The times. [volume] (Washington [D.C.]) 1897-1901, 1900-11-19

timent The Professional View.
NEW YORK, Nov. 1S.-The outlook for
the current week in the stock market is
promising. Operators viii do well to pro-
vide big margins, however. as the market
has reached a point where sharp reac-
tions are possible especially in the Sc
curities that have become the popular
speculative favorites. The general level
of values is still below the actual worth
OF securities but the most optimistic hull
in the street neither expects nor desires
an advancing market without decided set
backs, setbacks in which stocks on 5 Ter
cent margins will need additional pro-
lection. The exercise of discrimination
and caution is necessary in this market.
Both of these factors have been features
Of the market in the last week, buyers
operating on the theory of intrinsic worth
rather than on the idea that anything
offered for sale is a bargain. There may
be and is likely to be decline of a point
or two, and perhaps more early this week.
The reaction will not mean that the end
If the bull market has arrived Much
higher prices are looked for by the most
experienced people in the market.
All the prophecies of the professionals
have failed of fulfllment The public has
taken Wall Street by storm and is in COM
plete possession of the market. The spec
ulators on both sides of the Atlantic have,
for the time being at least, lost control
of the movements of values. whose course
they shaped throughout the summer.
These who took the position a week ago
that prices were high enough have been
forced to confess that the reaction which
appeared then to be inevitable has not
taken place. Healthy conditions prevail
not only in the stock market, but through
out the commercial world. From every
where come reports of reviving industry,
while the atmosphere of the financial dis
trict is filled with rumors of deals of gil
gantic proportions.
The foreign trade of the United States
continues to break all records. whereas
the financial prestige OF the country is
making substantial progress toward SUI
premacy. Nearly every country of Eu-
rope is looking to the United States as
the most promising market for its la
tional securities. Even the most optimis-
tic fnanciers of Wall Street conf SIS their
amazement at the progress, power and
prosperity of their country.
The high priced securities continue to
he in great favor with the public, despite
the great advance they have had. Penn
syivania New York Central, and Central
Railroad of New Jersey have led the up
ward movement in the high-priced shares.
Their popularity with the public has been
based to great extent upon reports OF
deals which will greatly increase their
earning capacity and improve their statis-
teal position.
There is persistent report in Wall
Street that Jersey Central and Lehigh
Valley are to be taken over by the Bal
timore & Ohio. There is probably some
truth in the story that Baltimore & Ohio
will eventually seek an entrance into the
metropolis through the valuable termi-
mails which Jersey Central owns in COM
munipaw. Whether the directors, how
ever. will consider it wise to pay $50 a
share for stock which sold in the sos
about two years ago. and whose perma-
nent earning capacity has not been estab
lished by any means, remains to be seen.
The road is controlled by the First Ma
tional Bank crowd, which is in position
10 dominate the market movements of its
stock. They have been enabled TO hold 1t
up when other properties of very much
more substaptial character have felt the
effect of the popular disfavor into which
speculative securities fell during the sum-
mer. Now that the public is supporting
the market it has been very easy matter
for the pool TO advance the stock to prices
much higher than its earning capacity and
future, according to impartial observers.
seem to warrant.
"Bradstreet's" says regarding railway
earnings:
THE spring wheat crop failure and the
anthracite coal strike we're unfavorable
features affecting railway business in Oc-
tober. but these were more than counter
balanced. as regards general results by
the increased movement of cotton, soft
coal, and Southwestern winter wheat, the
result being an aggregate of gross rail-
way earnings reported to 'Bradstreet's'
by los systems, operating 102. 600 miles OF
road, of SCI, 2S4, 207 for October, a gain OF
SIS per cent over October a year ago-a
good month, by the way, and comparing
with an increase of only per cent in
September. The only groups showing de-
creases were the grain carrying roads of
the Northwest. while the heaviest in
creases were shown by the bituminous
coal roads and the Southwestern and
Southern systems. For the first time this
year net returns. those for September,
show an actual decrease, per cent, from
the same month year ego on gain OF
"a per cent in gross. For the nine months
OF the yea. however, gross and net are
the best ever recorded The gross earn
ings of 143 roads aggregate $685.. 991 1854 and
net s279, 03s,e0i. gains OF respectively 9.9
and 81 per cent"
Nearly every commission house in the
street is intensely bullish on the current
market. Weekly market letters point out
that there is room for further improve
in ha pf ma
the advance has just begun. 1t is the gen.
eral opinion that buying is by the best in
terests in the street, and that speculation
is not honeycombed with weak accounts.
New York stock Market.
Corrected daily by ". b. Bibhs & Co., mem.
bers of the New York Stock Excbange 1919 =