The sun. [volume] (New York [N.Y.]) 1833-1916, 1903-05-07
FINANCIAL AND COMMERCIAL.
WEpNRapAY. MAY {

WEDNESDAY. May o.
To-dsy's security market was broad and
strong. although not active. 1t was natural
and healthy market and In every way salts
factory to those who belive that the tendency
| Of prices is upward What Is known as a
great bull market" Is not expected at this
time. nor is 1t wanted by large financial in
terests. What is expected Is gradua!
and continued rise in investment values
for an indefinite period, because the liquida-
ton which has been going on ever snoe last
September has. according to all normal
standards of judgment. been completed.
| because the earnings and profits Of many
railroad companies warrant an increased
distribution Of dividends upon their shares,
and because the general outlook for trade,
business and crops throughout the country
could not be brighter or more promising
| than 1t is. The attention of all observers
was fixed at the opening of business to-day
upon the question Of gold exports: but
metal shipments by to-morrow's steamer
were obviously precluded by the rise In
sterling exchange in Paris to rs francs 10
centimes.
The Paris cheque fell Off little during
the day and sterling exchange in this mar
ket rose. Ii is not now probable however,
that there will be any gold shipments to
Paris this week. although, of course, II
sterling exchange here goes on rising and
the Bank Of England does not lower its
discount rate, gold may he sent to England
direct. At the close OF our exchange mar
ket last night sterling was about 30 points
below the rate at which gold could be profit
ably sent to Paris, and the consensus among
the large dealers in foreign exchange was
that 1t had become doubtful If any gold
would be sent abroad, anyway. The rise in
the Paris cheque came as surprise to the
houses here which do the bulk of the bust
ness in foreign exchange, and those in au-
thority in these houses declared that the
advance was not due. as Of course 1t might
have been, to purchases of sterling in Paris
made preliminary to gold shipments from
this city. but that it represented the normal
movement of Continental exchange.
If, as now seems almost certain. the
true explanation Of the recent strength in
sterling in this market and in Paris, and Of
the maintenance by the Bank of England of
an abnormally high discount rate, is the
preparations making for the forthcoming
Transvaalloan, the sterling rate at all the
places named and the Bank of England's
discount rate as well should fall when once
the loan has been taken. Some money,
at least, was been RENTED to England
by our bankers for subscription to the new
issue. inasmuch as the loan is undoubtedly
to be issued upon figures far more favor
able to investors than any that the British
Government has recently authorized. The
much discussed gold export question,
. ar ,~ht 1No \ lev ri art-
fled when the Transvaal loan is through
with.
Another collection of splendid railway
for the fourth week in April and |
for the whole month of April was received |
to-day, and, along with the reports of similar
character received yesterday. was the
dominant influence in the days business
upon the Stock Exchange. Missouri Pacific
stock, as being that OF the road reporting
the most phenomenal increase. naturally
scored the greatest advance In prices.
The San Francisco and Rock Island issues
we're all very strong because of intimations
rom authoritative quarters that arrange
nents for the purchase of the San Francisco
Railroad by the Rock Island Company
had not been wholly laid over. as was at
one time supposed, but had been post
ooned merely and would be revived upon
itting occasion. The impression also pre-
railed among those to whom accurate
sources of information are often open that
he Rock Island Company would begin
paying dividends upon its common shares
rs soon as it legally could do so.
Delaware and Hudson held its great
Use of the last few days, and all the promi-
,ent stocks on the security list were very
lrm. The only quarter Of the market,
indeed in which weakness was apparent
vas in the National Lead stocks. These
ssues declined because of the belief that
he proposed merger Of the various
cad producing interests of the country
will be abandoned; but the Lead stocks,
# course. are very little dealt in, and fuc-
uations in their price are Of little market
Importance. On the outside market the
United States Steel bonds and International
Mercantile Marine shares were stronger
md more active than they have been for
considerable time. while in the regular
,ond market none of the new life that
las been recently shown there was at all
dated The change that has come over
he bond market is we'll illustrated in the
price of 94L reached to-day for the new
Ihicago Burlington and Quincy joint As.
These were the bonds by means of which
he Northern Pacific and Great Northern
Hallway companies obtained control Of the
hicago, Burlington and Quincy Railway.
they have risen nearly points since the
lecline in the general market eliminated
wo weeks ago, and this shows how some
undigested securities" at least. are be-
oming absorbed.
lew York stock Exchange 0ales. May O.
(rNrrsp STATES AND STATE BONDS IN d. o0os,.