The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1900-04-08
70 ~ 10
NEW YORK.
The stock Exchange.

The Stock Exchange.
NEW YORK. April The speculative enthusi-
ssm for advance in prices Of securities received
decided shock in the showing made by the clearing
house banks in their weekly statement today The
the market at declining prices. The most impor-
tant part Of the earlier gains wiped out The
market closed unsettled and Irregular prices NOV
ing in contrary directions in different parts Of the
list, the net changes being much mixed The short
session thus ended began auspicously enough
der the influence Of renewed buying orders from
abroad. which were said to have their source in
Holland. Bun pools resumed their operations in
various stocks and continued strength in Sugar gave
tone to the industrial list PENNSYLVANIA Baltimore
4 Ohio preferred. Missouri Pacific and Chesapeake
q Ohio were conspicuous examples Of strength. The
list promptly way upon appearance Of the bank
statement upon the tape Preliminary estimates
10000. '''''' '''' '''''''''' - w.
Operations with the subtressury alone furnished
an increase u 81 200 600 TO the banks. Wall street
ia in the dark as 70 what drain on the banks
sources has far Offset this advantage as 10 bring
the cash increase down to sl.73s 400 II was also
expected that the continued liquidation Of loans for
account from holders Of government bonds who have
been selling them 10 realize on the advance in
prices. would offset the expansion Of loans ac-
count Of stock market transactions 70 large ex-
tent Tho large realizing Of speculative profits in
the stock market. was Indicative also, Of paying
of Of loans 20 some extent The street wholly
unprepared for large increase in loans which show
ed the enormous expansion Of sl2.sd 800 This serv-
ed to swell the requirements to the extent Of
50 80 and the cash increase fell short Of this bv
81 ssi. $50 which therefore measured the shrinkage
the surplus. The inference Is clear and unmis-
taxable that the entertainments made by specus-
tive demand upon the loanabc resources Of the
banks have been otrunning their increase from 9TH
sources The week has witnessed the continued
operation Of the forces in the stock market which
have been generally foreseen the result Of the
trend a events for some time past. The growing
conviction in the continuance Of prosperous
dtions in the country, and the sessonahle relaxa-
ton In the money markets have been the broad
DERIVING factors in the strength Of the stock market
usual the professional operators in stocks have
been beforehand in buyiug and they have availed
hens Cf no congi in nricp m
sch out and take their profits This has caused
irregular market during the week prices adj
vancing at point while reacting at another.
Best prices have not been maintained, and in many
stocks declines have resulted. IL the rule Of
operations with dealers in the stock market a
large scale 20 sell out their holdings and take their
profits at fixed point in tho advance, while the
outside huyins demand is still active and well dis
tributed. without regard to the existing favorable
outlook for further rise in prices The process
~ based the importance Of aTofdng an oppor-
tuny for the digestion Of the marketable supply Of
stocks by the Investment demand. which is the only
true final support Of any market. Such process
Of digestion invariably interrupts from time to time
any long continued advance In prices.
II is inevitable that prices should he carried above
the level uf intrinsic value. with the result Of
s,antly increasing pressure to sell the inside
men, holders seeing the stock selling for than
is worth Joining with the less informed operators
TO unload their holdings Then follows collapse,
w1ping ont Of margins, shrinkage In value in COL
lateral. and often panic When the selling 10 take
profits begins predominste the buying de-
maud has been the in the latter part Of
this week a period of caution and careful scrutiny
deyelnts 10 detect whether the advance in prices
has reached its elimination. Some stocks have
given unmstakahle signs this week ~ a tophcavY
condition. and sustained by palpahle manipua-
tions and vague q extraordinary advantages
not defined and NOT announced But whether the
general level ct prices has reached or exceeded the
point that adequately discounts the present and IN
turp advantages TO the stock ~ ques-
ton much difficult 20 decide.
There Is quite extended list u stocks which
have above the high level Of last and risen
20 record prices
But practically all ~ these have enjoyed an in
crease In the actual rate Of dividends dishursed
have approached nearer 10 dividend BY the satsfac-
Of prior dividend claims u preferred stocks and
bonds on which payment q income IS contingent
upon earuinsg The only conspicuous stock ia this
list 20 which this does not apply Is fennsylyan
which has rtsen above last yeArs high level The
dividend rate remains unchanged and the advance
in The stock u based on the large extension Of
tTrl ~ crmpetins r,utrihutoty lines in terri
tory by purchase Il stccks themselves payns dvi-
deni7 aud The arsc earnings q the company.
1hf stocks which have nseu above last years hiXh
level are an in the railroad list the mdustrials he
ing all decidedly lower The weeks actual dcvel-
cumguts hcaurE securities values have bccn
found altogether favorable
Reports - railroad net earnings Tor February and
~ gross earnings fer March show th~m 70 he te-
f5r COMPARISON with last Marchs earnings The
oAirisl rrrofta far Mach n the operation - the
ucw apangial lac makes Sc evident that The banks
are NOT rushing into grenplini" netcinhauuE and
cttu 70 tbs extent ~ 10 per ce0t increase pres
snt deposits q bonds thry have pra'csdcd IN l,ls-
ureiY manner The ttsh rrite q government bnuds
has invited iarre toaiiEiAs and consequent with
d-awsl ~ circulation q hank selling thsir binds.
making tire outlook rogariina bsgk circulation much
confused BOT ttit rysiIriHe .u governments has
t~sn accompanied g. lafse Populations = loana 20
NrW Ycrk hnN With which The hunds Eert h'i3.
and pa, realized -srfai co. rcnvrtruent reflect
taus.
~ tAs advancement o. premiums on Uuii-d
ststss teni' rreasuteA far ean'e-'on ard ne pay-
ueat q ArrU Interest The suhtrrasurT - Nts Ynrk
has realized aaiiuoual vln's to tae mouff lnsrse'-
Tire fsrsets ircffesfd trmaud Ter stock market tf-
TTs.t re- frt thus te~0 easily uft