New-York tribune., 1900-07-16

WEEKS OPERATIONS IN WALL STREET
The course Of values last week apparently re-
nected the completion Of the readjustment proc
ess made necessary by a long period Of declining
prices and an overextended short account
At the close CT the week quotations were with
out support from the shorts" and as the pub
lie was not in the market the general plane of
values was inclined toward a lower level. Pre-
dictions regarding the immediate future Of the
market useless but the trading element ap-
pears 10 expect a declining quotation level
owing TO the absence of public support and to
the elimination Of a large short interest In
market bare OF outside support professional
traders find little difficulty in lowering values
providing there is no big short account. At the
moment the market is not oversold, and in addl-
ton to technical conditions there are certain
factors IN the situation that may assist the bear
element in a successful campaign against values
But bear success should not establish prices upon
permanent lower level. Fundamental condi-
lions are solid, and the election of Mr.. Bryan
alone will upset them. Few sensible investors
believe that such a calamity will take place and
in consequence few investors are selling securi-
ties. The outlook is not dark for the real value
Of securities. and any decline this summer
stocks will present rare opportunities for at
tractive speculative and investment purchases.
The factors that tend to check bull enthusi-
while increasing bear confidence are the
Chinese situation and the Presidential campaign
While the last named factor does not as noted
before, worry investors it restricts speculative
operations for a rise, and tends to induce eau
ton among the so-caled public in all market
undertakings. 1t is well that this is so for
political shock, If it comes, viii find a stock
market in good condition to meet the trouble
The reports from China last week naturally
exerted a depressing effect upon the home and
foreign markets, the home market showing for
the first time some uneasiness over the Eastern
situation In the recent rise in local values
due TO technical market conditions, Wall Street
was disposed TO look upon the Chinese uprising
as a bull card on American securities on the
ground that the United States would reap great
commercial advantages in China when an army
opened UP the channels Of Chinese trade II is
now beginning to be seen, however that while
me ultimate benefit to trade will be great the
prospects Of immediate favorable results are not
promising. 1t may take a long time before any
country VIII be able to enjoy trade profits in
China, while in the time all the great
Powers may find it necessary to raise enormous
Gums Of money IN order to meet the REQUIRE
ments Of armies that may be thrown into the
Celestial Empire. The money part Of the Chi
nese situation has already begun to worry Eu-
rope. reflected in the fall of foreign Govern
uent securities.
Fortunately, the money situation the world
over is sound, but active demand for funds
and higher rates in Europe. with gold exports
from here, are probable in the event Of a general
war against the Chinese Empire In the week
Just closed foreign exchange quotations at this
centre advanced TO e point at which shipments
Of gold could be made without much induce
Inent from the other side. Despite a reduction
IN the discount rate of the Imperial Bank of
Germany the demand for money in Berlin was
active at the end of the week, while a further
decline in Paris exchange on London indicated
a continued demand for gold from the last
named centre In view OF the possibility Of
gold shipments from New-York, and the ap-
preaching period when the interior will call upon
this centre for money for crop movement pur-
poses, the outlook for continued very easy
rates for funds at this centre is anything but
bright. There are special factors in the money
market and the home and foreign political stu
alton which must be considered Of Importance
as bearing upon the course Of security values
in all parts OF the world. These factors how
ever do not contain elements of intrinsic weak
ness and their influence upon securities will
be exerted at a time when speculation ts quiet
and when all business markets are neither over
stimulated weak.
There is no occasion for uneasiness over the
actual position Of the country's business. In
derlying conditions are sound The actual vol
urne Of business continues large and the read
justment Of prices 10 normal level has not
been accompanied by disturbance. Some rail-
roads are beginning to show a reduction in traffic
receipts from the heavy returns Of a year ago.
but the greater number Of roads reporting for
the first week in July exceed their records Of the
same time in 1899. Viewed on all sides the
country continues to enjoy prosperity. Belief is
strong in business circles that current uncer-
tainties viii pass without causing a serious set
back in the trade Of the United States. Busi-
ness men believe IA caution. but they hope
fuI that the Presidential campaign viii result
in a Republican victory, and that the Chinese
situation will not END in complications involving
the peace and prosperity Of the world. General
conditions do not favor fear panic. They do
not warrant the sale Of good securities. while
they favor purchases all declines by people
who have ample bank facilities Small traders
zazy not find safety in the long side Of specua-