New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1900-12-16
BONDS.
THE DAYS OPERATIONS IN STOCKS.

The stock market Was aggressively bullish In
fhe two hours Of trading. Transactions were
heavy and were distributed throughout the list,
with total sales nearly up to record breaking
figures. Current bull activity in stocks is due
20 the developments in connection with the ex-
tension Of the community OF ownership tendency
among the railroad companies. The Pennsyl-
1-ania Coal Company deal has convinced the
Street that other big financial undertakings are
maturing and II IS generally believed that i'm
portant financial interests are accommodating
stock IN order 10 further their plans Of complete
railroad harmony throughout the country. Wall
Street Is not slow 10 scent the doings Of the
great railroad and banking powers. 1t is not
slow 10 follow the lead OF prominent interests
and II accepts without argument surface indica-
tions as faithful barometers Of things TO come
few days ago the Street was bearish, owing
20 the expectation Of higher money rates. but
fhe developments Of the last few days have so
completely overshadowed the money market
that hun sentiment has again become general
There are few people, however who believe
that prices viii so lower before the January
rise. 1t may be well for buyers at this level 10
provide large margins.
The bank statement made a far better exhibit
than had been expected in most quarters but
terday morning. BY a heavy reduction in loans
and deposits loss IN cash holdings was offset
an influence upon reserve above legal re-
ouirements, actual reserve increasing S624,2JO
20 S6.325.315. The call money rate in this city
has attracted money from nearby points TO the
local loan market, and with the exception Of
shipments Of money 10 the South. the interior
movement is now In favor Of this centre, re-
Elected in the rates OF domestic exchange on
New-York. Pension payments will begin 10 be
heavy this week, and with the payment OF Gov
Hv-Ha~
S5,O00,OOO. there should be q material increase
3n bank holdings before next Saturday. The
money market is in no danger of collapse. Big
margins may be necessary in the stock market
before the end OF the year but from yesterday Is
course Of values IL requires considerable courage
10 predict any important decline in prices. Good
stocks are worth buying al the current level
They worth holding for better quotations
for al ruling figures there ere few dear stocks
in the market.
The demand for attractive preference issues
of Industrial companies ought TO broaden. II
ought 10 include such stocks as American Car
and Foundry preferred. Federal Steel preferred.
Republic Steel preferred and International Paper
preferred. American Car and Foundry repre-
Eents company that in three months was able
20 increase its working capital from $4,000 600
20 SlOWO00O out OF earnings. paying at the
same time dividends on the preferred stock at
the rate Of Z per cent. Surplus earnings In the
Company's first fiscal period were So 69S CAS- and
throughout the summer at the rate Of $500 900
net month. In September earnings fell of. but
the loss is being recovered by current business
An influence which keeps many Of these indus
trial preference issues down is the selling by
houses that have carried large blocks since the
organization OF the companies and by houses
that took the stocks on the decline following the
boom Of 1899. on every fractional advance stock
IS sent into the market, and a consequence
the upward price movement Is slow People
who sell do not let the stock go on account of
any defect in the stock. but because the stock
represents speculative accounts that were ac-
cumulated at cheaper prices. and because the
stock was bought 20 hold until the time is ripe
Tor its distribution among investors. Investors
are now buying. and attractive Industrial pre-
ferred issues are going into investors boxes al
prices which return from \ 20 u per cent on the
investment
wave Of buoyancy controlled the market
and few stocks failed 10 show Improvement.
me usual weekly table Of price changes for the
more active stocks follows: