Wheeling Sunday register. [volume] (Wheeling, W. Va.) 1882-1934, 1900-09-30
VIEWS OF HENRY CLEWs.

Special to the Register.
NEW YORK, September 29.--Just
now, Wall Street is in the unpromis-
ing predicament of being divided
against itself. It lacks leadership and
definite drift. There is no controlling
agreement about the nature of the sit
uation or It's tendency for the near fu-
ture. There may be the material out
of which more animated market could
be shaped; but there are few indica-
tions of any movement in that direc-
ton. The truth is there are many
things affecting speculative movements
about which opinion is uncertain and
conflicting. Everybody realizes that
the great industrial revolution Of the
last two years has thrown considerable
uncertainty over large mass of in
vestments. 1t can hardly be said that
those changes have created much posi-
tive distrust; on the contrary, it is
quite generally recognized that, out
side of some of the new issues of indus
trial stocks of very dubious value, the
reconstructed industrials represent a
most important aggregate of securities
destined, to considerable extent, to
ultimately command fair amount of
confidence with investors.
The things that are uncertain about
these new securities are, ~ the ex-
tent to which their distribution has
already reached its final adjustment;
(2) the extent to which they will be-
come permanent element IN the spec
ulative transactions of the Stock Ex-
change; 90 the extent to which they
will prove acceptable as collateral in
speculative loans; "a how the market
value will compare with thier rate Of
earnings; and 60 what will be the
effect upon other securities of this very
large accession to the list of stocks
negotiable on the Stock Exchange.
These questions are neither very
readily nor very easily answered. They
cannot be regarded as satisfactorily set
tied until it has been ascertained how
far the new issues are to be absorbed
by permanent investors. On this point,
there is little definitely matured opin-
ION; and for the present, therefore, the
market Is harassed by the chances of an
over-supply of industrial stocks COM
ing from the original holders In their
desire to transmute their investments.
This is an ugly uncertainty, which 1t
may take some time to get rid of.
AT present, railroad stocks bring
much higher prices, relatively to their
earnings, that are obtainable for the
lndustrlals Some take the view that
when the finances of the new corpora
lions have been tested by experience,
their issue will rise in public apprecia-
ton and therefore In price; and hence
they reason that the industrials will adj
vance and railroad securities decline.
mis- opinion may be confirmed by the
event, or it may not; but it can have no
material effect upon the immediate
course OF the market, for considerable
time must elapse before the problem is
settled; still it is card that may do
some service for the bears" on rail-
roads. The uncertainty about the out
come OF this sort of competition be-
tween the industrials and the railroads
is really one of the most important ele-
ments now affecting the course of the
market and Is producing the waiting
attitude that so prominently character
ICES the business of the Exchange.
The DanAing position, as usual at
tnls season OF the year, is not encour-
aging to speculative buying; but Meth
er does 1t decidedly encourage selling.
everybody takes it as matter of
course that We must have more or less
strlngency and high rates of interest
during the fall months; but there is
little speculation of more than the US
ual autumnal activity in money. Dur
ing the expired period of the crop
movement, the shipments of currency
have been below the average volume
tor the season, owing TO the abundance
OF the deposits in the banks of the in
terror; we have to face, however, an
effiux OF money extending over the
next month or six weeks. The re-
serves OF the banks may not suffice
for those requirements; but In the
event of any stringency, the foreign ex-
changes would admit of ready re-
punishment through importations Of
gold. With continuance Of the now
protracted large excess of exports over
imports (Which may be regarded as
certain) there can be no occasion for
apprehension of anything like serious
stringency in money. The United
States is very largely creditor to Eu-
rope and can therefore easily shield it
self against adverse tendencies in the
domestic loan markets.
There is one factor which should go
far towards neutralizing any adverse
tendencies in the stock market. The
mercantile community appears unani-
nous in the conviction that We may
safely calculate upon another season
of unusual prosperity. Two years of
such extraordinary trade activity as
we have already had, reinforced by
continued bright prospects, affords the
strongest kind of assurance of revival
in the stock market. The piling up OF
trade profits at the rate we have wit