Wheeling Sunday register. [volume] (Wheeling, W. Va.) 1882-1934, 1901-05-26
VIEWS OF HENRY CLEWS.

Special to the Register.
NEW YORK, May R.-The course OF
the market during the past week con
firms the indications of the week pre-
ceding, to the effect that the prepond-
Grant disposition is towards restraining
the boom" and then waiting for fu-
ture developments. There has been no
realizing in haste; on the contrary, the
prevailing confidence has suficed to adj
NIT OF a treatment which permits nurs-
ing the market. There are very obyi-
Gus reasons for following such a course.
In spite of the bold and sanguine tone
prevailing for six months, there was at
bottom a misgiving in some quarters
that the movement was being OverdOne,
that prices were being unjustihably in
Hated and that, sooner or later, there
must be a reaction possibly DANGEROUS
in its results. Moreover, the revela-
tions connected with the Northern Pa
ciic showed that the market had been
for some time subject to very power
full influences which the rank and Ale
of spectators little suspected; and that
those influences had carried prices to a
pitch of danger which otherwise would
have been impossible. These innocent
operators now see that in this way an
unsound element was introduced, the
extent and arrangements of which could
not well be estimated; and they prefer
waiting until the consequences become
apparent, rather than to hurriedly force
a revival of the upward movement.
Moreover, it is perceived that 'the COM
munity of interest plan" introduces a
new element into railroad finance, the
importance Of which cannot yet be meas
ured. Also, it is evident that the hatch
ing of these deals is accomplished
through the unwilling cooperation OF
both investors and spectators, by
methods that are misleading and peril
GUS to both.
1t becomes more and more apparent
that the deals already contaminated, or
in process of contamination, have pro-
duced no little financial disturbance;
and opinion is much divided as to
whether these plans will be further ex-
tended and what may be their perma-
nent effects upon railroad and invest
menti interests. Thus the boom and its
attendant deals have introduced an en-
tirely new set Of conditions into the ma
tons principal field of investment; and
it remains to be seen what is to be the
outcome of the change, before specula-
ton is likely to take on an active phase
again. 1t appears to be more due to
these new uncertainties than to any dis
trust in the working condition of the
railroads that the transactions or the
Stock Exchange have. within two weeks,
shrunk some so per cent. from their
previous dimensions. How far this con
traction of operations may run, remains
to be seen. IN some quarters, men of
influence have very decided views on the
current intrinsic value of railroad
stocks, and a large amount of capital
would be forthcoming for permanent in
vestment in railroads should prices con-
tinue to decline. But that resource OF
buying might easily prefer to wait, II
the speculative holdings still in the
market should be pressed for sale. There
are conceivable reasons enough why
many who have been largely successful
in taeir past speculations should post
pone bullish operations until the Fall
months. After such an exciting cam
paign, they might well relish repose and
the recreation which their profits have
enabled them to we'll afford. The I'M
settled feeling which still remains might
be d~issipated by a good harvest, a pros
porous trade and the settlement OF the
contests between the parties to the
community of interest" deals: and the
aftermath of an overdone run of specu-
lation might be cleared away. 1t would,
however, be premature to at present
cherish positive revival of speculation
and a rise in prices, or find a steady de-
cline of activity and a postponement Of
speculative plans until the more hopeful
conditions that may be reasonably tx
pected to appear in September.
IIENNI z CI EcTyC