The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1900-09-24
REVIEW Of WILL STREET
WEAKNESS OFF THE MARKET. HEN
RY CLEWs SAYS, is CONTRARY
TO EXPECTATIONS
AN ABUNDANCE OF MONEY
Big Operators Not Ready for an Adj
vance-Bear Traders Have Been
Particularly Aggres-
sive.

NEW YORK, Sept 22-Henry Clews in
his weekly Financial Review says: The
inertia which has settled over the stock
market in July and August seems to ue
hnally dispensing, and greater activity
IS developing in all sections of the mar
ket, now that absentees are returning
from their vacations. Somewhat con-
trary TO the expectations of many, the
market has displayed more or less weak
ness, and the large operators show no
disposition at the moment to lend their
support to bull movement. The soun1
conditions of general trade, industry AMI
finance are freely admitted; but for the
time being the many favorable conditions
which undoubtedly exist are overshadow-
ed by the approach of the elections and
purely speculative influence While very
few judges of public opinion doubt that
the silver forces will meet with another
and final rout, still there is much like
hhood that the election will develop some
unpleasant surprises. Now that the ele-
ment Of fear is less pronounced than
four years ago, it is probable that many
VINO voted for sound money in 1856 will
return to their accustomed party and
thus apparently lessen the sound money
vote. While this would not indicate any
national change of sentiment in regard
to that particular question: believe the
cause of sound money today has more
adhererts than ever-still such results
would be accepted unfavorably in many
quarters, and especially abroad where
faith in our national integrity is apt to
be judged more by our actions than by
our intentions, no matter how honest the
latter may be. Moreover, the market
would not take kindly to losses on the
sound money SIDE such as may happen
III several states; and in case the next
congress should have an increased num-
Der OF 16 to l. members, as is not impossi-
Bile, that would be still further cause
for dissatisfaction among certain holders
of stocks.
Another fact of particular Importance
from the speculative point of view Is
that, in spite of the preponderance Of
optimistic views, buyers could not be
found for stocks and bonds at the recent
level of prices. There is an abundance
of money both for investment and spec
ulation: yet the inducements have not
yet become sufficiently attractive There
are few bargains besides. The big opera
tors are not ready for an advance and the
public, which never buys at the bottom
is waiting to see an upward movement
of some force inaugurated before it takes
part. Some shares are selling at con-
sidera bic receSsons from the high figures
of 1899 and 1900; others are still held at
prices which offer no apparent attraction
to new buyers. Hence some further re-
adjustment of values, therefore, seems to
be in order; and no better opportunity
than now is likely to be offered for get
ting the market into form for a fresh
bull movement later on. A decline of
few points in some of the active shares
would in reality bring back activity to
the market, and lay the basis for re-
newed speculative operations.
These comparisons show that in the
case of railroads, while present prices are
f7o7-o1
current year, yet with few exceptions
they are not as low as the lowest of 1882
or 1900, the former being one of the best
business years ever experienced, with no
presidential election to contend against.
The industrias; however, show very
heavy declines, and many of these are
now selling at or near the lowest prices
Of their existence. Fortunately, the
losses from this liquidation have not
fallen very heavily upon the outside
public. They have generally fallen upon
parties well able to bear them, and in
many instances they have been only
paper losses, not actual losses. because
the first holders failed to sell out at
high figures.
During the last few days the bear
traders have assumed an aggressive atti-
tude owing to the let-alone policy of
the bulls, the political uncertainties, the
talk of higher money rates, the unset
tied condition of the iron trade, the
strike in the coal trade and the fear that
it may incite further labor troubles. It
would however be easy for the market
to become oversold in present conditions;
so that sharp rallies may be expected
to follow any pronounced declines. This
increased activity will encourage trading
on both sides of the account, but any
large commitments on the long side
should be postponed until the speculative
outlook brightens, or prices have more
closely touched the bottom. AS yet the
market has not had a thorough test, and
liquidation does not seem complete.