The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1901-06-17
STOCK MARKET IS QUIT
BULLS AND BEARS ENJOYING. A pr,
RIOD OF REST AND REEU-
PERATHON
PRICES ARE STILL VERY HIGH
Speculative Spirit Is Yet Abroad
and Is Likely to Fol-
low Any Good
Lead.

NEW YORK, June 1G.-In his weekly
w all street letter, Henry Clews says:
Inc stock market has been enjoying a
period OF comparative rest and recupera-
ION since the bull revels Of last May
Such a period was Cesitable and has
certainly been healthful. How long n
Will last cannot be fCretOld for we arc
entering upon the season of summer
quiet Wnen dbSenteeism is usually an eff
tectlVe hindrance to great activity The
present market however Is not govern
ed by precedeHtS, conditions being so
exceptional as to defy the usual methods
OF judgment. In considering the future,
therefore, We must accept these condf,
uons as we find them and while keep
ing history and precedentS ir mind. not
De ruled by these too rigidlV until tine
forces which interfere have exercised
lhelr sway. In tine long run. natural
conditions will assert themselves but
just now the market IS largely influenced
by set of events that REQUIRE close
watching; so that while Indications fusE
now are for good trading market dur
ing the next sixty days, sudden utbursts
OF activity need cause no surprise.
AS to the immediate course of prices it
should not be forgotten that they are al
ready very high; some stocks have soar
Ell to dizzy heights and are better left
alone by the unwary. On the other hand.
II must be admitted there are few bear
ISL elements in the situation; in fact
almost none, except the high prices of
certain stocks and tine possibility OF
LllCliOl uGNelOplnB III some or the big
deals now under way, which would pre-
clpltate sharp reactions the Northern
Pacific slump being still a smarting re-
hinder. With easy money, July dis
puisements, good crops, large railroad
earnings and good general business in
sight, there Is every prospect that the
market will gradually harden and inn
prove if left to Itself What II will do
under manipulation remains to be seen.
Inc speculative spirit is abroad and Is
likely to follow any good lead until some
accident or reaching the exhaustion point
induces setback. Easy money Is likely
to prevail until the crop demand begins
IN August. Last weeks drop in the
bank reserves was a surprise but as this
was due to transfers connected with Inn
portant stock deals it eXerted only tenn
porary effect. In all the principal money
markets of Europe easy rates prevail, as
illustrated by the reduction of the Bank
OF England rate to per cent, and with
increasing supplies Of gold from the
KlOndike and the Transvaal in addition
to other liberal supplies there Is little
prospect of any immediate stringency,
The June government crop. REPORT lndi-
Gated heaVy wheat crop in sight with
the possibility CT beating the record.
Some estimates went as h On as 683, CO.
O0O and others $4,000 900. Last year we
had q crop Of only 522,0G0, COO, so that We
are comparatively sure Of another year
OF prosperity for the, farmers and the
railroads, with liberal margin for later
damage from weather conditions The
"OAiNCAlu La uGli4tilIu IOT IRON ana steel mas
carried US into a new record for their
manufacture, which is now going on at
rate of over 100000 tons per week in
excess Of last years great output And
in the face Of this stocks at furnaces
show decrease. Railroad earnings con-
tinue to make very handsome gains:
hence confidence in railroad securities is
well maintained, even at present high
prices. The latter are, as everyone
knows very largely due to the great con-
solicitation movement which is rapidly
placing our railroads in the control Of a
few men and insuring more stable condi-
tons of railroad management. Specula-
tive operators are Of course using this
leverage on the market for all it is
worth, and while stocks are so largely
concentrated in strong hands as at pres
ent their ability to lift prices is unusual
1t should be remembered however. that
the big men have stocks to sell. and that
as heretofore they will lessen their mold
ings on a rising market This transfer
of stocks from strong hands to weaker
ones is the danger point that must be
watched. and we are constantly drawing
nearer to it.