New-York tribune., 1902-08-20
BONDS.
THE DAYS OPERATIONS IN STOCKS


Transactions in yesterdays securities market
were fairly heavy. and prices were geIelN'11'
firm with net gains in most issues at the close'
Ia good class Of buying was reported In IlaIS
s.tocks narticularly in some Of the low priced
vaflyay shares, the actual value OF Whlch i
NOT represented by current market prices
yrbere are cheap securities Of great merit in Inc
-,-asa,+ stock market and there is good au-
..,o-4+v for the statement that men OF substaH-
..aI means have recently been actively engaged
xn accommodating stocks of this class TO put away
Tor future profits. Wisconsin Central isSueS
%rere active features yesterday at aoNaiici''e
,rfces: also Chicago Great Western, Chlcaso
Terminal Norfolk and Western. Reading ana
Southern Pacific. Among the higher prlceu
xtocks Louisville and Nashville was the ieaueF
sn point of activity and gain, advancing 10
s-eu high record price at 157&s and closing not
Gar from that figure. Buying OF this STOCK -
aasee on the expectation that the return OF Mr
Morgan from Europe will be followed by the an
-,or,csr,ent Of a plan which will deal with the
rr-ure Of Louisville and Nashville and several
other Southern railroad properties. Baltimore
and Ohio. Missouri Pacific and Union Pacific
elso were strong features. In the industrial llst
colorado Fuel and Iron. after break OF
spoints closed at a net loss OF more tlan
Toints The Colorado Fuel and Iron Company
Is doing good business, but if the present
souabble between the Gates and Osgood factions
over the right TO control the companys attalrs
rontin1les the concerns business position VIII
certainly be adversely affected. American Grass
,rrvine WIS again absorbed by insiders; also
Tennessee Coal and Iron The stocks named
and the United States Steel issues were the only
active spots among the industrals. In the bond
aenartn1ent further losses were made by the
Central of Georgia first and second incomes
Call money ruled above per cent, while ster-
ling exchange remained unchanged
The enormous loans of the New-York banks
ere not 2 menace TO the situation. despite the
-,essmistic predictions Of people who have failed
10 make an intelligent analysis Of conditions
that have caused the big expansion Ia bank
loans in the last few years. In business opera
tions credit is good as cash The loans Of the
New-Yorlz banks are backed by the prosperity
OF the United States. and all careful students
OF trade and commerce know that current pros
perity is the best collateral that could be Of
fered. Bankers not Infants They under
stand the nature of the trust reposed in them
and they are not conducting their business in
"a manner inrncal to the interests Of depositors.
Current loans have big collateral margins be
hind them Loans to merchants, stock market
operators and banking and railroad syndicates
are well secured, and il is absurd TO suppose
that the situation viii be upset when the busl-
ness on which loans are founded is so wonder
fully SOUND and prosperous Money may grow
dearer and the banks may find It necessary to
increase their reserves by reducing loans. Ac-
tion of this kind, however, will not demoralize
the financial or business world.
There is little genuine bear sentiment in the
sEtreet but efforts to spread alarm over the
r1nonetary situation evident. It may be
human nature for people who are out Of stocks
10 desire lower prices. especially al a time when
conditions in general indicate that values will
eventually work higher. The market. however,
appears unwilling at the moment do anything
more than rest, with movements chiefly in the
direction Of higher quotations. The general
situation is far favorable than il was at
this time year ago, and if for q few weeks.
railroad earnings show relatively Unfavorable
returns the decrease VIII represent past in
duences and not reflect present conditions The
effect of the corn crop loss last year is likely
10 be shown in railroad earnings for a few
weeks but with this years big crops the out
look for the greater part of the next twelve
1nonths favors the heaviest earnings on record.