New-York tribune., 1903-05-18
WALL STREET SITUATION.


Commission house trading is practically at a
e+on5s.rl as far as operations for long account
ere concerned Holders Of stocks bought at d
higher level while confident Of better prices
later on IL the year. are forced in some cases
10 throw over their securities owing to the eA-
pensa Of carrying stocks on margins and 10 'rie
necessity Of finding ready cash Tor otheT pun
noses There are also some holders VINO aIe
rar,rp their long stock and taking a position
on the short side Of The market, on the theory
rbst II prices VIII rot advance they VIII oe-
-,;,e Operations of this character were sue
cessful last week as quotations moved to"aIo
= lower range in the greater part OF the 1liIe
Various reasons are set forth pUTporuhg 10 en-
plain the current Disappointing condltlol Oh IA
fairs 3n the stock market. and although II IS
admitted that conditions governing the aC'Ua'
worth Of securities are growing stronger II Is
--.,,,s,,e-d in some quarters that there is still
enough uncertainty over the prooable COURSE
~ .be money market in the next few months
q -se.-ic4 trading: also that the people who
,-sf-,s-s1xy might be counted on to buy secur1-
-.es pre- loaded with stocks which show at
--esant figures substantial losses from tAe
original purchase prices. II Is argued Inrtiiet-
more that the heavy liquidation IN securities ia
the last eight months compelled the stronger
interests 70 b1y more stock than they now care
IN ca-rv. and that they are slowly selling Cd an
available opportunities, their operations seIN-
,ne 70 keep prices from enjoying sustained
adTanoe.
If the process Of liquidation has not yet run
Gee r,,,rse tne market will be stronger in pro
---s,, x-hen the movement Is over, and unless
:, +he mean time radical adverse developments
should arise in the money and industrial si1ua-
tions prices will enjoy as much activity ana ao-.
x-erce as they are row suffering dulness ana
deDresstcn- Bear operators IL STOCKS nave
been favored with number OF factors OF pass
,,z ;n,nortance. They have taken advantage
- every unfavorable happening 10 hammer
,-s1,,es and not satisfied with the real they
t.,,e called into service the fairy tale and folk
,-o e+or5es Of the Street 20 assist them IN their
,e-nn9,rn against prices. In many well IN
formed quarters Il is believed that the out-
standing short interest is much larger thah
shawn ty surface indications Moreover X Is
,bo,,ql,, that the Wall Street atmosphere IS
.--oz-inr dark enough TO suggest 6 speedy preaA
n the clouds An old Wall Street MAXIM au-
v-tses TIE purchase of stocks when everything
.. hire and gloomy In speculative circles. when
as some say, depression is the chief asset OF
+be Street and great fear among traders the
,,-5-c,-sJ characteristics Of Stock Exchange cir
-1e= When all the bear arguments. including
,,o uncertainty regarding the crops, are eK-
oal,sted the fact remains that stocks are sell
ing in the greater number OF cases. Oh a
,,e.7,te,,1 investment basis and much under the
level that generally accompanies PERIODS Oh
r,rosre-itv in the country's industries Ihe
yvau street situation viii doubtless worry
NAM people for q time, but there's no occaSlo4
for uDeasiuess over its future
The labor outlook IS growing more promising
The -a7dencv Of prices IN the iron and steel
--sa % move 70 a more heaIthful level will in
crease the home and foreign demand for the
OUTPUT OF American furnaces. while It Viii de-
crease the volume Of imports, which In the nine
months ended March 81 amounted in value 10
Sas cor. .373. as compared with S11.9ol,o12 in the
same time in the preceding year Not"l1h-
standing the high prices IN iron and steel ahc
TIE disposition in some quarters TO wait for
lower quotations pig iron production is enor-
NOUS amounting in April 70 about l69o'v'
tons while according 10 The Iron Age the
ou-put for MAY viii exceed that of April. as
furnaces showed on NAY ! = capacity Of 3o5.>9'
tons a week against ;;7G5IG tons on April ! or
p total for The month of 100000 tons. These
figures furnish eloquent evidence Of the pros
perity now prevailing in the iron and steel trade,
while they ought 70 silence at once the pesSi-
rnistic talk heard in some poorly informed guar
te-s regarding conditions IL this line Of industry
If further evidence as desired showing that the
trade is still active It is only necessary 20 refer
70 he ret profits OF the United states Steel Cor
roration FOR March. amounting 10 SS@otoOo or
S412U00 more than recently estimated
wan Street has looked with disfavor on the
riotous speculation on the Cotton Exchange. and
The declining tendency that developed at the
close Of the week was. therefore. received with
considerable satisfaction. The decline Whicn
STARED on Friday viii doubtless be carried
further Is quotations are At . fictitious level
while the technical position Of cotton speculation
invites lower figures. 4 return Of cotton prices
10 a normal level viii DC followed by renewal
of the export demand which VAS checked n
AprIL owing 70 the rising tendency OF the mar
ket while il Viii exert favorable lnfuence On
sentiment and business IN local GEygOOOS ClECleS
Notwithstanding the falling of in cotton eX-
ports in April the outward movement OF general
merchandise IN the month was heavier than III
any CORES sponding month on record, with the eN-
ception Of April, 1901 The excess OF exports
over imports amounted in value 10 S2l,oZi.3oS,
naking for the four months Of the calendar
wear an excess of $l49 43.'. SIC, compared with
an excess in the same time last year OF S139,
126l4S Imports we're again heavy in ApTll,
showing an increase fl value Of above Sl6.UDo.-
GOO over the same month in 1892 but decrease
of nearly So 100000 from March For the ten
months OF the fiscal year exports have been
heavier than il aTS corresponding time except
in 1901 reaching the enormous total Of SIZE
20 663 against imports in the same time TO the
value of SA64. I2pSs3. or al excess Of exports in
value Of $3.50. .019.714 In the period under
view imports increased n value Sl10.204 OS1.
while exports increa eased SS3.5S3.276. In view Of
The fact thar exports OF corn showed such
heavy decrease from the preceding year. owing
50 me corn crop failure q 1891 the record Of the
cxuort trade since last July is truly marvellous.
Railroad earnings are heavy throughout the
country. Crop reports stiil favor a record break
iaE winter wheat yield, and current weather
Conditions are taVora DE 10 early planted corn
ard su-.vg wheat Money rates easy and
bankers do ,.0t share in stock nlarkeJ uaders'
1-neas.ncss over the situation. Gold exports
cuce cur obligations abroad and improve the
chances Of imports Cf the metal r. the fall For
eian capital Is seeking investment reflection