New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1900-01-03
BONDS.
THE DAYS OPERATIONS IN STOCKS

The stock market opened the year at
higher prices and with good class of buying
well distributed throughout the list. Higher
prices in London caused by the cheerful reports
from South Africa exerted a sympathetic inf1u-
ence upon the local market, while the bright
outlook in the money and business situation
created bulish sentiment in commission house
circles. Many traders doubtless bought stocks
in expectation of considerable advance In
prices incident to the usual demand at this time
of the year from investors who wish to rein
vest January dividend and interest returns.
There is to believe that the January
disbursements will not find their way into the
market. On the other hand however there are
not a few cautious traders who waiting for
lower prices, and many bear traders who are
selling for lower prices the theory that the
recovery from the December market has been
too rapid, and that prices will work back again
before they start toward the level to which they
are entitled by actual worth.
If the market follows precedent 1t will react
but current conditions different from
conditions prevailing in past periods of panic
market readjustment prices may refuse to move
backward, but may continue to move higher
despite theory, precedent and bear clamor. The
small marginal trader should not take big risks
however, in operating the theory that prices
will not follow the record of the past. The in
margins which protect accounts in sharp de-
cines apparently have little occasion for uneas.-
ness over purchases made at the ruling level.
Stocks will not enjoy one long period of advance
1900 but the chances seem to favor a sub
stantial rise in values before an important
downward movement sets in. OF course, opin-
ion differs on this subject but it is interesting
10 note that the majority favors higher prices
Stocks sold far below their actual worth in De-
since the December slump has not placed the
general market a level that measures real
value The exceptions few in number Many
excellent industrial stocks with dividend records
returning at ruling prices from 10 to II per
cent on the investment, and many railroad
stocks are returning from to 4 per cent more
that their established dividend rate. Prices
certainly are not high.
In the bond market the number of attractive
investments offers the investor opportunity
for buying to great advantage. The Central
Pacific issues may be singled out examples
of the value the investor may get for cheap
price Central Pacific BIS may be bought
to return over pr cent, and per cent and
perhaps less will be the average investment
rate in the future the value of the Central Pa
cities at SO is easily Central Pacific 319s
10 a large number have recently been taken out
of the Street, and they will not be available for
market purposes again. The question Of the
merit of the issues is answered in the roads
earning power and in the guarantee Of the
Southern Pacific The earnings of the last
named company for November, received yester-
day showed gain in net earnings of more than
100000, making for the fiscal year to Novem-
Der 80 a gain of 81, 172yOO0. In the last hour of
trading yesterday the market was aggressively
strong while at the close substantial net gains
were shown throughout the list The decline in
sterling exchange were significant incidents Of
the day.