The Washington times., 1901-06-30
Government Bonds.

Z. S. 8's, r, lsOs, @ f........... l09 logh
| q. S 3's r 1908 r. c. F.. 100 IOgts
! L. S as. 1906. Q. J.......,...... iI2h il3
| O. s. As, 1907. Q. J........... II3h lax
| T. $ As. r. Iq25................ I3g $40
=, :. As z, l925...-...-...-.-..- lS9 id0
| 7. = SIS. r. 1901. 904.................. l0SA lO1m
| L. : 5's, G, 1904, @. F............ l0Sa lOyH
Yesterday ended the fiscal year in the
| stock market, and it may be said safely
| that there has never before been such an
| other year, a year of so much Importance,
| OF such generally good business conditions
| and such especially propitious market
| conditions. year with such tremendous
| transactions, and such a wonderful ad-
| vance in prices. Railway earnings have
| Increased 10 per cent in gross and more
| than that in net. A large number of rail-
| way securities have been put on the dvi-
1 dend list that have not had dividends be-
| fore for many years. Other important
| railway securities have had their dividend
| rates increased. The community OF inter-
| ests plan has been working toward con-
| summation and rates have been maintain
| ed with great success nearly everywhere,
| Money has been plentiful at nearly all
| times IL New York, and speculation easy.
| The formation of big industrial trusts has
| continued and has eliminated in the crea-
ton OF the billion dollar Steel Trust. the
| greatest that was ever formed. Business
in iron and steel the barometer of
| trade has been excellent for the most
part, and profits have been large Busi-
ness in other directions has been excel
| lent As result of all these matters the
| prices of railway securities have advanced
| 5U TO lOU per cent, and the prices of indus
| trial securities have made lesser but still
important Improvement. Business on the
stock exchange while this advance has
been going on has been far larger than
ever before. The two million share day
has been reached and passed During the
height of the boom before the May panic
the number of shares traded in on more
than one day was 5000 600. The amount
OF business for the year has been very
nearly If not quite double that of the pre-
Vious year.
The outlook for prosperity is also good
The crop outlook is fine at present The
winter wheat crop is almost certain to
be one of the largest on record and the
spring wheat yield bids fair TO be excel
lent The corn yield. of course, is some
what in doubt, but its outlook is good
Inc community of interests plan in the
West has not yet become an accomplished
fact, but the outlook is that within few
months the entire railway business west
of the Mississippi will be controlled If not
conducted by one set of men, and that
the best of harmony will prevail. This |
should make the railway business excel |
lent, ana II the crops are good, superb. |
In the East the coal situation is entirely |
satisfactory to the railway interests and |
the outlook is for higher prices and en- |
iarged profits. In the South already the |
community of interests plan is in opera |
ton with the best of results. The steel |
and iron business, as far as can be |
judged, Will, be prosperous. At the mo- |
ment the money situation might be better, |
but there is every prospect that the re- |
ceipts of gold from the Klondike and |
from South Africa will be very large and |
that rates will average easy despite the |
extra heavy calls from the West and |
South for the movement of this autumn's |
crops. The heavy balance of trade in |
favor of America will at all times ensure |
the shipment of money from Europe if ii /
should become necessary.
Such being the conditions during the |
past year, and the outlook for the COM /
ing twelve months, it is of the utmost i'm |
portance for the investor to consider |
whether the prices of securities are like |
ly to advance during the coming year or |
not The statement may be made inn /
mediately that many people who ac- /
knowledge the good business conditions |
do not look for much If any further gen |
eral advance in security prices. They |
take the position in general way that /
the recent boom carried Irices as high as !!
they deserve TO go, even with conditions |
superb They believe that the prosperity |
of the country has been discounted by the |
insiders. the people that have known of /
the prosperity in advance. These people |
believe that few stocks in various parts |
of the list Will advance to level consid-
erably above that now ruling, but that the /
general list has gone far enough for the |
present, no matter how muciI the public |
may think otherwise. They argue that |
the advance Of 50 to 100 per cent, since last I
September, putting the level Of good secu-
rites where per cert on the investment |
only can be realized. is all that should be
expected 1 NEE point out IEldt lGfHiacdl
conditions favor lower prices, rather than
higher. The insiders have many millions
of dollar of securities TO market and all
the good news Is out II general condi-
tions should remain good il is probable
that there would be no important slump /
in prices for some time TO come If there
Is TO be money panic. or if the communi-
~ OF interests plan does not go through, |
or II there is to be a failure in any OF the
big crops, or If the European political sit
uatiOn is to prove not satisfactory, the in
4 n hd1
up the level. while they are unloading In |
the immediate future there are two or
three months Of hot weather and dull
ness ahead of the market, that almost al
ways result in declines and narrow pro-
fessional manipulation. The advice of |
many careful people is not to buy stocks
except on the declines and then TO use
discrimination
Henry cIews says Of the immediate mar
ket outlook. pointing out some Of the
surface weaknesses.
THE stock market received a check this
week from unpleasant developments with |
a local bank that plainly emphasizes the
oesirability OF caution in speculative !
operations. II is just such weak spots as |
this which may at any time bring on dis
agreeable consequences. At the moment |
there are TWO other factors, also not alto
gether favorable 10 a bull campaign. in
spite Of the many other satisfactory con-
ditlons. These are the German financial |
crisis and the local money market. The
crop and fan trade demands are only six |
weeks or so distant, and il is evident that
unless TIE bank reserves are increased no
very extensive speculation in stocks can
be carried on without mourning a strin-
gent money market AS soon as July dis
bursements are made some relief will be
Afforded, ard there is no telling how far !
the big holders OF securities may be able
and wiling TO aid the money market. |
Large sums are Still known to be locked
up ia syndicate operations and the re- |
lease OF these amounts would be favorable |
10 ease in July and August. Fhe second
consideration, the crisis In Germany, is
entitled to more weighl than ii receives |
Germany is suffering acu-ely from the
consequences Of oversDeculation in indus
lflais during The last t%o or three years. !
Imitation was the order OF the dav and |
reaction followed inevitably. The German |
bank failures show very unsatisfactory |
condlllon OF affairs. and IL is by no means |
certain that the end OF these disasters has
yet been seen. In these days Of close in
tcrdependence between nations depression |
In one quarter is quickly felt in OF hers New !