The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1902-07-13


| advance prices was held in check today
| by the fears that poor bank statement
would induce selling of stocks. This
check was removed when the bank
| statement proved Unexpectedly favorable,
and the market closed firm, with the
| average level of prices at about the high
| est.
| The principal evidence of strength was
| in the grangers, especially the corn car
yesterday, took up the leadership today,
while Missouri Pacific hung back until
the late dealings, when it rose on large
dealings point. Rock Island rose four
points to level two points higher than
| yesterdays highest but the dealings
We're small and the gain was not well
York Central was apparently due to sup
port in view of the decrease in gross
earnings reported for June by the sysz
tenn.
industriaIs Depressed.
The industrials were somewhat de-
pressed, but recovered in the late rally.
The banks lost in cash less than 81, 000. 000.
compared with expectations of decrease of
$4,000 600 Adding to this the $4,107, 600
| of upwards of $40. 900 900 in the reported
decrease of $16.4 49, 500 in deposits. 1t will
be remembered that last weeks loan in
reflection in the deposit item. TodaY's
discrepancy is explained as due to a
process of rectification under the abstruse
system of averag used by the banks in
| their computations.
Glance at the Ended Week.
There has been considerable activity
| and strength in the stock market this
week but it has been of an irregular
| character and confined to comparatively
| few stocks. 1t is sufficiently obvious
that the prevailing sentiment amongst
security holders is one of confidence in
the maintenance of the prosperous condi-
lions of the country and the continuance
OF the present earning power of securi-
show no disposition to part with their
property. but no general public demand
FOR stocks is aroused by the tactics of
the party which seeks to lead a bull
movement The active leaders seem to
feel themselves exempt from danger of
a str1ngency in the money market and
atlons from one quarter of the market
| TO another, but combining their operations
to few leading stocks in each group.
Strengthening Influence.
The sympathetic influence of these spe-
cal movements upon the general list has
| oeen strengthening. and it is highly prob
able that they are designed to support
values to some extent and thus to guard
the credits which the same large inter-
ests are employing in other projects of
magnitude: 1t is novelty for large in
terests to be committed at the same time
to the long side of both stocks and grains
Yet 1t IS generally assumed that the So
called western contingent" which con-
trolls the corn corner in the Chicago mar
! ket, is also the most influential element
on the bull side in stocks. .4t
This is explained by the fact that the
grain speculation is in the remnant of
last years deficient corn crop, while the
prospect for next years crop in present
conditions is considered excellent. The
government crop report of conditions as
or July l, published on Thursday was
taken as confirming optimistic ideas of
the coming crop and the rains reported
as doing some damage during the week
| nave not been sufficient to disturb the
general confidence in a favorable out
come.
Large Railway Projects.
An important influence also in main
tanning prices at a high level is the gen
eral conviction of large projects for ex-
| by existing large railroad interests, or by
newcomers in the railroad world For
| many years the control of the large rail-
road systems of the country have been
felt sufficiently secure by the centralized
holding of minority of the stock The
Northern Pacific episode and the passing
OF control of the Louisville & Nashville
and as mere incident in a speculative
turn in the stock, have taught the lesson
that In the larger modern order of things
more easily effected
1t is likely that the prices maintained
Tor some stocks are due to the purpose
| OF insiders to discourage its purchase for
control In the open market. The desire
to control Reading is attributed to va
nous rallroad interests, and the same is
|
some other systems. The high prices of
Such stocks are urged as an argument
Tor an advance in other stocks in analo-
gouS circumstances.
Future overdiscounted.
In the industrial field. on the other
hand, the press of consolidation and of
! excessive capitalization is felt to have
! oVerdIscounted the future, and this class
| OF securities continue to sell at prices al
lowing a return on money invested such
| as would invite immediate absorption in
| the case of any railroad stock
Inc weeks events in the money mar
ket nave given convincing evidence of the
| enormous capital requirements of the
| country growing out of the unprecedented
! activity in all directions. Millions have
Deen shipped to interior points by the
| New New York banks and foreign bankers in
New York have renewed their borrowing
| IN foreign money markets This foreign
| borrowing has averted an outward move
ment of gold, which is thus shown to be
more urgently required at home.
| Due to Corn Corner.
| The eXigencies of the corn corner in
| chicago are assigned as a reason for the
| large demand for currency there b,lt
| the demand comes as we'll from South
S g points ana CnlcagoS demand is re-
| fected from large demand upon that cen
| ter from Western and Northwestern
! points. The banks of the countrv at
| large are, in fact. withdrawing their de-
pos1ts from the reserve cities for their
| own SO. nome needs The active demand
/ 1or money may be one of the most irnpOr-
tant indications of a country's prosperity
up. to the point where productive enter
prize outruns consumptive needs. But
active trade demands for money are
| commonly looked upon 20 Interfere with
speculative activity in securities.
+, LheTe mas been fairly large absorp-
ton OF bonds and rather irregular
funding rs have declined ". the new IS
anu ola IS registered y and the old as