The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1900-04-13
STOCKS AND BONDS.


open contracts for SO long period at any
time, and at this time especially they
have in mind the varying possibilities of
the war in South Africa, the war in the
sugar trade, the showing to be made by
the weekly bank statement on Saturday
and the possibility of gold exports bu Sat
urday'S steamers. AS realizing has been
going on to a large extent this week,
most of the uncovered contracts were on
the short side and the demand to cover
was an important factor in rallying prices.
In addition the pools which exist in a
number of stocks adopted aggressive
tactics for an advance, taking advantage
of the disinclination of the bears to eX-
tend their commitments on the eve of
the holiday. After the demand from the
shorts had been satisfied, the pool manip-
ulators began to find themselves alone
bidding for stocks with a steadily aug
menting burden of realizing sales as
prices reached the higher level The pro-
cess of bidding up prices was therefore
discontinued, and the market lapsed into
comparative dullness and sluggshness
The Industrials moved quite independent
ly of the general market and none of
them occupied a very conspicuous place
ment of the day was that in Missouri
Pacific which on buying alleged to be for
manipulative purposes was carried up
nearly points and closed at the top
This had sympathetic effect on the
other members of the Southwestern
group. Union Pacific was very heavily
absorbed and was carried up to sixty, the
other trans Continental lines including
inc in nv,
The Baltimore and Ohio stocks and the
Norfolk and Western stocks rose con-
spicuously, the former on very large
dealings and with well sustained strength
The Changers were comparatively quiet
With the exception of the Baltimore and
Missouri Pacific gains were not well
maintained, and the closing was decidedly
unsteady and below the best. The In
dustrials as a rule were heavy Peoples
Gas, Federal Steel, the Steel and Wire
stocks and other stocks of the Steel group
showing acute weakness at different
times. Third Avenue showed the effect
of disappointment over the terms of the
lease to Metropolitan. General Electric
was an exception and enjoys a net gain
of 3A In spite of an easing of the Lon
don money rate, continuous buying of
stocks for London account and the I'M
precedented balance in this countrys ia
vor as disclosed by the March foreign
trade statement, sterling exchange moved
up an additional fraction today, and all
of the usual authorities are at fault to
explain the movement. A favorable bank
statement is considered assured, owing
to the large gains from the Sub-Treas-
ury; but ease in the local money market
will facilitate gold exports.
Prices of stocks have moved downward
during the week with the exception of a
few stocks affected by special conditions
of strength, or which were under manip-
ulation to sustain the general list for
purposes of realizing. There has been
some recovery pending in the three days
adjournment Of the exchange over Good
Friday, due in part to the demand from
the bears to cover their short contracts.
The market has been almost entirely in
the hands of professional operators dur
ing the four days on which business was
done, and price movements are not an
index of public sentiment regarding the
business outlook. That is to say, stocks
have been sold, not because unfavorable
prospects have developed in business, but
because the considerable advance in
prices offered attractive profits to earlier
buyers and the question arose whether
the rise had not fairly discounted the
prosperous condition. The character of
some of the selling revealed a conviction
on the part of those with good means of
information of the desirability of real
izng.
The admission of Pennsylvania officials
that advantage had been taken of the
ayi ioh If IN OF
some of the stock in the company's treas
ury was accepted as a clear intimation
that the price of the stock had gone as
high as was warranted. When specula-
tive operators in other stocks sought
to take their profits they discovered that
the semi-investment demand, based on
the dividend return offered by stocks had
largely ceased at the high level attained
by some The professional bear traders
are always on the alert for such con-
dtion of affairs. and they have been
prompt to take advantage of it this week
by selling stocks short and taking the
market away from those seeking to real
ize. AS conditions of business continue
favorable it is fair to assume that the
decline in prices will be arrested before
the late advance has been entirely wiped
out. Already bear traders find offerings
decreasing in volume on a decline and
commission houses make bids for stocks
at level below the market. The pres
ence of an aggressive bear element in
the market and the reactonary tendency
shown has prompted those seeking to Sc
cure stocks to withdraw their buying or
ders in the hope of getting in at lower
level of prices. The movement of prices
in some cases indicates that the bear
aggression is to afford opportunity for
securing stocks at lower prices in great
er volume than is necessary for the mere
covering of short contracts. While these
symptoms indicate that the limits of the
reaction are not far off, there is nothing
to indicate whether a general advance
will be renewed Speculative opinion evil
IDENTIFY hesitates and waits for further
developments to point the way for
further movement Great uncertainty is
felt regarding the future of the money
market. There has been some calling
OF loans and consequent shifting which
of necessity causes some disturbances in
the stock market. The continued rise in
sterling exchange towards the gold ex-
port point has disturbed sentiment as
tears are entertained that an outward
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