The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1901-10-21

49,
NEW YORK, Oct. 1s-There seemed to
be a pause in the large operations IN
Northern Pacific preferred that have
given character to the stock market for
two days past, and the professional trad
ers made uncertain work with the stock
in the absence of assured leadership. The
stock opened unchanged and advanced a
point, dipped points and fiuctuated
doubtfully. This unsettled the whole
market and Semi-Stagnation settled over
the dealings Amalgamated Copper was
an exception, and was strong and active
throughout, with only occasional slight
reactions. The buying was concentrated
in character and was attributed to Bos-
ton account, supposed to be covering by
shorts. There was no news to account
for, the movement beyond the insiSte3ce
by copper interests that the company s
stocks on hand We're not unduly large
Sugar and Peoples Gas showed some
sympathy in the late dealings. Amalga-
mated Copper rose points and closed
within a shade of the best. This stock
held the market against the disappoint-
ment of the increase in bank loans re-
vealed by the weekly statement. 1t is
confidently assumed that this is due to
re-borrewing incident to paying off ster-
ling loans, which has kept the exchange
market firm all week, in spite of largely
increased supplies of cotton and wheat
bills. A further withdrawal of gold for
Berlin from the Bank of England today
indicates a continuance of the condition
of hardness in the foreign money mar
kets, which has ben responsible for en-
forcing this paying off of sterling loans.
The market closed irregular and dull.
REVIEW OF THE WEEK
The animated upward movement in
stocks which was inaugurated in the lat
ter past Or last week was checked at the
beginning of this week, and there was a
considerable backSet as a result of the
prof1t-taking by last weeks buyers. The
reports set afioat last week, pointing to
the renewal of extensive plans of addi-
tionaI consultations in the transconti-
mental railroads were discredited by the
emphatic denials from official sources.
The disposition to revive all the old ru-
mors which fed the speculative furore of
last spring seemed to awaken uneasiness
in the minds of some of the great finan-
cial powers with the fall pressure upon
the money market still unrelieved, and
the efforts to awaken an active bull spec
ulation were discouraged. But much in
terest has been felt all through the week
in the Northwestern railroad situation
and there has been some degree of eX-
element, although of a suppressed char
acter, owing to secrecy maintained as
to the actual developments. There have
been many indivations that the situa-
ton in that field is developing and chan
ging, the most impressive of which was
the sudden activity of Northern Pacific
preferred, in the stock market. after a
period Of almost absolute stagnation ever
since the Northern Pacific corner and the
yI1n 30
quite uniformed as to what steps have
been taken toward a solution of the tan
gle which resulted from the conflict for
control of Northern Pacific beyond the
appointment of Cancellation members of
the board, as recommended by J. P. Nor
gan. The task of a settlement is for this
Cancellation board to work out. Mean
time the situation, so far as the public
was informed. continued to be one of
armed neutrality with each interest jeal-
ously guarding it's holdings of securities
to insure their advantage.
The liberal supply of Northern Pacific
preferred stock, which found it's way to
the market on Thursday, pointed unrnis-
takably to a relaxation of the solicitude
with which every share has been held,
after securing every security market in
the world to secure it. The prices to
which the securities were pushed by that
scramble and the enormous accumulation
reflected in the volume of the transac-
tons in them left no doubt that vast
amounts of capital had been locked up
in the struggle. Where the capital came
from the financial world has never been
known definitely. No subsequent capital
issue by any of the railroad companies
concerned has revealed any provision for
the money expended in the wholesale pur-
chase of Northern Pacific stocks in the
open market at that time The heavy
borrowings from foreigners since reveal
ed by the sustained demand for foreign
exchange with which to repay them point
to the conclusion that much of it has
been carried by bank loans here and
abroad. The embarrassment Of this con-
dition is obvious and was the basis of
the eredence given to last week s rumors
of the formation of a security-holding
corporation to hold the securities. of the
roads concerned and release large
amounts of capital 1t is not difficult to
deduce that this phrase deals with the
fact that a corporation which owned
majority of the stocks OF these roads
would be able to offer minority of it's
own stocks to the public without losing
that control, which would be multiple
cation of the process used in the control
of the Burlington by the Northern Pa
eific. This important problem and its
bearings on the money exchange markets
have been the dominant influence on the
repressed speculation of the week. In the
money market the renewed movement of
currency to southern points has marked
the belated movement of cotton to mar
ket in large volume. With the compile
ton of the payments for redemption Of
government bonds under the treasury de-
partments late offer, the requirements
of the suotreasury at New York have
begun to make inroads on the money
market again. The probable extent of
these requirements is awaited to make
clear the future of the money market
which seemed to be assured last week
A number of special transactions also
have to be considered, including the pur-
chase of $20,000000 of Pennsylvania COM
pany bonds and a $40, coo, 600 payment on
account of the pending soft coal combi-
nation. Some uncertainty over the future
of railroad earnings has been indicated,
especially in the movement of Southwest
ern railroad stocks, where the shortage
felt. The foreign trade depression has
also come in for consideration, especially
as to its bearing on our future foreign
trade. The statement for our September
trade, showing a decline in the value of
exports and an increase in the value of
imports, is significant of a decrease in
the buying power for our commodities
and increase in power of competition with
our products, which would naturally re-
suit from depression and low. prices
abroad. The clouds of dependency seem
to have lowered over the German mar
kets again this week, and in Paris there
is has been quite an acute disturbance
growing out of the upset in the copper
markets in part and influenced also by
the prolonged industrial crisis in Russia,
in which French capital is heavily in
of the disturbance in the copper stocks
has been mitigated, although the specula-
ton in them continued feverish and un-
settled.
proved in demand and has risen in price.
United States IS advanced "A per cent
over the closing call of last week
-rrCur