The age-herald., 1900-10-22
BUOYANT TONE IN ~Y~ g. g.. THE STOCK MARKET ga Bear Element Run Completely to
 Cover PRICES TAKE UPWARD TURN Strong Support Was Given the Move ment Professionals Took Profit
 on the Advance-The Steel
 and Iron Group Leads
PRICES TAKE UPWARD TURN

NeW 1Ork, OClODSI 1u.7-l iS tShteitANN 0P- position which has been offered to the up- ward course of prices for two days past by a considerable bearish element of the pro- fessional traders was wholly abandoned to- day and prices moved upward, without inn portant exception and almost without in- terruption Considering the very large volume of dealings, the movement of prices of the majority of the stocks was surpris- lngly small. The large and eager demand from outside sources was in fact pretty steadily fed by the professional operators who were taking their profits; but the un- dertone of firmness was shown by the prompt decline in the offerings when there was the slightest yielding in prices.
 There were few stocks also in which there were strong upward movements, mo- tably in the steel and iron groupe Ameri- can Hoop was the leader and was strong from the outset. Federal Steel encountered some opposition to the advance in the early dealing, but ultimately became very huoyant in tone. The whole group came into the movement under this leadership and advances from to 2a4, the latter fig ure for American Hoop. This movement was an essential factor in the buoyancy of the whole market at the close.
 A bank statement which reports a de- cline in surplus reserves of $1 516, 225 in spite or loan contraction of over $100000 900 would precipitate an effective bear attack on prices in any ordinary market, but the large loss in reserves which reached S5, ,535- 0OO was offset by other considerations and by the conviction that the showing was que 10 the Vagaries of the average system Of computation. Last Saturdays statement It will be remembered failed to- show the known movement of money to the interior or over 5, 0O00O0. Todays statement is be- heved to overstate the real loss by at least as much as the previous statement under stated it. It is evident also that the weeks receipts of gold came too late to aHect the showing and will have a result ing larger effect on next weeks showing.
 The stock market during the past week had the benefit of various favorable fac tors, part of them technical in character and part of them growing out of substan- tial improvement in financial conditions. The most important element in the ad- vance is the forcing to cover of a large short interest. Professional operators in stocks who are greatly prone to historical analogies found themselves impressed with the recollection of what happened to the stock market at this time four years ago, and they argue that the tendency to hold back from business engagements until af- ter election warranted the expectation of a decline in prices before election, such as occurred four years ago; but the sudden turn of circumstances last week towards relief from the threatened stringency in the New York money market gave opportunity for the watchful bull contingent in stocks to effect a turn in prices against their op ponents, which drove them to cover in somewhat disorderly and nasty manner. The powerful and well-organized bull par ty was aided in thus wringing profits out of the bears by the development of an out side buying interest. which attained nota- ble proportions and made itself felt to degree also by investment buying of bonds
 Last weeks good bank statement and the large engagements of gold for import which continued last week gave general encour- agement, and the hope was entertained that the crucial strain on the market had been passed and that resources would be sufficient to meet the unexpected heavy de- mands. This hope had additional warrant from the falling off during the week, the interior demand for money and the larger supply of money secured by operations with the sub-treasury by reason of pension payments and the larger drafts payable against gold deposits with the government at Pacific coast points.
 The reports of improvement in the iron and steel trade, the settlement of the coal miners strike and the fact that the aver age gross earnings of railroads for the first week in October showed an increase again . over those of last year, after those for the last week in September had fallen off, all helped to stimulate the bullish sentiment.
 Business in bonds was considerably larger and prices of many issues have advanced.
 United States new As advanced h and the refunding 2s and the old As fl per cent over the call of a week ago.