The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1903-11-14
SHORT COVERING is
CAUSE OF STRENGTH
Grain Market Grows Firm and
Stocks Show Improve
ment.

Although the wheat market was gen.
orally dull and reactionary yesterday, the
close was somewhat strong, due to cover
ing by shorts. Primary receipts and re-
ceipts in the Northwest were in excess
of the receipts of a year ago, and this
led to lower prices. The milling demand
at Chicago and Minneapolis showed some
improvement.
On higher cables and strength in Liv-
erpool, corn opened strong For a short
time the Chicago operators played the
bull side of the market, but when prices
advanced they took their small profits
couple of good buying orders caught
the pit short and there was a scramble
to cover, which gave the market firm
tone. The close was strong. Oats fol-
lowed corn and the close was strong and
Steady.
The stock market showed some i'm
provement. The better prices seem to re-
suit from covering by the short inter
est and not from investment or specula-
tive buying. A poor bank statement is
expected today. st. Paul was an object
of the bears attack, and, while 1t weak
ened early, before the close the lost
ground was recovered.
What the Brokers Say.
NJ. Doran & Co.'S Chicago grain letter
says:
Wheat-There was little in the early
news to indicate the course of prices. The
sentiment on the floor favored a reaction.
The tone most of the session was dull,
with occasional period of activity and con-
siderable strength at close. The best
prices were made on covering by shorts
and &c of the late decline was recovered.
Primary receipts We're in excess OF last
year. Northwestern receipts were not ma
terially different from last year. Mime
apolis advices suggest smaller arrivals
shortly as result of lowering of country
bids. Minneapolis reports some better
milling demand.
Corn-The unexpected strength in
Liverpool cables started prices higher.
Local operators played the bull side, but
took profits on small advance and went
short, anticipating a repetition of the
course Of prices during the past few days.
A couple of good buying orders caught the
pit short, and the scramble to get in gave
affirm tone to prices Neither the news
nor the specializing public gave the flu
lures any assistance The weather is clear,
with wintry conditions forecasted. The
prompt shipment, but increase in lake
freights and the difficulty of getting YES
sells to suit hindered business.
Oats-Oats followed very closely the
course of corn and ruled very firm to-
ward the close on covering by the short
sellers of the past few days. There was
fair demand for the cash article.
O'Connor & Van Bergens stock letter
says:
In response to a higher London mar
ket, our opening was steady, with frac-
tiOnal advances in some issues, but the
strength did not last, and prices were
run off with pressure to be seen in Penn
sylvania, Baltimore & Ohio, New York
Central, Reading, ST. Paul and Union Pa
cific Bear tips were numerous to the
effect that ST. Paul, Rock Island and a
few others were to be hammered. The
programme was carried out to a certain
extent, ST.. Paul being largely sold and
made to appear weak, but it is almost
certain that considerable short lines were
covered alxuaC
The traction stocks and the industrials
We're strong all day, and it looks as II
liquidation in these issues is over fol-
the time being at least. There was q
sharp rally in the last hour, due mostly
to short covering, and the market closed
firm with prices generally about u to II!
per cent above last nights figures.
J. c. Geraghty & Co.'s correspondents
say of stocks:
Logan. & Bryan-There is an improve
ment throughout the entire list. We can
not learn that the. investment of other
buying shows any improvement, but the
demand seems to be largely to cover
shorts and there is a scarcity of stocks
offered. The banks are making an effort
apparently to prevent advancing rates OF
interest. Time money is said to be Of
fered little more freely. 1t is a hard
situation to size up or on which to have
any confident feeling. The bank state
ment Saturday is expected to be unfavor-
able, but as to how unfavorable there is
a great deal of uncertainty. AS the i'm
mediate demand is largely to cover shorts
we think we would take profits on long
stocks on rallies when We could see them,
Dick Bros.-The market was quite
weak again. but after an early break the
pressure ,slackened and later there was
q, general rally in which short covering
played an important part The early
losses were regained and most stocks
closed strong and showing net gains. The
days news was not important Indica
lions point to an unfavorable bank state.
Jnent Saturday. ST. Paul was put I'M
der pressure early in the day, but later
rallied sharply. Traction stocks were also
strong.