The Washington times., 1901-09-17
The causes of this, unusual buoyancy,

The causes of this unusual buoyancy
are numerous. London took a hopeful
view of the New York market situation,
and was a buyer of stocks early in the
day. The Continental markets also were
buoyant for American securities. This
matter may have been engineered from
this side but 1t has its effect at any
rate. The words of President Roosevelt
as he took the oath of office last Satur-
day were conspicuously conservative. and
hence most reassuring TO Wall Street he
is considered a man of his word in the
street, and therefore he is taken at his
word when he says that the policy OF the
Administration will not be changed In
any important particular. The ending of
the steel strike has been waited for some
time and expected by the street, but
nevertheless the actual accomplishment
of harmony between the steel workers
and their employers. the Steel Trust, was
a bullish factor of importance, The bank
statement of last Saturday and the strong
policy of the Treasury Department have
caused a great lessening of anxiety over
the financial situation. In addition to
the buying of bonds by the Treasury last
week Secretary Gage yesterday an
nounced that he will anticipate the next
bonds. This will mean that nearly $780,
900 will be paid out Immediately, two
weeks In advance of the regular time
The Secretary also announced that if nee
essary he will also pay out at once the
, sl5.ccoeco pension money that would not
be disbursed in the ordinary course of
events until next week.
The attitude Of the clearing house is
also entirely reassuring No formal con-
ference was held at the clearing house,
I but the large banking interests and the
clearing house committee are prepared to
act at a moments notice. A prominent
member of the Clearing House Commit
tee yesterday outlined the general policy
of the banks in an emergency as fol-
lows:
There has not been the slightest evil
dence OF suggestion of weakness in any
of the banks and none is apprehended.
clearing house certificates. The Clear
ing House Committee will issue cert.f-
Gates only in case of dire necessity and
when all the banks are pressed for
i money. However the outlook is very re-
assuring. II should be understood that
no bank that had securities to put up will
be left unprotected. If solvent bank
should be pressed we Will assist 1t, but
/ | aid before, the issue of clearing house
certificates will be resorted TO only as an
extreme measure and in the altogether
improbable remote contingency of all the
hanks being pushed for CASH
! It was thought yesterday that some re-
action from the high price level estab-
lished might be seen later this week, but
! the street was full of confidence that
there is to be no great break at any time
in the near future. Some people even
| talk of an early revival of the advance
/ in prices that has been the chief charac-
teristic of the market for the past five
| years. The basic reasons for this belief
are in line with the causes that made the
market buoyant for one day yesterday,
though not entirely the same The fact
| that the strike is ended and that Presi-
dent Roosevelt has announced conser-
! Vative policy are factors of Importance
| not only for the present week but for
the entire present year and for next year.
too. They both mean that the country
| has a larger chance for continuance
| of
| had under other circumstances. The
present monetary situation, however
need not be taken into consideration In
any surmises regarding the future of the
market. for It is certain that there will
| be a plentiful supply of money later In
the year This fact viii indeed con-
tribute largely TO the hopefuiness OF the
situation. American gold will be abund-
ant again shortly and the money now
going West and South will in time come
back to New York. The wonderful
earnings of the railways are bullish
factor of the utmost Importance. 1t is
entirely probable that in all cases these
earnings will continue for the remainder
of the fiscal year. In some cases there
will he increases during the entire period
over the stupendous figures of last year.
The technical matter that the important
people have the stocks and the public
have none must not be overlooked. To
some people this is one Of the most i'm
portant facts in the entire list of bull
| arguments. The insiders cannot abso-
l
| against the impetus of real intrinsic con-
| ditions but they can go a long way to-
| ward directing the market they wish
| for a time at least, and IT would seem the
only thing for them to do In the presen nj
instance to put up the price of stocks
and get the public interested in them al
some time before the present wave OF
| DrosDerltV has visibly reached its ell
max and is on its wane.
The grangers and the Pacific securi
ties were the features of the session
During the entire session they were buoy
ant in the extreme and they closed al
the highest prices OF the day with gain
of from to points from the close O
last Friday. st. Paul despite the mo
inentary disappointment felt last weel
over the failure of the company to in
crease It's dividend was perhaps tn,
strongest of the group with an advance
to above l6l. The Atchisons also wer
very strong. the common getting TO z
and closing at the top. The reasons TO
| this buoyancy are clear. The prosperit,
of these systems has been phenomena
| and the great community of interest pial
! ! was built by the greatest railway an,
; | financial men in the world for the pur
J pose of perpetuating this prosperity.
The Steel securities were both YER
| strong under the stimulus OF the endin
| of the strike and the belief held by man
careful people that the company will con
tinue Its dividend on the common despit
the losses of the past three months. TIL
| support of the Keene clique OF course
contributed to the buoyancy of tn
stocks.