The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1900-07-09
PULSE D WALL STREET
KANSAS CITY CONVENTION AND
CHINESE CRISIS HAVE HAD
THEIR EFFECT
SUSCEPTIBLE TO THE LATTER
Railroad Situation Is Excellent
Systems Still Reporting Large
Earnfngs-At Present the
Street Is BuIIish.

NEW YORK, July .-(SpeciaL)-Activ-
ity on the stock exchange was consider
ably lessened by the Intervention of the
holidays. Aside from this factor, the in
fuences affecting the market wore :, me
what conflicting. On the side OF better
prices were easy money. July disburse-
ments and movement to cover by the
large outstanding short interest. On the
other hand, the disturbing elements in
the market were the Kansas City conyen-
ton and the Chinese crisis. The latter. at
the moment, IS the most serious element
IN the situation. Conditions in the Far
East are vastly worse than ever antici-
pated. The interior of China seems 10 be
a seething mass OF humanity In rebellion
against foreign devils ana all sugges-
tons of modern civilization. The out
come Of this uprising is beyond human
foresight. Whether 1t viii eventually
su6side through exhaustion. Or whether
the powers will be obliged to SEM large
armies to subdue the Chinese 1t is i'm
possible to say. Yet, some sort of pun
lshment must be inflicted for lae Lrucl
outrages perpetrated upon foreign resi-
dents; some viHdication of national honor
will be insisted upon by the various pow
ers; ard the problem OF how To accom-
plish this without arousing the en1nIties
Of the rival nations is one of the most
complex ard difficult ever presented 10
diplomacy and craftsmanship. AS a re-
SUIT of this phenomenal outbreak China
VIII certainly be f6rcibly opened 20 the
advances OF Western civilization End the
world will some day be the better for
the struggle; but can this be accom-,
pllshed without a long and serious war;
The only CLEAN OF hope is that certain
sections of China show little sympathy
with the Boxer movement
Any serious military movements are
likely to affect this market Indirectly
Inc european markets are not In 70
sltion to stand any prolonged drain upon
their resources without depressing Sc
cuFlties; ard, ia event of large govern
ment loans, gold would be shipped from
TINS side in increasing quantities In view
OF our low bark reserves, the at5proach
or crop requirements and the fact that
large amounts CT American funds are al
ready practically loaned in Europe. any
further heavy demands upon 4is would
not be welcome. In any event the
Chinese crisis is going to be a most i'm
portant factor in the security markets Tor
some time TO come.
AS for the Kansas City platform. tha,
has probably exerted its worst effect Ir
is quite evident that the 1G to / issue :
waning. We almost wish that ii ral
been resuscitated with greater vigor; sa
That we might have had another ringing
sound money campaign; the outcome of
which would never be in doubt after the
experience of the last four years AS
for the other issues, Wall street has bu+
secondary interest ii them. and the
election IS likely to be Conducted IN
quIeter fashion than that OF 1886; though
surprises may be looked for at any time
which will influence speculative opera
tons
In matters affecting securities more d.
'rectiF than those just referred to. affairs
are not progressing enthusiastically TIE
weather has not been entirely favorable
to the crops, and the serious damage 10
spring wheat N some sections is con.
hrmed; but other sections are having
ahundanI crops. notably. Kansas ard
southwestern states. SO that considering
the better prices which farmers are re
celVing The season is likely to prove a
prosperous one for the agricultural class
es Wheat Is @n 4c higher than year
age, and corn 1@Sc higher. Cotton IS sell
ing immensely above the prices of a
year ago-an advance in that staple of
nearly sc per cent. Such continued pros.
perty Tor the farmer assures another
good season for general business III those
sections. Trade has been going Through,
period of reaction from the high prices |
and hustle Of 1893; still this reaction can
not continue mich longer. Already there |
are indications that values are touching
bottom; that as soon as buyers are cor
Vlnced that manufacturers have made all |
the concessions they can afford new set
of orders will come in and impart re-
ncwcd activity to business. There is |
every rca>~ to look forward to a !ares |
ar Il hoo 1
the duration of which will probably be
in proportion to the moderation Of buy
ers and tie Teasonableness of sellers. !
Another period of excessively high prices |
is not to be hcred for because it would |
surely invite far more vigorous reaction !
than the one now passing
The railroad situation is excellent The
various systems continue to report large |
earnings, exc seding even the extraor- |
binary gains of the last two years It |
is well to remember. however, THAI oper- !
ating expenses have also Increased yry |
rapidly, often in greater proportion Than |
gross earnings; hence it would be folly |
to anticipate any further increase in diy- !
id2ndS. Railroad managers are fully con- |
Scious OF this situation, and their con- !
servatism in refusing to increase divi- |
bends during period Of altogether ex- |
ceptional prosperity will, no doubt, prove !
its wisdom later On. At the moment |
there Is strong bullish sentiment in the /
street which seems amply justified by !
home conditions. Prices of the leading
speculative railroad issues have declined /
fully IL to u points below the b st fig
ures of 1900 and 1899; and the leading in /
dustrials have scored still larger declines
many now selling considerably below the |
issue point. With good preferred per
cent railroad shares selling under Is. and |
many of the best preferred industrials (
selling on an SGl9 per cent basis while |
time money is plentiful at 3Gl4 per cent !
1t is not likely that such an opportunity !
for j pun movement will be readily over /
looked. Il is evident that very little slim !
uiGS Is necessary for the Inauguration Of !
a fresh bull campaign. The chief draw
backs are the Chinese situation and the !
approach of the elections OF the two |
the former Is the more serious. Conf /
dence is the watchword for the future
tut 1t should be mixed with a liberal al |
lowance of caution
The adoption at the Kansas City con-
ention of the 16 to l silver plank. indi- !
eating the ratification of the entire Chi
cago platform, is simply inficting hari-
Kari upon their presidential NOMINEE
The people of this country are rot eoin9 |
to vote from feeling of desperation as |
they did when they voted for that plat !
form at the last presidential election |
Wheat was then 81 cents a bushel-now
1t is 81 cents. Cotton was then SO GEMS |
a pound-now it is 10 cents These prices
nave made the people of the West and |
South prosperous and contented. there !
fore their frame of mind is vastly diff
IeTent than when foreclosure OF Their
property stared them in tbe faro No.,