New-York tribune., 1903-05-27
BONDS,
THE DAYS OPERATIONS IN STOCKS.

A moderate recovery in prices marked the
course of yesterdays stock market trading
Advances were not extreme. compared Win
recent declines. and they were not accompanied
by a genuine bull demonstration in any part OF
the market. dealings representing in great part
buying for the short account and quiet purchases
for investment interests In view of the severe
decline that has taken place in securities values
The upward movement that developed yesterday
ought TO continue. but there is no certainty that
Il Will Opening prices were strong. BY mid
day however the market became duh and
heavy. with number of sharp declines. notably
IN Rock Island which lost nearly two points.
Subsequently a fairly active buying movement
developed. and in the last hour the entire list
showed marked strength and substantial net
gains in the greater number of issues. ST Paul
led the advance, just it led the decline Mon
day. while Atchson. Baltimore and Ohio, Cana
dian Pacific Missouri Pacific. Pennsylvania
New-York Central. Southern Pacific, Union
Pacific and United States Steel preferred
were also active strong features. At the
close sentiment was generally bullish, and II
WAS thought that the market had seen the
last Of forced liquidation for some time to come
Sterling exchange was strong while money rates
remained easy Colo TO the amount Of S@Nf'ED
was taken for export to Paris
There was little public interest in stock mar
ket trading, and TO apparent disposition on the
part Of the larger interests TO encourage the e1-
pectations of a sustained advance in prices al
present Nevertheless there were some obserV-
ers who believed that stock bought at present
prices would prove profitable in the course OF
the next few weeks. this theory being based on
the idea that the market is oversod and readE
for a speculative move in favor OF the oulls.
Stocks are certainly cheap and they have more
la <raf in q
situation. yet the powerful bear party that has
been working against the market has not dis
banded and evidently is still prepared TO put
further pressure on values. Stock market move
r7a7ts generally are carried to excess and so.
despite the big declines that have already taken
place from the best prices of the year, further
downward turns are possible. Stocks, however,
gre now selling at attractive investment level,
and people who have capital available for cash
purchases will lose money by buying the
good issues and storing them away in safe de
post boxes There are many good reasons for
the purchase for investment account Of such
stocks as Atchison preferred. Baltimore and Ohio
preferred. Southern Railway preferred, Erie first
preferred and Chicago Great Western preferred
A These issues are solid dividend payers sell
ing well under par
Pennsylvania Nep-York Central and ST Paul
are II IS said in various Wall Street circles.
slated for lower prices These stocks are already
from 80 70 81 points under their best figures
Of the year and there IS no known reason N
their investment worth that warrants a further
6epreciation in their market value. Pennsylvania
new stock has been largely oversubscribed on
the underwriting syndicate's books. but Of
course the fact that the company was forced
10 employ the services Of bankers TO make the
stock sell has created bearish feeling on this
issue that will require long time TO remove
/. market values measure investors ideas Of in
v.srr7ent worth Neu-York Central which pays
per cent less than Pennsylvania is considered
more valuable than the. latter which sells al
about l27 against 126 for New-York Central.
II 81 Paul is maintained on per cent oasls
tts present price will doubtless appear cheap
"a few months hence. while II a reduction is made
10 3 per cent 40 viii be Il fair quotation
large amount of 81. Paul that has been held in
speculative accounts for the last year has come
on the market in the last ten days, and II IS
likely that the greater part Of such sales has
gone into the hands Of strong investment in
terests Speculative losses 81. Paul have
been enormous as the majority of recent sales
represent stock bought At pri2es ranging from
20 to 30 points above the prevailing level In
all stocks spe e-ulative losses have been heavy.
and this fact will materially serve TO check bull
activity.