New-York tribune., 1900-04-09
THE WEEK IN WALL STREET.

THE WEEK IN WALL STREET.
Capital continues to move into securities
capital is confident II is finding employment
n American investments because there are no
safer investments in the world American in
dustrial prosperity is making new records
values Of investments are growing and individ-
ual and corporate holdings of stocks and bonds
are expanding It is not likely that the float
tng supply OF securities in Wall Street will be
increased IL a period Of business and financial
stability When a radical change takes place
in the country's industries. when underlying
market factors are taking away from the real
worth Of securities instead Of adding value as
at present. then readjustment OF market quo
tations 10 lower level may be looked for
Stocks are moving in response 10 legitimate
conditions. and they are on the way 20 the level
that VIII accurately measure their actual worth
Some Issues have already reached this range
but the greater number have not. A large num-
Der OF cheap stocks which are now dividend pos
sibilities, a large number OF medium class
issues which have recently been placed in the
dividend column and a number Of established
dividend payers have e considerable way to go
before their market values measure their in
tr1nsic merit. The prophets Of destruction said
early in the year that stocks would go lower be-
cause railroad earnings would not continue TO
grow. But earnings have shown steady gains
IN every week Of the year breaking all past
records and presenting no evidence of a falling
OF in railroad traffic receipts in any part Of the
country. Despite heavy realizing sales in the
market stocks have not declined, new buyers
absorbing all offerings and strong interests TAX
ing the place Of other strong interests who
have considered II wise TO secure their profits
Local and foreign investors are important
factors. in the current market. They are con-
vinced that capital can be proftably employed
IN American securities. and they have not been
slow TO realize the favorable outlook for growth
n al conditions that preserve the health OF
business and finance. Political conditions have
not alarmed investors. The prospect of Mr.
Bryan running around the country when the
gold standard the standard Of value by law is
protected by q gold standard Senate does not
cause the nightmare that it did four years ago
and the prospect Of Mr.. Bryan's election is not
troubling investors or business men in general
Later on in the season speculative conditions in
the market viii doubtless permit political un-
certainties" 10 exercise a depressing influence
upon the purely speculative side Of Wall Street
and a decline IN values viii doubtless follow
But even If II we're not a Presidential year val
ues would suffer speculative declines after q
season Of rising values. II is possible that the
bull movement viii carry stocks above their
actual worth. II is more than likely that techni-
ca weakness viii develop and that the usual
reaction incident TO bull speculation will take
place but there IS no reason to believe that the
current investment OF capital viii be followed
by investment Liquidation Gold may be export
ed between now and the fall, but that viii not
frighteu capital. Some gold may go abroad but
Il VII be offset by the receipts from the Klon-
olke and by home production.
The small decrease in the surplus Of the As
1-,lrs Ts-- T.
coming steady reduction in local bank hold
ings. The new currency law insures the none
tary situation against serious disturbance, and
as stock market factor it promises to grow in
importance. The increase in National bank
note circulation viii be slow but sure and the
banks VIII be able 70 furnish any reasonable
amount OF banking facilities that the demands
OF the country's business interests may require
The monetary outlook is favorable 10 an ex-
tension Of business and stock market operations
II the stock market the influence OF co-opera-
ZION among the great transportation industries
OF the country has not yet had its full effect
eno II is safe 10 say that the tendency Of con-
oentration Of control among the railways is yet
n its infancy. But irrespective of these i'm
portant factors security values should sell
higher On the record OF railway earnings. The
low priced issues in particular are candidates
Tor better prices
Activity in the Pacific stocks was a feature
4 last weeks trading, new high records being
made by Unien and Northern Pacific common.
inese issues have advanced without a corre-
sponoing gain in the preference shares and II
e considered probable that Northern Pacific
Sfelerred and Union Pacific preferred Will both
s0 70 the neighborhood Of 80 There is much
-O'1-- Tor Improvement in the Southwestern rail-
ao Stocks Missouri Pacific is being well
rouehI and there is good reason TO buy st.
1-s rs. ana san Francisco issues The Mexican
-Ioao Issues ought 10 sell higher.
tifent stocks such Rock Island are
-s-s ABSORBED for investment account. Com
= 1,lt with other per cent stock, Rock Island
e. esiiihg TOO low. The property is ably man
So, rs earnings are heavy, and its position as
rstcaoy investment payer is assured The
-r-1e-s n the West are attractive market
tb.,sposilonss The local traction issues are in
r.. demand, particularly Brooklyn Rapid
ro1,,t- me Industrial list Is not especially
ars - q present but good Industrial issues
10t being sold by careful operators