New-York tribune., 1901-07-29
THE WEEK IN WALL STREET.

THE WEEK IN WALL STREET.
The current stock market is in the hands Of
professional traders. Outside interest has prac-
,icalIv disappeared and price movements are not
significant of investment conditions 1t is a day
10 dav market Buying on recessions and selling
on hard spots is the advice given by most brokers
TO inquiring customers. but the average commits
sion house trader Is neither seeking nor rolloW-
ing advice at the moment. Stock markets are
never attractive to the public after a period OF
extreme declines in a period Of uncertainty
over factors bearing upon general industrial ac-
tiyity Yet 1t is in times such as these when
shrewd operators hold securities. Investors with
rich bank accounts have been taking stocks In
the last two weeks, and although sustained
rise in prices may not develop for some time to
come the holders of these issues are satisfied
that their judgment in buying at going values
viii prove sound and profitable. Doubtless many
pools that have been carrying stocks for several
weeks will take advantage of all advances to
throw their holdings on the market, but it may
he put down as fact that all sales of this char
acter will strengthen the technical position Of
speculation.
Elements Of doubt in the present situation
are important enough to suggest caution. They
are not, however of sufficient gravity to induce
investment liquidation or TO destroy confidence
in business and financial circles Outside of the
crop damage and labor disputes the business
horizon is unusually clear. AS to the crop DAM
age it is hardly necessary to say that the ex-
tent Of loss in the Western crops has been ex-
aggerated for stock market purposes. OF course.
the fact must be recognized that the great corn
belt has been afflicted with weather that has
killed a certain amount of growing grain, but
II should also be borne in mind that the surplus
corn fro,r, last years harvest is enormous, and
that large winter wheat crop has been gath
cred and that the prospects favor large spring
wheat yield. Moreover. the West is prosperous
It is well supplied with money, and Its people
are better able to meet crop shortage than
ever before in their history Perhaps the rail-
roads will lose some traffic through the lighter
corn WELD but it is not likely that general re-
suits for the year Will be materially ahected
or that dividends will be ieoparcized.
II was pointed out in this column in the week
that holders Of securities were well informed re-
garding the position Of the country's business
and the intrinsic worth of investments. From
r,resent indications there is no reason to believe
that investors will become pessmstic over gen.
oral conditions or see in crop losses reason for
selling good securities. From the trade reports
covering the industries of the country 1t may be
said that undoubted prosperity prevails in the
industries Of the United States. Retail trade is
better as a rule than ever before known in d
summer season Labor troubles do not promise
10 run on for any length Of time, railroad earn
ings continue heavy, bank clearings are large
and foreign commerce is enormous. Railroad
earnings for half of July about 10 per cent
in excess OF last year and 2i per cent over 1899.
Bank clearings show a gain at New-York of 81
per cent from 1900 and 56 per cent from 1899.
while at leading cities outside New-York the
a
The districts most affected by the reports Of loss
in the corn crop have large wheat crop at good
prices and even If the yield of corn should fall
below / 900 600 900 bushels the farmers would
at current prices receive as much money they
received from the large yield OF 9, 100 600 O0C
bushels last year. The steel strike is not exert
ing any widespread effect upon American indus
tries.
Money market factors better than often
noted at this time of the year. The local banks
are well supplied with funds. and there is nc
expectation that the demand from the interior
for crop movement purposes will cause material
disturbance in money rates Bankers do not be-
lieve that money viii be particularly high this
fall In Europe the rate Of discount at the lead
ings banks remains unchanged. Foreign ex-
change was inactive in the week, with early
firmness followed by ease at the close. On
onoay lnere was d sfildll supply OF DlilS IN the
market, and this factor, together with appre-
tensions that damage to the corn crop and high
prices for grain might tend TO restrict the ex-
ports Of cereals naturally affected quotations
In the middle of the week free offerings OF COM
mercial futures against grain and cotton and
spectacular sales of long sterling weakened
prices. which continued heavy until the close.
Money on call representing bankers balances
lent at and B per cent in the week, with the
greater part Of the business at 2lA per cent
Commission houses were lenders of money their
funds representing balances for which there
was little stock market use owing to the duness
in speculation. Time money was freely offered
at easier rates. the reduction being helped in
part by the competition Of sterling loans.