The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1903-05-11
in WALL STREET
SPECULATION HAS BEEN DORMANT
AND PRICES ARE LOWER.
Many Influences at Work to Prevent
Extensive Commf time nts-Future
Demands ON Money Market.

NEW YORK, May 9.-Desultory profess
sional trading was all that was in evidence
in to-day's stock market The tone was
heavy throughout, and traders professed
considerable apprehension over the outcome
Of the situation in Manchuria. The bank
statement was also disappointment, as the
gain in the surplus reserve was only about
half the amount expected from the reports
of the known movements Of money. An
other loan increase of over 100000 was as
cribed to the continued transfer OF debts
from foreign to domestic lenders, which has
kept UP the rate of exchange during the
week TO near the gold export point. The
question Of an outgo of gold next week is
left open, as money and discounts were firm
to-day in London, and the exchange market
kept firm tone in spite OF dullness incident
to the Saturday market. The special heav-
mess shown by such speculative leaders as
st. Paul, Southern Pacific, Atchison, Mis-
souri, Pacific, New York Central and ANAL
gamated Copper was attributed to opera
lions by bear faction, which was designed
to influence sentiment in the general mar
ket. The selling of Rock Island was accom-
market of an additional issue of stock in
volved in the st. Louis & San Francisco
acquisition. A APPOINT break in Metropolitan
securities tended to aggravate the depres-
sion to some extent. There was no percept-
bic recuperative power in the market, and
the close was easy at about the lowest.
There was some selling of bonds as we'll,
which made that department easy.
The immediate influences on the narrow
movement of prices in the stock market this
week have been of minor Importance. Con-
siderations which really dominate the mar
ket for securities are of wider range. and
extend so far into the future as to prompt
waiting attitude rather than active oper-
atoms. Speculation is depressed and at
times almost stagnant, with the uncertainty
of the problem to be worked out In the finan-
cial world during the coming summer and
fall. The condition of the money market
is so easy now as to afford relief from any
pressure OF liquidation. The scarcity of the
supply of stocks makes a constant tempta-
ton to the professional operators to work
for an advance. But they fail to attract
any interest In the market, and their occa-
sional attempts to take profits demonstrate
that they are practically alone on the buy
Ing side. Speculation Is, in consequence
little more than a game between traders in
which the most subtle and agile wins at the
expense or his fellows. The bulls made a
demonstration for an advance early I'm the
week with the high-priced coalers as lead
ers. They had as basis some coming
changes In the directing forces in Delaware
d HUDSON and the very profitable business
at present enjoyed by the anthracite coal
interests supplying the requirements sus-
pended during last years great strike Rail-
road earnings generally, as reported this
week, nave shown some striking gains both
In gross and net earnings over the corre-
Sha
ings have been effective in some individual
stocks In nfting prices. In other cases they
the copper and silver markets have been the
occasion OF some speculation in the Mexican
railroad stocks and Amalgamated Copper.
Anxiety over the possible harm to the
wheat crop has become somewhat allayed
by the Weather Bureaus weekly bulletin
and by the liquidation evident in the wheat
market The admitted damage to fruit and
TO cotton has had some depressing effect
The government monthly repsrt is awaited
for more comprehensive knowledge of the
condition or the winter wheat crop. The
and the ST. Louis G. San Francisco sys-
TENS has reappeared as factor The mvs-
terry still maintained by the movers in
the plan and the mixed views held as to it's
effect have deprived IL Of great stimulating
effect on stocks. On the other side of
| the balance are various factors The I'M
rest in the labor world is seen to be of far
reaching consequence. There is not so much
fear of unsettement by strikes as of the
constant rise in cost Of operation OF indus
try and the consequences in reduction OF
net earnings available for distribution to
shareholders. Reports from the West OF
decrease in freight traffic of the railroads
is attributed to the unwillingness of manu-
| facturers to expand their operations in the
present state OF uncertainty over the labor
| outlook.
The present ease of money has not OBJ
| In that field. The large loan expansion by
the New York banks in face Of the stagna-
ton Of speculation in stocks is regarded as
significant of the demands overhanging
| the money market. The recent large repay-
ments of our foreign obligations are demon
strated by this DOMESTIC loan expansion not
| transfer of obligations from foreign to
| domestic lenders. Attention is attracted to
various syndicate underwriting and cor
poration loan requirements which are to
| be met and which will necessitate the con-
servation of money requirements if disturb
| ance is to be avoided. The course of for
| eign money markets has to be considered as
| well, and the sustained strength of the ex-
| change market this week near the gold
export point keeps alive the immediate in
| trest in the question. The issue of the
| sl5oOOO.OOO Transvaal loan easily explains
4 the immediate direction of capital towards
| London. But the subsequent course of
the worlds money markets remains a sub
| ject of conjecture. The retention of the
| Bank of England rate at per cent. i'm
| face of this government operation and in
| view of the very strong position of the
| is suggestive of the measures of protection
| for the London money market from outside
| demands. The large amounts of French
l and German capital at present employed in
| London explains this necessity. The recent
| fotation of the imperial German loan in
| duced large Withdrawals of German capital
| from London, balances Of German banks in
| London having been reduced between 81
! and IS per cent, according to London finan-
| cial authorities.
The tone of the bond market is rather
better than that of stocks and reflects q
| moderate investment demand for well-se-
| cured mortgages offering good return
| United States new tours declined Il as
| compared with the closing call of last week
| Following Saturdays share sales and
| the recorded price changes:
High Low Closin,
4 STOCKS Sales est. bid
| Atchison ................... 1910 50 79L 7sa
\ Atchison pref. ....... 357 g7k 967s s65,