The Montgomery advertiser., 1902-07-20
WALL STREET REVIEW
ATTEMPT 10 TAKE PROFITS
LOWERS PRICES.
Market Still Shows Breadth and
variety-The Bank Statement
Even More Favorable Than
Had Been Anticipated.

New York. July 19.-Former buyers Of
STOCKS attempted to take profits this
morning and found poor market for the
purpose. with the result that prices were
carried generally below last nights level
IN the course of the four hours trading.
Inc market, however, continued to show
breadth and variety and the pressure to
sell promptly relaxed at the lower level
OF prices. A favorable bank statement
was expected but the exhibit of the
clearing house institutions proved more
favorable than had l16en anticipated and
Resulted IN an effective rally in prices
Inc realizing was renewed at the adj
vance ana the closing was active and
easy. Probably the reports of yesterdays
neavy rams and floods In the Western
states aroused some misgivings over the
results to grain. There were fractional
gains amongst the grangers and South
westerns nevertheless. Pennsylvania was
the feature OF the market on very large
dealings and rose about $780, closing at
that figure. Official denials OF yesterdays
persistent reports that control of Read
ing had been secured did not hurt tho
stock. but it's subsidiary stocks c. G. o.
and N. ana w. suffered from realizing
the former falling at one time / Ia un'
through the market including Hooking
Valley. Western Union, fuller construc-
ton and some OF the public utilities of
this and other cities. The increase In
phHhiiB ECceTVeS were not as urge as
expected. Last weeks decrease was
much smaller than expected, so that to-
days figures probably represent an adj
fustmeut under the average system. The
decrease I'm loans. considering the active
speculation, was not looked for. The
din1inished reserve requirements thus ef-
fected helped the surplus, which in
482, 375. al
There has been notable revival of spec
ulative activity in the stock market this
week, go that the volume of dealings
crossed the million share mark for Thurs
day and Friday. There have been indi-
cations Of strong organized campaign,
groups, which have hitherto seemed to
hold aloof from the market during the
operations conducted by the so-called
Western contingent. Dealings have been
another group OF stocks successfully, TAX
ing profits In the one group under cover
of the sympathetic strength induced by
the rise in the prices of the new group.
The movement Is regarded as being pro-
fessional still to a large extent. That
Is to say as being conducted by the large
capitalists and millionaires who have
controlling interests in great corpora
lions. and by the traders whose means
of livlihood is the buying and selling of
securities. The history of speculative
movements sho " that the general public
never embark An a general speculation
except uHOcF n I6dueTSn1p OIL JniS CHAR dC-
ter. Even with abundant resources in
hand with knowledge of effective earn
ing power for securities, with obviously
prosperous conditions and all hands, there
IL rarely any disposition manifested by
outsiders to buy stocks while prices
are stationary and there is no evidence
that other persons are seeking to possess
thcm. When dealings in stocks become
large and prices begin to advance, then
comes into play that invincible propensi-
~ of The human mind tn seek the
session Of that which others are urgent
ly seeking. 1t Is such a condition which
speculative leaders strive to produce by
active dealings in the market and the
striking manner as possible. During the
past week the commission houses in Wall
Street report some access of demand from
scattered resources, but not to an i'm
portant extent. The bulk of the trans
actions are still in the hands of the pro-
fessionaIs 1t Is not to be supposed that
large capitalists, in embarking upon such
an undertaking. base their expectations
of success upon mere arbitrary methods
of manipulation of prices. They must
count upon feeling of confidence in the
people at large in the prosperity of bust.
ness and the earning power OF invested
capital. In the present instance much
stress is laid upon the successes of great
staple crops of the country and above all
of the corn crop. The good progress
made in this crop and the favorable
weather winch promises TO carry IL 10
fruition undoubtedly form the principal
basis of the speculative campaign which
has been entered upon.
The report during the week that the
had been abandoned and the break in
the price were regarded with satisfaction
in Wall Street circles on account the fear
that the artificial condition sought to be
maintained would do harm to the mar
ketlng Of the coming corn crop, and that
the effort to 81 pport the corn market
might necessitate sacriNces in the stock
market The suspicion that sequel
still remains to the corn corner has re-
vived some apprehension on this score.
All trade reports agree that the demand
for all grades of iron product Is still at
high water mark and running into. the
indefinite future without the first indi-
cation OF reaction. These two basic facts,
plentiful crops and active iron trade,
have been accepted usually In the past
as conclusive indications of the country s
prosperity.
The unusually heavy demand from the
interior for currency which caused some
uneasiness last week on account OF the
danger of its encroachment on New
York bank reserves, Is accepted in an
other sense as indicating the activity of
trade. The losses suffered by the an
thracite coal carriers as result OF the
miners strike, make them an exception
railroads in general but the determine
ton of the miners in convention at In
dianapolis not to make the strike general
has been made an opportunity to advance
prices of the coalerss as feature of the
bull market of the week. The confidence
EXPRESSED by coal road officials that the
stock is near an end has apparently been
accepted by the speculative contingent.
The affidavits offered by United States
Steel officials in answer to the suit
against the proposed bond Issue regard
ing the earning power of the corporation
were regarded as gratifying evidence of
the prosperous conditions of the trade,
but the corporations securities were but
slightly affected The rates for call
loans have beer easier this week and
have fostered. the speculation, but the
future of the money market IS by no
means clear, and lenders hold firmly for
higher rates on time loans. The unex-
pected volume of the Governments dis
bursements has been relief to the money
market but 1t is by no means certain
that the present rate of disbursement
will be maintained. The question of the
extent of the foreign indebtedness OF this
market is much canvassed, but with no
DEFINITE result beyond the general agree
nent that our floating Indebtedness
abroad Is usually large and its conven-
lent uouidation much dependent upon the
volume of our exports of domestic prod
ucts this fail. Some observers have
claimed to detect a disposition OF French
capital, to which this markets largest
indebtedness is due, to invest In American
securities, but inquiry In the channels IN
New York through which such an invset-
ment would most likely noat, 1alls 10
corroborate this view.
The principal activity in the bond mar