The St. Louis Republic. [volume] (St. Louis, Mo.) 1888-1919, 1903-01-18
PUBLIC IS Indifferent
TOWARD STOCK MARKET.
EFFORT TO TAKE PROFITS
CAUSES BREAK. IN PRICES.
Reactionary Tendency Has Been
Shown All Week, Without
Any Distinctly Bad
News

New York, Jan. 1.-THE public apathy to-
ward the stock market was increased to.
day by the effect of the publication OF the
very favorable bank statement. Traders
had bought a few stocks In anticipation OF
the good showing by the banks. but their
attempts to take profits after the publica-
ton caused a melting away of gains, and
in some cases their total wiping out. The
known movements of currency statements
gain Of $500. 900 to 5000. 900 in the cash
item. but the actual gain by the average
system Of computation shows a rise OF up
ward of $l2, 100000. Last weeks statement
understated the amount of the actual cash
gain by about the amount that to-day's
statement overstates it, which is not un-
in the week. To-day's large loan increase
is normal to the season, but there has been
no evidence 81 a the eos employment Of SO Large
this week, and 1t is supposed that syndicate
operations ,ppee5s ID 1s,s unknown ITO to the people e, have ,ha ig-
plus amounts to s., 406.S SIS.
LANGUID INTEREST.
TIL comparative ease which has been re-
ported in the money market left only a
languid interest in the bank statement.
Chicago Western "B." Louisville. Great
Northern pfd. and American Car made any
noticeable show of strength and their gains
were not well maintained. '1n!ernattcual
Power was run up 9 points. but dropped
back 3. The market closed irregular. The
stock market has shown a r~eactionary ten
dency, this week without any distinctly I'M
favorable developments in the busines sit
uation to account for the change In scnti-
ment from the week before. when opera-
tors in stocks seemed to feel great conf
dence in a higher mi Of prices and in
the usual January boom.
TECHNICAL CAUSES.
The action Of the market is seemingly due
to technical causes. The speculative pools
have desisted from their efforts to boom
prices or have found that such further eff
forts as are made do not attract a large out
clear. but the consideration has reverted to
investment values. with a result of causing
some concession in the buying. There
also amongst the so-called pools them
selves. The makeup of the pools Is never
a matter of well defined knowledge. but the
dominant elements in them are known to
be capitalists and wealthy men Of ample
resources. The most influential class Is
made UP of financiers whose connections in
clude not only railroad and corporation
ownership, but influential ownership also in
the great banks and trust companies upon
which the country's money market Is large
Another class Is made up Of men of
wealth without such widespread connec-
tons are singiy designed for the profit Of a
change in the price level, whether up or
down The people made up of the latter
class were under considerable pressure dur
banks and large money-iendins institutions.
and were admonished in effect that the
large. speculative commitments and that
the time was not propitious for pushing flo
tations or projects involving new capital is
sues.
READINGS CONTROL.
The disclosure of the purchase of control
Of the Reading by the Pennsylvania and
Vanderbilt interests indicated that the pur-
pose of new aims had not been suspended
by large capitalists even during the period
when the activity of the stock-market
cliques was sought to be .represssd. The re-
newed actisi,y Of thhis siaSs; following dss; the the
lieved to have been tinctured with some. re-
sentiment over the tine lost for themselves
in dispo sinE,,s of holdings sTnn, while h avai LIABLE
powerful interests for furthering their "
projects. With easier money-market facili-
ties. they have been prompt to erter upon
pedients known to skillful market operators
to lift the prices and attract an outside. de-
mand.
much of the appearance Of activity and
strength in the recent market has been
due to the use OF such expedients. rather
than TO competitive buying to secure con-
trci Of railroad systems, or maturing fnaT-
cial projects. PROMISING attractive profits In
the market for securities. Some of the
pools. in attempting to sell their holdings
stratcd the feebleness of the general de-
mand and have made inroads On prices
There are very few prominent railroad
is 5 per cent or even az per cent at ruling
prices. The eTywipe cost of operating and
the rising tide of wages make more doubt
FIJI the prospect of inusease in the rate OF
dividend disbursement. even in cages when
there are large surn!us earnings over the
present dividends. From time to tir1e there
ere sales on the exchange at wide declines
OF so-called .gilt-edge investment stocks