Arizona republican., 1900-12-28
STRENGTH OF STOCKS
The Sanguine Glass in Control
 of the Market
The Bugaboo of the Trusts Has Been Investigated-Has Been Found to Be Nothing Alarming Industrial Competition.

New HOrk, Dec. 2i.-Wal street has
 had another week of evidence of the
 great intrinsic strength of the stock market, notwithstanding it is holiday week. Day after day the speculation
 has risen higher and the large outside
 contingent does not appear to have yet
 begun to distrust the sustaining quail
 ties of the speculative movement. There are no new elements of stimulus of striking importance. The support still comes mainly from the exhilar- atinS impulses that came in with the election and from the extraordinary ac- tivity of trade both internal and eXter- nal. There is apparently a genera! dis position to follow the upward drift as far as it may tend to go, deferring re- alizing until the symptoms of impend- ing reaction are much more pronounced The speculative holders of stocks are now mostly of the sanguine class, and as their holdings as a rule show unu- sually large profits, they are the less disposed to follow cautious tactics, and are probably converting their gains pretty freely into new margins. At present, however, there is little dispo- sition to borrow distrust from this par ucular aspect of the situation. The old trained operators are steadily get ting out; the younger are too much ex- hilarated by the force and breadth of the preponderant bull feeling to let go until the breaking point comes a good deal nearer in view.
 NO SIGNS OF ALARM.
 Besides, there are no elements out side the stock situation proper to en- courage distrust about the continued strength of the market. There is no longer any prospective stringency in the local money market; on the con ,rary the interest and dividend dis bursements of the treasury and corpor- ations and the return of money sent to the interior through the fall months will produce an easy money market for the next three months. The eVi- dences of business activity abound on every hand; the con5iion of the crops holds out, at the moment. the promise of good harvest; our surplus of eX- portable staples and of manufactured products keep up the extraordinary rate of increase that has prevailed tor the last three years; in fact while the imports are kept comparatively low. our foreign shipments are all the time going ahead of our most slnguine ex- pectations. At the same time the in dustrial int ests have seen and meas ured the great trust" undertakings porn in the last two or three years and are not alarmed at them They see plenty of room for investment of their own capitals; and find nothing to fear rom the special powers and working facilities from which the trusts" have expected so much and of which they nave boasted so much. They are equip ping themselves with the newest and pest plants, and their capitals are equal To all the wants of economical working This entry of independent industrial lsts into the field is taking place upon an extraordinary scale, and that fmme- dlately upon the creation of industrial consultations capitalized at $2, 5OO, ,OOO.- 900.
 WEAKNESS OF TRUSTS.
 This settles the future status of trusts. It shows that they muse give up all pretensions to monopoly and bring themselves to face as formidable d competition as that which drove them to seek shelter under the policy of con- solidation. The really important slg- nllcance of all this is however, that thlS new reinforcement of industrial organization means a coming vast ex- pansion of our manufacturing indus tries. EVer-Srowing accumulatfons of capital can find no other employment ana monopolies are mere toys in the presence of such an overwhelming force of free capital.
 Observing people are becoming bewil- | dered by these crowding evidences of the creative power of the nation Such expansion, coming upon us as with an avalanche, appeals powerfully to the | public imagination; and it is not won derful if sanguine men come into Wall 1 street prepared to stake with bold con l 1dence upon the future of values. Un- | der conditions and prospects such as are now daWning upon us, it is not easy to draw the line between slbriety and | extravaganza in the valuation of in | Nestments. There is, however. a limit | to the length to which this spirit of | public optimism may be expected to | run within a given time. When specu- lation undertakes to give effect to a | great upward tendency in values it has to depend upon the help of money lenders, who are always averse to the | risks of over -discounting even the | most hopeful future. We are DOW VerginS upon range of market values l which must be expected to call out this | caution of the money power. At the | perhaps, there is no thought of putting on the lenders brake, for there is a clear prospect for three months of ease in money; and yet the high tension in values invites intprfer- ence from professional bulls" which may soon bring reactionary tendencies into operation.
 AN UNCERTAIN FACTOR
 It begins to look as though Wal street had established a permanent change in it's relations with t'he investment mar kets of England and Germany. For a | long time Europe has been long assur- ing us how much more largely it would invest and speculate in our securities providel our monetary system were securel. Y planted on the gold basis. We now see how much was intended in this The el9ctiOn was accepted as ratifying