The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1901-08-25
STOCKS ARE STRONG
ARE REGARDED AS FAvoRA-
BILE TO THE BULLS
THE MARKET IS PROFESSIONAL
But Wall Street Brokers Expect to
See the Public in the Market
to Larger Extent
Next Week.

Sat. Fri.
Bar silver, New York. .58H 5Sss
! Call money, New York .... 2j5 2Ls
| NEW YORK, Aug. 24-The customary
! tendency to take profits at the close of a
week of rising prices was OFFSET today
| by the buying attracted by the highly
favorable character of the weekly re-
| views Of commercial conditions by the
mercantile agencies and by the Settle
ment of the Franco-Turkish troubIe
| The London market was closed for q
| holiday today so that the demand for
| American securities induced by the lat
| ter development came directly upon the
| New York market. There was some
! proflt-taking before the appearance of
! The bank statement and again in the
J final dealings, but the professionals found
little difficulty in supporting prices and
held them pretty steady and near the
! top until the close. The public still
! holds back, but every hcpe is exnresseo
| that by Monday it will be found in the
! market attracted by yesterdays strength
@and it's persistency today The bank
! statement was about as expected in the
/ published forecast, except that the sna
cial shipments to Philadelphia were not
! disclosed. The moderate loan expansion
! was attributed to the stirring by pools
! IN tne stock market, which has deveI-
! oped during the week. The leaders to-
| day We're Atchison, Erie the Pacifics.
| Amaigamated Copper, Sugar, about in
! the order named. The strength was
wen uISIriDulGu, DuL some of the recent
| strong stocks hung back somewhat es
! peclaIly the PENNSYLVANIA group, the
! Wabash, st. Paul and Southern rail-
! ways. The United States Steel stocks
| were quiet, but the preferred rose a
| point in the late dealings.
REVIEW OF THE WEEK
! There has been no revival of snecuIa-
| tive activity this week. except in a few
| spots. The volume of dealings -ras been
somewhat ,iatsEaai less than last week and on
TUESDAY the dealings in bonds fell to the
! low level of the year There wac in
| creased activity of speculative bonds late
| III the week. Notwithstanding the dI11I
| ness OIL the market the tone has been
! quIeC ana there were periods Of positive
! strength. Closing up of OUTSTANDING
contracts on the short side was resp0n7
! SlDle Tor some part of the strength thus
| eliminating potent handica0 froro
| stocks and giving notice of nosi4iva d,Im
! ness IN the future. There is however
| always an effort on the part of room
tIduerS TO try TO reap advantages from
| requirements of shorts by bidding nm
| stocks and to even inaiIgurate hui
| movements by the formation of pooIs in
! special spots. In a few cases oDerationo
| we're OIL such consequence to give color
| 70 the Suppositlon that large financial
| plans were being worked out or coming
! ueVelopments warranted expectations Of
| larger returns on stocks, but all these
al any time to give great
! animation to the market The covering
| by shorts was largely attributed to West
| ern sources from which selling had haar
largely on the early indications of dam
age TO the corn crop. The SUSTAINED
| character of the demand Indicated tbat
the crop damage had been overdfscounfed
| py the selling of stocks and possibly over
of al iLta also The continued high level
or Hallway earnings n the district 9frected
had cheering effect upon the holders Of
securities, the prices having risen to a
neight sufficiently attractive to bring
out large offerings. Finally the snr;nS
wheat crop and the large total of WGhaa3
indicated have received increasin ar
tentlon Last weeks export of Wbeat
ai1Ljhougn not fully maintained this week
ad9s 10 the Importance of our wheat cron
anu TelhICrces the statistics of foreie,n
Wheat crops as showing large reorjre
Of wheat. supply
Inc conditions thus presented arc .
