New-York tribune., 1901-09-02
THE WEEK IN WALL STREET.

STOCK
hected an increased outside demand for securi-
ties, but the buying power from this source eN-
hausted itself before the close A cessation of
the activity that developed on Monday and
Tuesday was due in great part to the approach
If three-day holiday and to the so-called
money market uncertainties. An active demand
for money from the interior was reported in
the last DAYS Of the week and as a conse-
auence large shipments Of currency were made
from this centre Despite reports from the
West regarding the big supplies Of money at
inland cities. it is more than probable that the
usual amount of currency viii leave the city
banks on the current outward movement. As
pointed out in this column last week, this de-
nand for money is seasonable. It is an indica-
tion Of business activity outside of New-York,
and il is not bear factor on securities, although
81 times il may encourage the sale Of weakly
held margin accounts. Although the West is
well supplied with money. better than ever be
fore in its history its needs are larger than in
preceding seasons, owing to the extension or In
,iustraI activities and the general growth Of
its agricultural and business opportunities
Moreover. il should be borne in mind that large
amounts of money owned outside New-York
are on deposit al this centre. These balances
will naturally be reduced.
The general news Of the week was in favor
ofSnigher stock market values. Prices advanced
easier than they declined. and IT was always
easier TO sell than il was TO buy. Securities are
in strong hands Holders believe that values
viii work higher. and they therefore are not
disposed TO sell ruling prices, especially in the
case OF the medium priced issues in the railway
and industrial list, which are quoted many
points below their intrinsic worth Factors
gover hing actual values encourage the expecta-
tion OF higher prices. The steel strike is p7ac-
tically settled so far as the United States Steel
CORPORATIONS business is concerned; railroads
continue TO return enormous gains in earnings
over a big traffic period a year ago; crop con-
ditions outside OF corn. are satisfactory; gen
eral business is active. the export demand for
food products and manufactures is heavy, while
conditions in general sound and healthful.
The United States Steel Corporation has made
a fight that should protect it from further
trouble with its employees. while the influence
of the fight upon the labor situation throughout
the country should result IN lasting benefit both
10 employees and employers. Assuming that
there will be no further trouble in the steel
district the Emitted States Steel shares appear
cheap at current values Already the corpora
ton is doing IS per cent OF its normal business,
and the chances are that by the end OF this week
Mr. Shaffer and his band Of agtators will be
defeated completely by the trust and discredited
by their present followers.
Heavy buying OF American stocks and bonds
for foreign account a striking feature Of
last weeks investment business. Investment
buying for London and Berlin was reported This
country is no longer forced TO seek a market
for its securities abroad but Il is encouraging to
see manifestation Of confidence on the part Of
foreigners in our investment issues. There are
no safer securities in the world than the first
class American railroad issues. and there are
few foreign securities upon which the dividend
yield is as large as upon stocks and bonds.
In the last year in England dividend returns
have been cut down, as earnings have been re-
duced. In the United States dividends have
been increased because Of growing earnings.
Earnings received last week showed many eX-
traordinary gains over the same time a year
ago, both in net and gross. Improvement was
not confined TO any one section OF the country,
although the Southwestern railways as a group
exhibited the greatest gains Missouri Pacific
presented an increase Of $4,000 Wabash, S43.-
600; Central Of Georgia, $4,000; Missouri, Kan
sas and Texas. S50664 and Louisville and Nash
willie, S44.s15. In net earnings Atchison gained
for July nearly 100000. Erie made a splendid
showing for the same month while Southern
Railway ST. Paul. Union Pacific and st. Louis
and San Francisco made further striking ia
creases.
The Southwestern securities are in good de-
mand. especially Southern Pacific. The advance
in Southern Pacific and IN Southern Railway
has revived the story OF a closer working ar
rangement between the two companies. but the
only actual news development regarding South
ern Pacific is the decision OF the managers to
spend enormous amounts OF money on the prop
eTty out OF earnings. Southern Pacific is con-
sidered one OF the best stocks 10 hold on the
list. IL has not yet discounted its future invest
ment value. The same may be said Of the
Southern Railway issues. which are both selling
well under their actual worth. There was a
good inquiry for Texas and Pacific In the week
This company will OF course, figure in any Gould
consolidation thar may be made in the South
west, but even without the prospects Of benefit
from this source Texas ana Pacific has many
merits 10 commend il a safe issue 20 hold for
future price enhancement. Earnings OF the
Southwestern roads have been increasing for
several years. and large amounts OF money have
been expended on improving the physical effec-
tiveness Of the companies. 20 the end that the
properties may be In condition 20 handle the in
creased business that industrial DEVELOPMENT In
the South and West is bringing 10 the various
roads.
Industrial shares OF merit received some atten-
tion IN the week from excellent class Of buy-
ers- There was good demand for the United
States Steel shares: also for Peoples Gas Inter
patfonal Paper preferred and International