New-York tribune., 1902-07-26
BONDS.
THE DAYS OPERATIONS IN STOCKS.

SeS 3 Cen 1Et 81 h inc 55% wabash 'T Rs y 4
THE DAYS OPERATIONS IN STOCKS.
Stock market trading was heavy throughout
the day, on a somewhat irregular movement Of
values In a number of issues decided strength
was shown but the general appearance of the
market indicated heavy profit taking sales and
e disposition the part OF commission houses
TO reduce their lines Conservatism on the part
of commission houses is always a welcome de-
vefopment in bull markets, and especially in the
current market, which is based on solid founda-
tions that ought not to be abused by over
speculation or an overextension of bank credits.
Reactions are desirable in all periods of specu-
lation for higher prices. There slight re-
action on Thursday, and there doubtless will
be many more reactions in the markets present
course toward a higher level. Missouri Pacific
which is now considered a permanent per cent
investment, was heavily bought by the Western
element and by the Gould interests, the result Of
the buying being a maximum advance or .
points and a net gain of 1a4 points Missouri
Pacific is now one of the leading railroads OF
This country 1t forms an important part of
the Gould system. which will soon extend from
coast TO coast, and its physical and financial
condition and its prospects for a further ex-
mansion of its business, entitle the company's
stock TO popular approval There are some
per cent stocks which selling pretty near
their real worth, but Missouri Pacific is still
quoted under its actual value.
The recent strength in Rock Island is now
explained by the plan of the controlling interests
in the property to reconstruct the capitalization
by issuing bonds, preferred and common stock.
which will give the present stockholders 215 per
cent in new securities. securities holding
company viii be formed and control will be held
bv the present controlling interests; but as the
bonds will have no voting power the amount Of
capital that ii will be necessary TO own Tor
control will be considerably reduced, and as a
consequence the present owners VIII be able TO
withdraw for other purposes some of the capt.
tai now locked up in Rock Island ownership.
Rock Island stock sold down on realizing sales
but recovered part of its loss before the close.
Louisville and Nashville rose points on heavy
dealings, and Illinois Central was up points.
The high priced shares were generally strong,
with marked gains by New-York Central. Penn
svlyania St Paul and Chicago and Eastern
Illinois Atchison and all the Southwestern
shares were in good demand. Declines when
made, were generally fractions, the only i'm
portant exception in the active list being West
ern Union, which declined over points to S012'
closing al a recovery of ! point On small deal
ings General Electric lost ia, and New-York
Air Brake points. AS rule, the industrials
were heavy the Fuller stocks making the only
important advances.
Foreign houses were again active sellers In
the local market, putting out on balance upward
Of 25OOO shares Offerings, however, had no
particular effect on prices. the market was
broad enough TO absorb foreign held stock, as
we'll as heavy sales for local account Europe
has sold a large amount of American securities
in the last week foreign holders doubtless be-
lieying that current prices are too high, and
that the bull movement now prevailing will not
he eoualled again this year. Foreign sales nat
urally increase our obligations due abroad, and
further gold exports are therefore not I'M
probable, although it is not thought likely that
the movement will reach proportions that will
cause disturbance in the New-York money mar
ket There is now profit IN sending gold to
Paris TO settle debts in London, shipments to
the first named place being attractive, as the
rate of Paris exchange on London is at point
that enables local bankers to send gold from
here 10 Paris and to buy exchange at that point
on London. With sterling in Paris at % francs
16 centimes. and sterling in this market at
s4 81 80. there is profit in sending gold to
Paris, as % francs 16 centimes is the equivalent
in the New-York market of 81 $3.50.
According to the known movement of money
this week the local banks have gained upward
of 81. $4,000. despite gold exports aggregating
81. go, 600. Receipts OF currency from the IN
terror have been heavily in excess of shipments
while in addition a large amount of new gold
has been received Unless. therefore, the loans
of the associated banks have been largely in
creased this week. reserve above legal require
rnents ought TO show a decided gain over a
week ago. Call money is in good supply at d
per cent, with many loans under that rate
while time money is inactive, without change
fn quotations. There is a fair demand for COM
mercial paper, but the supply is not heavy.