New-York tribune., 1902-01-20

Stock market trading was made up in great
: part Of the operations OF the professional ele-
ment in the last week Declines in the first
three days attracted no important public buy
ing. although securities were absorbed by sub
\stantial Wall Street interests at the low prices
Technical conditions caused a rally on Thurs
day, while the upward move induced some COM
mission house business on the last two days
Of the week. The failure Of the public to enter
the market IS doubtless based on the uncer-
tainty that is supposed to exist regarding the
course of business in 1902, the argument
that prices too high, the few adverse de-
velopments in the industrial world and on the
money market situation None of the reasons
given for lower prices particularly sound.
The public may hesitate for time, but there
Is no reason to suppose that current arguments
FOR remaining out Of the market will influence
/ Ghe outsider when he some evidence Of active
operations for higher prices. For the benefit of
f1e public. it may be said that big market in
aberests are working for an upward movement
by quietly absorbing stocks, by discouraging
an active market during the prevalence Of firm
money rates and by encouraging bear traders in
their operations. Probably the larger interests
have completed their preparations for a better
quotation level.
Stoc5as are in good hands, and investment
money is moving into bonds. The local bond
X,
representing the investment Of January interest
and dividend payments. The activity in bonds
has received recognition In speculative circles,
but the chances are that within a short time
The buying OF railway mortgage issues will be
followed by active demand for railroad
stocks. The recent decline in railway and in
dustrial shares carried the prices for the greater
number OF issues many points below their in
trinsic worth The stock market is not inflated.
securities unusually sound, and show signs
of moving more in favor Of higher market fig
ures Trade prosperity apparently has not
reached its limit, and If the volume of
business this year should fall away from the
extraordinary record Of 1901, a material de-
cline in stock issues would not be warranted
Business, a whole, is in unusually sound
position. The misfortunes Of certain poorly or
ganized concerns not reflections of industrial
conditions at large.
AS recently pointed out in this column the
value Of some railway shares is, of course high
enough; but the sweeping assertion made in
certain quarters that prices too high is
not based a thorough knowledge of the level
Of values. Many stocks, such New York
Central. for instance, are selling at relatively
high prices but quotations in these cases rep
resent future developments, by which the value
Of the investment and its dividend yield will
IN Oh the Stock Exchange furnishes many sound
Investments that cannot be considered dear in
view of their dividend return and known value.
Atchison preferred pays 3 per cent and sells
under par; Baltimore and Ohio pays f per cent
and sells trifie above par; Denver and Rio
Grande preferred pays per cent and sells
at 81; Erie first preferred pays 3 per
cent and sells at 70: Hooking Valley pre-
ferred pays 4 per cent and sells at So;
Ia: Louisville and Nashville pays per cent
and sells at 105; Missouri Pacific pays per cent
and sells at 101; Norfolk and Western preferred
paws per cent and sells at SO; Reading first
preferred pays per cent and sells at 80; South
ern Railway preferred pays per cent and sells
at 90: ST Louis and San Francisco first preferred
pays per cent and sells at 81. While the rail-
road list as a whole is not selling at inflated
level q still better exhibition is made by the
shares of the sound industrial companies. In
the industrial list returns OF from to 8 per
cent on the investment may be had at current
market quotations. in the Of American
Car and Foundry preferred Pressed Steel
Car preferred, International Pump Issues.
United States Steel preferred and Inter
national Paper preferred. Peoples Gas. 6 per
cent stock. selling only triie above par, is
certainly not dear. There has been a vast
amount of stock added to the list in the last
two years, but there has also been vast in
crease in the amount Of money in the country
and the buying power of the people
The sound position Of the country's Industries
and the strength OF financial conditions in the
United States are reflected in the statement of
foreign commerce for December and for the
year Of 1901. Although there was a heavy fall
ing of in exports of breadstuffs as compared
with the preceding year. and an increase in
general imports in value of S11 .217 536 total ex-
ports exceeded the total imports by over s57
100000. Compared with December a year ago
the excess OF exports was smaller by $50 o30 $40
due 10 the gain in imports and the decrease in
exports While the falling off in exports Of
breadstuffs and cotton amounted to over s16
100000, the actual decrease in all products wac
only SSS13056 a pretty good sign that tba
country's sales of manufactured articles in other
countries is not decreasing. The record for the
entire year shows an increase In imports of
merchandise, amounting in value to S5l 255 GAO
and a decrease in exports Of S12, ,431 974 leavine
an excess Of exports over imports of S5S5 los :
793. against S64s 1899 in 1900, and s47e 800 =
Dol in 1889 A gain in imports reflects the grow
ing wealth Of this country and the increas sed
purchasing power Of the people. The actual de-
crease in exports for the year is much less than
II appears in the figures as the movement or
goods TO Hawaii and Porto Rico was NOT ,n
cluded IL 1901 while it was in a good mart