forclb!e reminder of the outcome of lot
year s marketing of crops. The deveIonN
Inent or a shortage of spring wheat last
"a ~nicn caused acute weakness in
Inc securities Of all railroads in the
NC!thWestern region, proved to be neu
tTaIlzed by the very heavy traffic in gen
ERA f,l merchandise, so that railway earn
LBS were not checked. The large crons
last year in the Southwestern vinte,.
wheat and corn regions aye believed 70
Insure them against excessive business
oopi eS $40 from this years corn short
SSe' ne steel strike cloud still over
hangs the market and trade authorities
Eolht out considerab BILE effect unon +roe
in5r5e for products already. The dimin-
lShed production of iron hss resI,Ita1 IN
d WeaKenlng in that market while de-
Iayeo deliveries in some lines of finished
pIouucls caused by the closing of the
ni!ns Is beginning to interrupt projects
already underway The Claim IF ~
London Standard that American cor
SImers Of finished goods are placing or
ocrS IN Great Britain on quite Iaroa
scale IS considered significant in that re-
slect wall street opinion however is
hlclined TO decidedly optimistic Wow
OF uhe outlook in the steel trade Hold
eIs OF stock are inclined to continue
,-nint ttoaI4ogy with last years events and
Folnt to the ultimate Improvement in the
anthracite trade IN spite of the shut-down
% me mills. This sentiment may have
f f3e eTe ct OF increasing .firmness in
dea hngs have been small and insieDi6
cant The real pressure upon the Stock.
came IN anticipation of the strike and
ICE! T,,1C the drastic liquidation early in
ouiy, Wnen forehanded operators ware
ipfeparIng for what they saw was the
inevitable. Amply retrenched as q raasoo
OF mat foresight, they are now able to
support the market for their see,Iri+;n ~
under the generalship of skillfuI rnsnin11H
laIofs In Wall street. Feeling in fingn-
al I'll CT cles IS thus seen to be one of conf
u t.1 IN the future value of the secuTi
tleS; speculation halts because of a
uoubt Of the capacity of the money roar
ket IN the immediate future to supnIv
the slneWs of war for operations on .
ef,lircie IN scale 70 attract large outside
snare In speculative movement.
Money on call rules easv Of tho no
nleht, but there is no inducement to mako
large commitments in stocks in raIiance
upon call leans. Already the interio-- is
Ht,lithdraWing funds from New York for
lile annual crop movement th1s heIiaino
the supposition that large reserves of in
ltIIot banks could relieve New Yo1,I,
OF this drain. This almost peranniai CIV
Ptectatlon IS due TO the misconception of
TIE nature of this interior demand ~
payments to the field laborers and 10
small farmers necessitates the use of
dclnal currency, the disuSe of C41ecLxs
making impossible the econorYv Of Tfa
- eu!1tHS medium Which results from
cleaflng mousse operations with checks he
tween banks. But this currency rnIIs+ he
QfaWn from the cash reserve of +Le
parks: thus contracting proportionatejv
Ill ul-elI lilllnediafe resources based on ca sh
reserves The permission unGer the hank
ihS law to interior banks to count as
Fttft OF their legal reserves cash re-
sources Which are actually on deoc sit
"tth New York banks has the effect of
ColiVeFStnS this annual demand for CIR
Iehcy almost directly upon the cash re-
serves of the New York clearing housa
links. Inc prospects are that the d.
t "a 9, VIII be heavier than usual this
IAN; Government fiscal operations 5-a
making requirements upon the none,
market several million dollars in excess
u last year. The care with which tba
baIlK OF England is conserving its re-
serves, Shown by the raairiterance of rho
bank rates this week, shows that The f1r-
elsn markets expect demands UPON them
rom New York to replerli<h the demand
= ON I'm the interior Of the country. Abal,f
y ,2G9-010 Australian gold by wa Of G.
francisco found its way into Now w |
utDlh reserve this week and 50 5aO con al
dit!Cnal now ct sea on the Pacific viii
1 1dl the same destination. Bankers pro
less to have no fear of stringenoy IL
y