The Washington times., 1901-09-30
STOCK MARKET COMMENT.
4 Weeks Developments as They
VIII Influence the Futdre.

The Meaning of the Copper situa-
stion-No Reason To Consider Ii
Reflection on the COuntry's Gener-
nj Prasperit,-The steel Dividend
NEW YORK, Sept. 29.-1he past week
must be considered a most important one,
despite the smallness of its business, be-
cause of the influence which its develop
ments are certain TO have on the future
of the stock market. There were two
principal divergent movements in the
market. the further very sharp break in
the copper stocks in the earlier part OF
the week. and. Ire steady ad '.nce in all
Of the so-caIled Vanderbilt issues.
The downward movement in the copper
stocks appears virtually to have culmi-
mated in Mondays exceedingly sharp
break of over points in Amalgamated
The latter company is purely proprie-
tary concern. but it was noted that the
shares OF its constituent companies,
which are actual producers of copper
broke with relative violence also. Copper
stocks on the European exchanges also
suffered severe losses in common with
the break in American copper securities.
herite it would seem that the trouble with
these shares is fairly universal. At the
same time little definite information is
available so far as the public is concern
ed. and the latter must perforce rely al
most entirely upon the assertions of eN-
perts in the trade. Just what the dispro-
portion is between production and con
sumption at the moment 1t would be diff
cult to determine. That there is dis
proportion is indicated clearly enough in
the sharp break in copper in the London
Ia
proportionate local decline in the metal
but its firmness here is generally believed
to be owing to artificial manipulation.
Apparently, the high prices which have
prevailed :or copper have resulted in an
undue production of the metal and have
made profitable the operation of a large
number of small companies producing
comparatively low grades Of ore, but
which are at the same time, outside of
the control of the so-called trust.
1t seems rather strange that a stock
market which was so little permanently
affected by such matters as the Northern
Pacific corner. the shortage of the corn
crop. the steel strike, and the assassina-
ton of President Mckinley, should have
given SO pronounced a reflection as il did
10 the copper incident. The break in Cop
per has seemingly caused a great number
of people TO stop and reflect and to en-
res Of favoring developments behind and
under the greatest bull stock market in
the financial history of the country. Such
a conclusion would not appear, however,
to be at all warranted.
The general financial situation is un-
doubtediy still exceptionally strong, and
it is not taking too sanguine view of the
outlook to declare that this country is
even now but little further than on the
threshold of its industrial development
This does not imply, of course, that a
furthe continuous and uninterrupted up
ward movement in the stock market is
likely, for the average level of prices is
still comparatively high and might be
taken as adequately rejecting the outside
conditions on which they rest
The temporary monetary situation ought
Of itself be sufficient to hold in check any
lnreasoninS speculative enthusiasm. The
bank reserves are still comparatively low,
and while the monetary situation has
been temporarily Improved by reason OF
the special eXpedients undertaken and !
greclpltated by the assassination Of the |
President, the outlook must be admitted |
to yhe for exceedingly active conditions
during the remainder of the autumn. 1t
Is altogether unreasonable to look for |
any decided abatement in the demand for
currency from the cotton and grain grow
ing sections until late IN December
" hlle the foreign exchanges still afford
one source Of relief in case of necessity,
Il Is evident that the European banks are
going to interpose every obstacle avail
agile of the traus-shipment OF any consid-
cradle amount of gold to this side and
IN iact, the importation of large amounts
OF the metal would appear to be likely
OEiy IN the event that actually stringent
should develop In the local
money market. In other words. we are
NOT 10 expect that We snail enios- al once
easy monetary conditions and importa-
tons of gold. When the former cease
aud when the monetary situation NAV be
come men4cing. large importations of
Soid may be undertaken from Europe
but hardly before then
NO direct explanation of the second
inoSt conspicuous movement in the weeks
STOCK market. namely, the rise in the
vanderbilt issues, has as yet been fur
nlshed. Wall Street clings to the theory
that the control Of the so-called Junior !
Vanderbilt lines is TO be turned over 70 a !
proprietary company which is to be or |
ganized somewhat upon the lines of the /
pennsylvania company, but thus far no |
official confirmation of this idea can be |
obtained. and. indeed, it has been semi |
denied
There has been a good deal of interest |
displayed in the question Of the dividends |
on the United States Steel shares to be |
declared next week, as il was feared that /
the protracted labor troubles of a numv /
Der Of constituent concerns might threat
en- the maintenance Of the dividends on |
the common stock Any uneasiness that |
might have existed in this respect was, |
however, allayed by the publication of a !
seihi-ofnciai statement this week setting /
forth the encouraging fact that the net |
revenues Of the company had been but
little impaired by reason Of the strike and
that there was no question as to the
declaration Of the usual quarterly divi
dends These assurances were particu
larry timely in view of the uneasiness
created by the developments in the Cop
per stocks. for speculative confidence is
particularly sensitive at the present time.
as "A natural result of the long series Of
unfortunate happenings Of the past five
months.
D.