condi-
tfons in Every Direction Favorable
Some Securities Sufficiently High.

NEW YORK. Nov. 25.-The reaction in
the stock market apparently has run It's
course Many indications yesterday point
ed in this direction. There may. of course,
be further declines in some groups OF Sc
curities, and possibly the opening tomor-
row morning may be off, but conservative
brokers and traders look for resumption
of the general upward movement early in
the week.
Trade conditions as reported by the
commercial agencies in the week are
promising. Bank clearings are heavy,
railroad earnings are large, and all indi-
cations that point to trade prosperity are
becoming more pronounced every day.
These factors have brought out large
amount of capital for employment in the
stock market. Capital is going into high
grade stocks at high prices and into lower
grade stocks at cheap prices. Capital is
confident to buy high-priced stocks be-
cause il is convinced that high grade in
vestments will not decline, but seek an
even higher level. Capita! is willing to
buy low priced stocks because it believes
that current conditions are improving the
actual value of the cheap stocks as well
as the high priced Investments, and be-
cause the prospects favor the advance OF
the cheap issues to the investment range.
The small increase in loans in the last
three weeks indicates that stocks have
been bought outright and that commission
houses are not overloaded with weak &C
counts; in other words. it indicates that
speculation is moving on healthfuf basis
without the danger of collapse. The wis
dom of supplying large margins was re-
Elected in the course of values on certain
days last week, and it should not for
moment be assumed that because condi-
lions are favorable stocks cannot decline.
or that the advance will run on indefi-
nitely. There will, it is generally be-
lieved. be further considerable improve
ment in quotations before values measure
actual worth but sharp declines are likely
before the top is reached.
The advance has already been overdone
in certain stocks, but in the greater num-
Der Of issues there is yet a good margin
for improvement On reactions. the prom
Using railroad stocks and industrials of
merit will doubtless prove profitable in
vestments. In Northern Pacific common
the advance has gone pretty far and the
purchase Of the stock at the ruling level
as speculation is not advised. Sugar
stock is not worth any more than its pres
ent price unless an increased dividend is
contemplated. but it is quite possible that
1t may be manipulated to higher level
The market has reached a point where
caution and discrimination should be OK
ercised in all purchases. Margins should
be strong and purchases should be made
on reactions such the present. 1t is
well also TO follow the old Wall Street
advice that there is no harm in taking
profits, at least on part of ones holdings
on the bulges. The present decline Las
been helped along by the shaking cut of
the weak holders which means, in other
words. the losses of the public Of their
small margins.