The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1903-02-01
WEEK in WALL STREET
PERIOD OF DULLNEsS, WITH VERY
FEW SPECIAL MOVEMENTS.
Car Shortage Influences Exports, Cur
failing the supply Of Exchange
Bills-Easy Money Market.
DIRK. Jan. 31.-The stock market

NEW YORK, Jan. 3l.-The stock market
was a merely nominal affair to-day and the
traders who sold yesterday bought to cover
on the belief that there was no warlike
threat in the Venezuelan situation and that
the labor dispute on the Union Pacific had
a less serious aspect this morning than was
reported yesterday. There was continued
absorption of Delaware & Hudson, which
was explained as being due to reports of
very large current earnings. The extra
dividend of 4 per cent. on Northern Pa
cific had not been foretold, but il was
without apparent effect on sentiment. AS
Northern Securities is practically the sole
owner of Northern Pacific and as the in
crease in the Securities CoInpany's divi-
dend, already made, was pres lmably based
on. the Northern Pacific extra, the episode
was allowed to pass without ripple. In
terest centered in the bank statement and
even more in the days clearinghouse fig
ures. The latter disclosed that the balances
TO be settled beween the clearing house in
situations for the day were the largest In
the history of the clearing house, reaching
a total of ,9i9. The semi-individual
debts and credits of a few of the largest
banks in the association made ii seem evil
dent that some financial transaction of
great magnitude was carried through to-
day. The subtreasury had large credit
balance due to the payment of a Central
Pacific note to the government. The large
loan expansion for the week was attrib-
uted to the Pennsylvania loan, which is
authoritatively stated to have been nearly
S40,000000. 1t is generally believed that
considerable portion Of the loan was taken
by foreigners and was thus a factor in
the easier tone of exchange which devel-
the banks by the railroad company of the
proceeds of the loan has been responsible
for the free supply of funds which devel
oped yesterday in the money market. The
market sold off after the bank statement
and closed dull, but about steady.
All through the week there was little to
arouse the market from its lethargy. Its
occasional fits and starts were due to the
efforts of the professional traders to feel
the market and to anticipate any new
movement that might possibly develop.
There has been outside response to these
tactics, and every movement, of whatever
proportions, has scarcely lasted day out
Some real sustaining force for values was
the DetleT DIS 10 the Venezuelan SIT
uation. For the first time in several weeks
the impression in Wall street has been
strong that all parties to the trouble were
anxious to be well out of it, for no other
motive than the settlement of the claims
as presented. The incident has had senti-
mental effect in financial circles rather
deeper seated than appeared on the sur
face. This was partly due TO the unpleaS-
ant features of the Venezuelan panic at the
time of President Cleveland's boundary de-
cision. The mystery which attaches TO the
diplomatic initiative in the matter, and the
surprise occasioned by the common action
of Great Britain and Germany, kept alive
for a time a suspicion that the movement
marked some far-reaching policy designed
to test the Monroe doctrine, and thus neces-
sarily calculated TO provoke war. Last
week s market closed with the Venezuelan
question causing considerable anxiety. The
recovery on Monday, therefore, was quite
sharp. The striking point for the traders
to notice, however, was that there was no
revival OF activity in the market, and ii fell
back promptly into it's narrow swing from
day to day. Meantime the undertone con-
dnueS pretty firm
The subject of railroad earnings has re-
ceived interested attention owing to the
numerous railway systems which made re-
| turns of their net earnings for December.
The December return was looked for with
| special interest owing to the fact that some
| of the increase in freight rates went into
| effect in December. These increases were
| expected to cure the prevailing tendency
| for growth In operating expenses to over
take increase in gross earnings. With the
| sole exception Of the coalers the December
returns show the decreasing tendency of net
earnings still in full force. All branches of
| the railroad world and all parts of the
country figure in the showing. In the case
of the coalers, on the other hand, the De-
| cember statements of the New Jersey Gen.
| trail and Erie show the most prosperous
| conditions in the history of the trade as a
result of the large coal shortage caused by
the strike and the rush of the supply to
market: The dominant feature in the whole
railroad situation seems to be the striking
inadequacy of railroad facilities to accom-
modate the traffic offering. Car scarcity is
| a cry heard from many quarters, which is
soon followed by complaints of lack of en-
| CINE power to clear the yards. Freight
blockades are the order of the day, and
| serious embarrassment is caused by non.
| delivery of some forms of raw material
This is particularly true of the iron and
\ steel trade, and the grain movement has
| fallen off in a marked degree for lack OF
| railroad equipment. That such a condi
| ton of affairs should exist after the ex.
traordinary OUTLAWS of the past few years
| for new and more effective equipment by
| the railroads is conclusive evidence of the
| flood tide to which business has attained. ,
| The obstruction felt by the grain move.
ment has had some effect on the export
| business and the prices attained by wheat
| evidently had discouraging effect on the
| foreign demand. The heavy liquidation OF
long wheat during the week was a cause
! of special satisfaction for this reason, as
the balance maintained in the exchange
| market is felt to be largely dependent or
| the free movement of exports. OF specia
| movements in the stock market this week
| that in Amalgamated Copper was conspic
uous and seemed to be based on confidencs
in the Improvement in the trade. The
| Fries continued to absorb q large share
/ of attention, but without any enlightenins
! news bearing on the future Of the road
| The general market showed itself sensitive
| in the course of the week, particularly st
| Paul and Pennsylvania, owing to the cnar
acter of the commitments In those stock.
and the indications from time to time o.
| influential selling of the shares. Money
both time and on CALL was easier.
| Dealings in bonds were far below thu
| level of this week last year, and the ton,
| of the market was heavy at times. United
| States threes, coupon. advanced Il per cent
as compared with the closing call of las