The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1900-06-24

grooklvn Rand Transit upset the eonhisnce OF the
bull element and stocks began 70 come On ne
ket IN a large volume before the end OF the hIs.
hour. Northern Pacific was carried ever point
from the high level after the opening E1Ieine
weakness did not become general. the trunk hns
holding comparatively hrm and shorts covered IN
antciuation Of the bank statement The s1eiied
advance in wheat here vas an influence !. VA
break in stocks. The markets became guet anu
steady when the bank statement appeared and gave
shock to sentiment by the large decreases SHOWN
in cash reserves. Estimates based On the ofnciai
reports Of subreasury operations and statements OF
the movement Of currency hy express 10 and from
Tho intrror furnished hv the banks themselves bad
fereshsdowed a gain in cash by the banks and aIter
allowing for the gold exported during the week 9,
4 million dollars or over Wal street Is hsys1nrs
as 10 the source 81 the drain which has depleted
the cash reserves Of the larg. institutions 70 the
extent Of 81 90 The late break IN the market
on the bank Statement; cause some prominent rail
road and industrial stocks 10 fsll from 70 poih'.
below last nights level Northwestern lost = ana
BROOKLYN Transit a. Except for few rallies on
rorerng By room shorts the market proved weak.
The market has been depressed during the week,
but the movement CT prices has been exceedingly
confused aud irregular and the net loses In most
cases than the extreme declines for the week.
owing during the lstter part OF ths
week The recovery has been due for the most part
TO the covering Of short contracts by the profess
soua bears who had put out short lines very freely
last week and early this week. The motives at
trihuted for some Of this selling proved TO be but
noisy pretense with the purpose OF precipitatns
further liquidation. and when this became NANTES.
the covering movement checked the decline in prices
and gave to the market the appearance OF Ignoring
the reactionsry factors which continued in force.
Reports Of railroad earnings show a level we'll
sbove last YEAR sim maintained But the policy
Of conservatism in dividend disbursements avow-
ed by practically all railroad managers has pre-
vented this from having much eject on values.
The outlook in the iron trade is admitted TO be
more favorable by conservative authorities the Iron
Are voicng the impression that the opinion is gain
ing ground now that prices are down pretty close
TO n basis which will be considered fairly safe by
consumers" This encouraging view Of the iron
market conditions is partly Offset BY the approach
of the wage adjustment period, which has in IL the
possibility of widespread Industrial unsettlement
There is elemcn. in Wall street which urges
that the market is due for rally owing to the eH-
isfcnce Of large shortage in wheat which would
be obliged 10 cover at considerable advance in
prices This element points to the fact that prices
Of many stocks have Teccded below the level
touched in the panic of last December, and have
therefore amply discounted the unfavorable factors
in the situation.
An aggressive leadership. they argue. would pre-
cipitate bear panic. But the bull leader has not
come to the front, The continued drihbnE Of
liquidation into the market has shown clearly enough
that holders Of stocks inclined 10 sell rather
than 10 increase their holdings II is almost the
invariable sequence Of such panic that Of last
December that prices after violent rally on bear
covering. during which those who bought to check
the panic realize their profits begin to drift slowly
downwards again to a point below the panic level.
That phase was deferred after the December panic
by successful bull manipulation accompanied by
confident predictions, sometimes with somi-ofhcial
sanction, OF liberal dividends On soeks heretofore
not sharing In their important profits or large in
creases in existing trade sales. Some Of the
ments in prices Of stocks thus secured in large
idends have not been declared
The action Of the Northern Pacific directors in
reducing the amount Of dividend has led 70 the
general adoption among railroad authorities Of q
similarly conservative policy Even when the inter
est is made as in the Of Atchsou preferred il
has led TO so much unfavorahle criticism that the
stock has failed to benefit in prices The develop
ments Of the week in the wheat markets strength
ened the conviction that there will he shortage
in the wheat crop and uneasness is increased re-
garding the cotton crop.
The effect NJ the Chinese situation on the stock
market has diminished to insignihcance But the
movement OF money markets aud the semi-annual
source OF apprehension in security market circles
Berlin has borrowed heavily Of New York capital
FOR some time past. and this has served to increase
surplus records Of New York bants by expanding
the reserve requirements. This week Germany has
Hdded to her demand for credits a call for bullion
10 repenish her own banking in preparation
for July l. The Bank Of France also continues 10
loans, as though in preparation for storm. The
result has been a stifening Of discount rates in
London and an advance Of Id the Bank
OF England's price Of gold bars and Of American
eagles. The large disbursements for pensions by
the srttreasury have tided over the situation in
New York this week But the banks have to meet
noxt week call for s. 900 Of government deposits
TO he returned 70 the treasury, and afterwarl the
demands incident 10 preparation for the July inter
est and dividend disbursements with the prospect
on a resumption after Of the interior demand for
minds to move the crops The active speculation in
wheat also makes additional demands for loans
There is not much likelihood however OF A pressure
The bond market has moved irrerulariy toward a
lower plane Of prices United States new d have
declined and the old Is, the SIS and the new refund
ins p, when issued. | In the bid PRICE