New-York tribune., 1903-03-02
TIE WEEK IN WALL STREET.

che money market A irmer tendency IN ootn
.,-,. and call funds naturally induced pear
,,-s.Si,ro on securities and checked WhaceNe'
tru enthusiasm may have existed IN CUM
mission house circles. An active oenlaHu to
money from out OF town points, Iose'"el
heavy nsyments by the local banks 10 Ine 0u"
Treasury caused q material decrease >" N
holdings of the frSt-named institutions oIous"
80, hi1bsr lending rates, and caused decline
in sterling exchange quotations Oolo eNPo.'H t'
are ont Of the question at present. out SO iai
-. .he LorsI money market is concerned Ihe
S-.ir for interior and Sub-Treasury account mas
=. much Of an adverse effect as. II not more
char. shipments of the precious metal 10 EuroPe
<,c,I5 bsy,e The chances for and against 1hN
massage Of the AIdFich bill were also lhnueil'di
+.rtors in ;he weeks speculative operauohS' t"e
,,arious repnrts from Washington regarding thlS
,-,.s<,re .,eJning At times the operators for the
s.,,.--s and Al other times the operators Tor an
,svs,ca AT the close Of the week the Street
<,o,,.r. that the bill would become a law at
a., o,ex,sntb hour If currency reform OF the
-h.-so.e- involved in the Aldrich bill is enacted
She stock market ought TO enjoy a temporary
ADVANCE but as it will doubtless be some uIne
tefore the provisions Of the law VIII nelp ''ie
,,onetsrv situation here, prices will he con-
.roIed in great part by the actual posIIlon ol
4be money market for several weeks 10 Colhe-
If the hill fails to pass the situation VIII De no
,,,-se off than il is at present. but dsappoint-
-..-t in VysIT Street circles will undoubtedly oe
rejected in bear pressure in the securites
market.
The ,u5ro of money reflects the growth OF
che coUntry's industries and foreshadoWs pros
1,eritv for many months to come Demands TOT
large corporate enterprises Will be heaVy thls
wear Railroad combinations, extensions and
improvements will call for many millions OF
dollars iusz1ring therefore an active oemaho
for funds in the leading financial centres. MAX
ing a plethora of money impossible ana nam
+afripx lending rates at firm figures Time
money ruled at ) per cent at the close OF the
Ice. u,esk for three five and six months per1oos
and IL wss quite generally believed that lower
Yates for 2 long time to come would be eN-
ceptions Higher rates for money at this centre
will attract funds from other points. ana II our
merchandise exports continue to expand anu Ilie
,orice for money rules at a stlh rate for a pro-
4rscted neriod gold will undoubtedly ne ln1poTueo
srorn Europe Clearing House banks sno" d
es.r,,e above legal requirements Of $o.9ol'Noo'
AGAINST SqaT5a25 at this time year ago anu
s14sn1 100 in 1901. Loans are heavy but tort-
,,netelz this expansion is not due TO specula-
.i,-, ,,1erat;ors in stocks commodities. but 10
,srSe financial transactions connected with cor
r,crste enterprises and foreign exchange opera
1ions Although the loan item Of the Ne"-AoIA
hanks amounts TO enormous figures. II snoulo DC
horne in mind that this account is packed nE
sound collateral and by the industrial prosperity
of the country There is no especial danger
in the expansion Of bank credits Wheh ule
money borrowed goes into channels that bullo
,,n soIid business undertakings Big bank loans
.re tho natural sccompa nment of 1nduStr1aI aC-
tiyttv With the country's business on solid
foundation with the standard of value hrmE
estah hlished on a gold basis and with a raploIy
growing export trade, there Is no reaS0f' tut
alarm i'm light bank reserves and record break
inz loans The only unfay'orable feature OF the
;,,,.t;on is the constant withdrawal Of funds
from, the channel { trade for federal Treasury
account. hut this VIII ne renioNe4 Ii 'iie tO'
hill becomes a Law.
That hie deals involving many railroads are
,,endinE is reflected in the passing of the contro
,.f the ST Louis and San Francisco system 10
the, Rock Island. in the activity in the Wabash
stocks and in other we'll known signs and lnol-
cations Buying Of the Wabash shares last
week which came from good sources, was ac-
,o,,,rauied by reports that Pennsylvania Rail
road interests had bought enough of the stock
to entitIe them to representation in the Wabash
directorate 1t is hardly probable that the
t:orIds Will permit the control of the Wabash
70 he shared by the Pennsylvania people. Wa
hash preferred has enjoyed A striking advance
IN the last two months. but friends of the COM
many predict still better figures for this issue.
as we'll as for the common and all the so-called
Gould stocks. Earnings Of the Gould South
western roads are steadily increasing, exceeding
all past records and giving promise of ending
the year far beyond the estimates made by con-
servative observers.
throughout the country earnings are enor-
NOUS Net returns for January show the effect
Of heavy expenditures on the various properties
and the increased ost of labor and supplies,
hut. despite the last named factors, surplus
earnings are in the case Of most roads paying
dividends far beyond dividend requirements
Factors in the general business world encourage
the holding Of securities. They should strength
en- the confidence Of investors in the value of
fheir stocks and bonds. and induce patience
among speculators. who are anxiously hoping
for profits on their holdings. An active bull
market is still looked for Ivy the best judges in
the Street, although il il admitted that the
money marker situation viii ne in better condf-
tion to handle bull operations six weeks hence
than It is al present
On the decline in Friday and Saturdays mar
kets excellent buying was reported People of
means apparently willing to take stocks
declines on the belize that higher prices will he
made later on in the season. and il is worth not
ing that they are favors bly, disposed toward the
cheap and medium priced issues. At the
rnent traders are besrisfl. owing to the unfavor-
able developments in money. There is. how
ever. no apparent UBeasiness among important
market interests. although there is a growing
disposition to discourage activity in stocks. De-
ciines are not accompanied by investment liqui-
dstion. most of the current sales representing
operations for the =hort account.
-R
GOVERNMENT BONDS.