New-York tribune., 1903-04-28
BONDS.
THE DAYS OPERATIONS IN STOCKS.

THE DAYS OPERATIONS IN STOCKS.
Stock market trading was light in volume on
an Irregular movement of values Early prices
exhibited an advancing tendency cue IN siea'
mart to covering of short contracts. while IN tne
afternoon dealings heaviness developed WIN
net losses in most issues at the close. Inc id'-
+ar movement was not accompanied by large
operations OF important liquidation. the oecnne
representing little more than the TRANSACTIONS
Of traders who changed to the bear SIDE OF 'he
market because of the failure OF the morning
advance TO attract commission house DuyIlS-
Strength In sterling exchange talk OF goio eA-
ports and a disposition to believe that the 1orlh
coming franchise tax decision will be in favor OF
the State were advanced by room traders as
ADEQUATE excuse for lower prices. but genuine
l,ol5ers Of stocks failed TO any strength IN
the argument and as consequence there We're
no sales Of moment for long account Ii the
franchise tax decision is against the corpora
tions some foolish holders may be induced 10
sell while professional operators will douotIeSs
make a vigorous demonstration against values
If the tax is upheld the local transportation ana
gas companies will not be forced into bank
ruptcv; indeed, their dividends will not be
affected. as earnings are now beyond dividend
7eouireuents after all charges and taxes, in
ciuding an amount that would be paid II the
lord Franchise Tax law should be upheld by
the Court Of Appeals In the case OF Mar1hat-
tan and Metropolitan dividends are guaranteed
The people who guarantee these dividends are
too intelligent and too well Informed regarding
the earning power of the local railway corpora
+iors 70 offer a guarantee If there were any
chance Of taxation eating up income TO an eA-
tent that would affect dividends, Activity IN
yesterdays market was confined to the leading
railroad issues and Arnalgamated Copper IN
+e~,ational Power on small dealings declined
~ points doubtless representing forced selling
Elsewhere there were no striking changes. Total
dealings were under 100000 shares
Receipts Of grain al Chicago last week. al
though slightly under those Of the preceding week.
were well above the record Of the same time a
wear ago At primary points receipts OF wheat
were upward OF 100000 bushels more than in
the corresponding period in 1902 and Of corn
there was a gain Of 141 900 bushels, while ship
rrents from primary points showed an increase
Of about 100000 bushels as compared with the
same week last year. The current movement
Of grain in the West and the growing home and
foreign demand for breadstuffs foreshadowed
heavy volume Of traffic on the wheat and corn
carriers In the year, and as a consequence
continuance of the present record breaking
earnings Railroad earnings compare with
period year ago. when traffic was active. II
was thought in 1902 that gross earnings had
reached their maximum and that net earnings
were on the down grade. but new records are
now being made in gross returns, while net IN
come IS steadily improving and. IN the case OF
most roads rapidly making up the falling on
that developed in the first half Of the fiscal year
Troproveroent in net earnings will increase the
intrinsic worth Of investment securities. There
are a number OF exceedingly cheap railroad
securities that ought TO become popular as
result OF rising tendency in net earnings,
which increases the chances Of dividend returns.
and Il Is more than probable that activity in
these issues viii develop just as soon as the
stock market begins 10 enjoy a broader move
rnent The market is intensely dull at the mo-
rnent Its chances OF gradual improvement are,
however. bright.
So far the public has exhibited no disposition
70 trade actively In stocks, but on all declines
buyers OF large financial resources have accu-
rnulated securities. The market has now
reached the position where 1t is safer purchase
than q sale fact which is appreciated by
professional traders who are bulsh for a long
pull. operating the short side for quick
TUFTS only. Money and all other factors are
moving In the direction Of higher prices for
stocks and unless there should some totally
unexpected development affecting adversely un-
deriying conditions quotations ought to follow
natural Influences and toward a
advanced level. Call money ruled at 21s per cent
yesterday. and time funds were offered at liberal
terms. The effect OF the ease in the loan
ket was reflected IN foreign exchange, in which
demand sterling again firm and higher.
There is call for gold in Europe from this
country. and Il is not considered likely that gold
shipments, If made from here. will amount to
important figures, while it is thought that gold
imports viii be made by the United States in
the fall Our merchandise credit balance aboad
is expanding and foreign loans are being rapidly
HQuidated- The volume of foreign trade is
heavier than ever before recorded, and there are
indications that point toward a reduction in
the next twelve months Money rates may rule
hrmer over the first OF the month, owing to May
disbursements
The DAYS OPERATIONS La Rnnns