New-York tribune., 1901-01-07
lHlghl Low. Jan 5lDec 2slch'gs.l sales.
sEr interest.
THE WEEK IN WALL STREET.

THE WEEh In WALL
There are a number of important spectators
who are working for lower prices in stocks In
ordinary markets their efforts would be success
ful. and in some badly informed quarters II is
rboueht that before the market goes much
higher this speculative element will be able TO
marshal fts forces in sufficient numbers to break
the influence Of bull campaigners. Bearing in
mind that the present market Is out of the ordl-
nary class IL is easy to see why ordinary specu-
1asors are unable TO make appreciable headway
against the tendency of market movements AND
what a puny thing this bear element is when
ccmpared TO the company OF capitalists VINO are
working 10 improve rather than destroy marker
val,es, decline took place in stocks on
Thursday and the bear element believed that IL
had the situation in hand. The next day, now
ever capital exerted itself and the bear element
was forced 60 retire with serious losses IN ABOUT
every stock on the list There is a Dig nood OF
can,tel seeking an outlet in the securities mar
kets. and the professional spectators might as
well try 10 dam Niagara as to check this stream
of r,onev that is moving into stocks and bonds.
A legitimate reaction, encouraged by the leadlng
interests. cleared the market Of weak spots on
Thursday but il did not hurt the intrinsic
strength Of values and speculation
II, ,s g time for big margins, but, despite the
sdvance already recorded, there is no good rea-
son for short sales for more than a turn. Inc
greatest railroad and banking interests IN the
country are engaged IN plans that are MAKING
-or higher prices in stocks. Stocks may look
high by comparison with other periods. but they
az. not high when based on conditions. Condi-
,ions have changed They are better and
.,ro-ear than they have ever been before They
sre astounding in their meaning, as showing
the accomplishments in money and trace IN 'iie
last two years, and IS indications Of what we
NAV expect In the year TO come. III is wise anu
cou1uaendable TO exercise the utmost caution IN
sneerrlating for higher prices i'm securities put
a. ,s neither wise nor commendable TO predict
1nurer nrices TO work for lower prices ana TO
see In the current advance mere speculative
,,ev The conditions that prevail in this coun-
try have induced the leading capitalists OF the
limited States TO enter into schemes ahecuhg
the welfare Of American railroad ana INDUS
trial CORPORATIONS, and the operations under way
are something more than ordinary TRANSACTIONS
The character OF these operations has aready
teeu reflected In the anthracite coal deals anu
the general movement of investment securities.
The market IS advancing on facts rather thah
theories. Investment values are going UP be-
cause conditions governing investment values
ere changing.
The current market is g. rich mans market
TIE size of daily transactions has never before
been equalled. and in the week just closed rec
ords for activity and price advance have been
made The big jump in st. Paul stock was
based on pending developments affecting the
welfare OF this company and several other
Western roads The granger shares are all slated
for higher prices, and il is believed that Rock
Island and Burlington will do well as St.
Paul has done. Rock Island will, IL Is believed,
be advanced TO 6 per cent dividend basis, and
the buying Of the stock suggests that strong
financial interests accommodating this issue.
II Jersey Central. per cent stock, is worth
150 then Rock Island is worth much and
more. IL is believed that Rock Island, Bur-
lsngton and ST. Paul will find their ultimate level
around 175. and that Northwest will cross 200
Prices mentioned will not be reached without
setbacks that will wipe out small margins. and
ar this period no better advice can be given
than that OF AL conservative brokers, which is
TO trade only on large percentages.
The foreign money situation affected for a
short time speculative sentiment last week II
was thought that gold might go abroad and that
local bank resources would be depleted Gold
exports should cease TO scare Wall Street. They
amount 10 nothing more than loans to Europe
and reflect the enormous strength OF this coun-
try and the control that the New-York money
market is exercising over other nations. Credits
abroad are increasing, and American bankers
are lending large amounts OF money in all the
movement at home. the ability of this country
to finance the difficulties of London may be
questioned by the poorly informed operator in
stocks; but people who understand the situation
Will readily see that money Is In enormous sup
ply here, with ample surplus TO extend assist
ance 20 Europe The statement showing the
amount OF money in circulation on January /
supplies good ammunition for bull campaigners
in stocks. year ago. when the per capita cir
culation WIS S25 73. it thought that the
country was doing exceedingly well, but since
that time the rate has advanced 20 S2s 49, In
volving increase i'm circulation of S192 s53 7Oa
OF this amount over $50. 100000 is In gold and
over Ss-oOO0o 600 ia National bank notes. The in
crease in money is keeping pace with population
and the needs OF the country's business. The
uneasiness that has recently developed in foreign
money circles cannot involve the United States
beyond asking ste indulgence for the extension OF
credits and further loans. Conditions here
sound. and they win not be upset by troubles
abroad
The Jersey Central Railroad deal win be fol-
lowed by other developments involving railroads
IN ali parts Of the country. Stocks will not seek
a permanent lower level SIS long prominent