The daily morning journal and courier., 1902-07-14
WALL STREET SITUATION
AS IT IS REVIEWED BY HENRY
 CLEWS.

Much Depends Upon the Size of the
 Corn Crop--Ths Prospective Money
 Sttuatlon-The Immediate Future.
 New York, July F, 1902.-Stocks seem more or less indifferent to either good news or bad news. This is because all railroad shares are so firmly support ed by concentrated holdings and con- tinued good earnings that any bear att tacks upon values are usually futile and dangerous to the assailant. For nearly a year the market has resisted series of shocks that in ordinary times would have produced periodical sharp declines. With foundation of general prosperity to build upon, and rumors in the air of various amalgamations or buying for control as a stimulus there has been little difficulty in merely sustaining the market; for the reason that while these conditions lasted neither large nor small holders could be induced to sell. On the other hand, all efforts to infuse new activity and strength into the mar ket have met with very limited success. A rise of two or three points has in- variably been followed by a pause; then reaction to the former level. The result has been a good safe trading market, but with only moderate profits. The question is asked, how long will this deadlock continue? The answer is dif- fieult to give; for an unusual variety of conflicting conditions have to be measured. In the first place we are now fairly in the vacation period, when little is done in the way of inaugural ing new plans or policies. Perhaps the most important contingency is the crops; though, as the outlook in this respect is satisfactory, there is no pres ent anxiety in that quarter. All that can be said about the crops is that fail- ure or even partial failure, especially if it involves the corn crop, would be very injurious to the general market. An average harvest might permit a re- newal of the upward movement if other circumstances favored; but it must be frankly admitted that there is not yet sufficient certainty in the crop outlook to warrant a pronounced bull stock market. The Government monthly re- port was rather more favorable than anticipated, indicating a 2,500,o00,00O bushel crop of corn, or 1000 million bushels more than last year, and a wheat crop of 633, 3,000,060 compared with 74S,00O,oO0 of last years bumper crop. The cat yield promises 9i6, ,o00,0 900 bush els, an increase of 1s0000,0 900.
 A 1kL ,,t% .SS41 +f,n.a xr3 cations are over and the crops assured, we may have to pay more attention to the money market, unless during the next six weeks bank reserves are con- siderably strengthened either by con- traction of loans or additions to the re- serve items. Then the elections will soon follow with discussion of subjects that will have more or less effect upon the stock market; notably the trust question, which is likely to be a more active issue. The next session of Con- gress will be a short one, during which little actual legislation will occur; still talk will be plentiful, if only for ef- feet in the next presidential election. These are the most important uncer- tainties which the market will have to face; and only time can demonstrate how far they will be counteracted by the continuance of prosperity. In the business and industrial worlds the only disturbing element at present is the la bor situation. The coal strike is still in force, contrary to expectations, and new enterprises are likely to be de- ferred until more settled feeling is obtained in labor circles.
 The technical situation of the market has been somewhat confused by clique operations in corn and the unexpected movement of funds westward to carry out this deal Whether this money will remain at the West until crop demands begin or not remains to be seen; but it delays the building up of reserves at this center. Fortunately, expected gold exports did not occur, though there is little to fear in this respect except the moral effect upon the market. Our do- mestic production and K1ondike arriv- als of gold are likely to keep us we'll supplied, and London is already getting the benefit of increasing receipts from the Transvaal. Soft spots have been detected here and there in the market, which encouraged light attacks by few bold operators; but good sup port seemed forthcoming on all im- portant declines, and thus far there have been no signs of a break in the forces which have held the market to- gether for the last twelve months. Un- til the crop outlook is assured we may look for slightly unsettled market, but the general situation remains sound and promising, and there is no occa- sion for loss of confidence during the remaining summer months, which as usual are likely to be period of re- euperation. At any rate good railroad stocks promise to be a purchase on de- decided reactions. The July investment demand has not yet made itself fully felt; and, as these disbursements were unusually heavy this year, buying on that account must ultimately have some influence.
 HENRY CLEWS.