The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1903-12-07
Selling Movement Followed the Clos
ing Out of the short Interest and
Removed a Factor of Strength.
TRADE IN PROFESSIONAL HANDS
THERE is VERY LITTLE OUTSIDE IN
TEREsT In THE MARKET.
Monetary Conditions Continue Favor
abIe-New York Still Dominates
the Exchange Situation.

-
doubt and hesitation in to-day's stock market
which quite naturally followed the appearance
in yesterdays market of signs of a elimination
of the rise. Yesterdays large volume OF deal
ings and the small net changes in prices pointed
both to heavy realizing and to large short cover
ing. While the realizing is a strengthening
factor of the market, the reduction OF the snort
interest deprives it OF a technical factor or
strength. renewed advance in Brooklyn
Transit, followed by the local fractions. Cd
tanned little following in the general list A
selling movement followed. which carried num-
Der of the leaders such as Pennsylvania, United
States Steel preferred and Amalgamated a point
under last night. A feverish and irregular re-
covery succeeded on the publication of the bank
statement The gain of half million dollars
in cash reserves was an agreeable surprise COM
pared with the expectation of a decrease OF sew
eral hundred thousand dollars. and 1t Is sup
posed to be due to the making up OF former as
crepancies the other way. The increased loan
item of a little a million dollars was not
disturbing. The market closed steady and not
far from last nights level The sterling ex-
change market was weak and declined further
to a level which will assure the movement to-
wards New York of any available gold supply in
foreign money markets.
The temper of speculation in stocks has I'M
dergone a change this week and prices have .ad-
vanced in a broadening market. Commission
houses report that there has been little growth
in outside order business, and the movement Is
supposed to be principally due TO operations Dy
professional traders and habitual operators or
the wealthy class. But the technical signiff-
canoe of the movement is probably not less on
that account. Operators in stocks for long
time have found their only success on the side
of receding prices. This week the market gave
tba hear al ed
of their recent successes in forcing out sales Of
stocks when they offered prices down. Among
the industrials, especially, which have suffered
such drastic scaling down of prices the urgent
demand to borrow stocks for delivery. which
commanded premium in some cases. gave
warning Of danger to the shorts and prompted
buying to cover The early covering movements
among short spectators of the smaller class did
not at first disturb the more powerful operators
on that side of the market. and they were In
clined to avail themselves OF the rally In prices
to put out fresh lines at the higher level a,,
through the week. an extended short interest,"
was thus left uncovered until past the middle OF
ment OF a stronger and more persistent character
than any heretofore reached was being driven
an awakening Of decided animation In the
market The fears Of the shorts We're aggraJ
stocks had been going on by the great capital
and banking combinations whose operations con-
lions as to general conditions and their ulti-
mate working out. The recovery In prices gained
force and proceeded in the face OF various news
factors that were unfavorable but which had
to do with conditions that have been more Or
less foreseen and have been an element in the
speculation for decline for some time past.
These developments are met with the growth of OF
has occurred in the price OF securities already
has been sufficient to discount the worst that
could happen trade reaction and contraction.
The sentiment over the industrial future also
has grown distinctly more hopeful. This Is
especially marked in regard to the iron and
that the decline in prices has met a revived de-
mand. which promises some consumptive alb
measures of economy ALREADY and also in
temptation and the reduced freight rates on
steel products for export arouse hopes Oh an
The money market has scarcely shown the
expected relaxation following the completion OF
the December settlements. Conditions abroad.
a well here. promise continuance of firm
money for the rest OF the year. But II is made
exchanges and the statistics of international
trade that New York commands the exchange
situation. New Orleans and San Francisco have
made further acquisitions on New York for cur
rency during the week. and additional shipments
demand for crop-moving purposes has come to
an end Gold for import has been secured in
the London market whenever the movement %. OF
holders of exchange on London TO hold up their
collection and leave the proceeds on loan In
shipments of gold from Japan to San Fran
cisco San Francisco's exchange needs are
Australian crops have thrown the advantage OF
exchange in that center. San Francisco finds IT
exchange claims TO Japan and to take gold
from there in compensation The movement
serves as a relief from the San Francisco de-
The bond market has been somewhat irregular,
but has grown stronger In sympathy with
stocks. United States twos and the new tours
declined one-fourth of 1 per cent. below the
closing call of last week
Following Saturdays share sales and the
recorded price changes.