Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1902-11-06
Republican Victory at the Polls
Has Little Effect on the
Stock Market
MONEY SITUATION is STRAINED
Price Expansion Has Reached the Lin
it, While overcapitaIization Has
Caused Sense of Uneasiness in
Many Minds-cattIe Feeding in Iowa
a Factor in the Situation.

New York, Nov. 6. Pronounced
when general rise was expected, Of
fers forcible demonstration that the
money situation in Wall street is del
icate one This downward trend of
prices indicates how thorough is the
unrest existing at the present time
over the outlook
With conceded republican victories
assuring continuance of republican
policies, there followed no outburst of
sentiment suggesting that the prices of
American stocks and bonds are not
high enough. On the contrary, inter-
ests here capable of embracing such
an opportunity as that offered today to
show their faith in current values
failed absolutely to make such demon
stration.
If it should be asked why there might
be many answers covering a wide
range of reasons. But specifically it is
the things that are limited at, not OPEN
iy given publicity, that are exercising
a staying influence. There is overcap-
italization and overfotation in Wall
street, and it is not doubted that too
big a load is being carried in one part
of the street.
Tt takes some risk to make such an
assertion, but the situation exists new
ertheless, and cognizance of 1t should
not be unproductive of good results.
1t appears that there must be an end
of the turning over and expansion of
capitalization. The market has balk-
ed at this continued production of Sc
curities which require fresh money
from the public.
Much now rests with the foreign
money lender. Such a statement Is
necessarily one of repetition. for to
discuss the Wall street situation means
to bear constantly in mind what Is
owed abroad and the ability to meet
the obligation at the demand of the
lenders. Tonight the prospect of gold
shipments Is just as it has been for
several weeks--uncertain.
One of the important banking inter-
ests figures on the outgo of gold. 1t is
the largest dealer in foreign exchanges.
Lower prices for Americon securities
would form a corrective. Should quota
lions go to & point where foreigners
would buy, then would follow flow of
money this way, and it is becoming
significant that people usually regard
ed as always believing in higher prices
are telling their friends securities are
too high. These people, too, are in a
position to command funds for market
purpose of the outlook warranted
higher quotations.
In this connection 1t was noted here
before the election that a prominent
group of capitalists stood ready to en-
ter the market and bring about a con-
siderable upward movement. But moth
ing of this kind was done, and instead
of any buoyancy there has been abso-
lutte fairness.
Careful consideration of the fact of
the republican victories must suggest
that President Roosevelt Is committed
to a policy, tentative at least, toward
legislation to regulate the so-called
trusts. Western sentiment strongly
favors some changes in the tariff and
new enactments. While there seems to
be no grounds for believing any radical
action will be taken (witness the
change Of views of Congressman Bah
cock), still the uncertainties suggested
by discussion always make for disturb
ance OF confidence.
This implies primarily to the fnflu-
ence on financial sentiment which con-
gressional activity is certain to bring
about. Again, not only in this country
but abroad will remedial trust legisla-
ton be closely watched.
Attention was called here to the fact
that the increased feeding of cattle by
western farmers might lead to lower
prices for beef. There Is no doubt the
Iowa cattle feeders have been prompted
to become such not only because there
was offered better means of utilizing a,
soft corn crop but also because of the
high price of cattle. 1t would not be
wholly surprising if in the effort to take
of the high prices now OBJ
tanning for beef western farmers should
bring about a marked change in the
quotations for meats. Packers have
given the lack of choice cattle as the
reason for the continued advance in the
rrice of steaks. The Iowa raisers are
in a fair way to meet this desideratum
with profit to themselves, however eff
fectfve may be the relief afforded the
general public.
There will be two features accompa-
nying extended cattle feeding. One
will be to keep interest rates firm in
the west and the other to help out the
railroads in their present state of car
shortage During the fattening process
the roads will be given an opportunity
to use their cars for the transportation
of grain, and in the end the reserved
freight will so east In the form of stock
at a time when the demand for room
should be less urgent.