New-York tribune., 1903-04-26
Financial.
The Financial World.


of a most favorable character the stock mar
ket promptly declined under pressure OF saIeg
by traders who evidently had been waiting FOR
something bulIish upon which to sell out. This
gives the measure. of the market. as il IS now
and it is likely TO be for some time. accord
ing to present appearances IT is the familiar
two per cent trading market
Most likely it will work off some more for a
few days. and then will be a purchase again
for short turn. There is nothing in sight for
the moment which promises to stir up bust
ness; but always liable to surprises; and
perhaps the expected Franchise Tax decision
looked for from the Court Of Appeals on Tues
day, may do something in that line
Judge Sanborn gave the market quite lively
one last Monday. when he modified the decree
against the Northern Securities Company. r
had been announced early that decision would
be rendered Immediately after the arguments
closed The Street interpreted this with
siderable unanirnity meaning; that the court
going TO say with emphasis Therefore
the traders sold stock in anticipation 7st'one-
o'clock the wires flashed the news that the
answer was yes; and thereupon ensued a ruSh
TO cover shorts. and get on the long side. which
gave a most lively two to three point rise ali
along the line; Northern Securities leading the
way with a rush from % to par. or thereabouts-
The modification of the decree. it was argued
and so removed it as a disturbing factor. This
favorable for the market and it was be
Iieved the upward move could be continued Il
was not to be- however The fatal Iethargy
which is on it, asserted itself next day; trading
declined prices shaded off; the effort TO work uI-
sort of sentimental rise on the opening OF the
new Stock Exchange building was scarcely
success: and the week ended with prices Just
about where they were when it started
Meanwhile. money gets easier: and the efec.
of the lower rates makes itself felt in the bond
market. where better demand is reported.
also in the stiffening of exchange rates. which
are lowering at the gold export point The sur
plus reserve. by yesterdays statement. IS
brought close to S11, 100000; and call rates have
got down to 21z and ) per cent; while time
money is 4. TO AZ. Next weeks statement, II
is calculated. will also be a good one Four per
cent money makes 4 per cent stocks look a little
more desirable than they were with per cent
money.
The traction stocks were weak yesterday, and
Metropolitan dropping a couple OF points to 129
was set down to the last new phase IN the
mixed-up litigation involving it; but Manhattan
was also weak and Brooklyn traction. so It il
probable that some tip had been given out IN
speculative circles that the decision OF the Court
of Appeals in the tax case. would be adverse.
The special weakness in Metropolitan IS easily
accounted for. since people do not care to hold
stock, if they can. get out Of 1T without loss.
about which there is so much legal and
other unpIeasantness. Some surprise has been
expressed that the Metropolitan people I'D not
put Mr.. Stephen Little the stand. TO testify
as an expert that the Amory statements HeTe
false. as he has declared them TO be in a pub
ished letter Perhaps he may come later. as III
various shapes this thing threatens TO drag our-
The coal stocks have recovered from the drnf.
they had when the Interstate Commerce Cow.
mission started its inquiry The testimony 0f
Mr.. Baer- much talked about Opinion Vrsz
divided whether he had been indlscreet or JUDI.
ciOusly bold He seems to have taken the bcjti4-
outspoken course as the best available. Every
body who knows anything. knows what tA-
Temple Coal Company is. why it was forns.t.
and who-did it. If BseE had dedged and eqHiy"-
Gated, he would simply have been forred fFar7
one, untenable position to another by the produ~s
ton of documentary evidence: would have cor1v-
out at last badly used up and object f1-
derisive newspaper headlines. TFe took the hold
attitude of conceding everything. avowing its
rtghtfulness. denouncing his .accUsers. on the.r
weak side viz. their palpable strafHing for.
uotoriety; and declaring that If anything had
been done contrary TO law. he and his associate
were ready to stand the punishment. Instead Of
deridng. the other fellows could then only howl
at him.
As matter of fact is difficult to see hoy
the coal companies can escape being declared
under the ban of the Antitrust law If that
law is to he interpreted by the Supreme Court
il in the Northern Securities case: and
undoubtedly it will be so interpreted since thar
decision right in line with previous de-
cisions- To reach any other conclusion tho
Court would either have to virtually reverse it,
self. so refine away the case as to amount 70
a practical evasion Of the law. such things
have. happened before. however. and may again.
but assuming the more probable outcome thar
the decision will stand. there is no visible way
of escape for the coal companies any more thar
there is for the others.
We have a law which the courts have declared
to mean what it was never supposed 10 mean
by those chiefly instrumental in passing it, This
is the testimony of Senator Hoar. one OF frs
supporters When the Supreme Court gives the.
final word the Government viii have no choice
IL must prosecute all cases Tt cannot pick cu-
one here and one there. exercising an arhitrary
choice as to who is, WHO is not. To b fired a.
Such course would leave the Attorney Cen
erals office open 10 charges Of fagranr f2vur-
itism. even 20 accusations of bIaCkman II IS
very certain the political party in Opposition
would ring the changes this, and from the
same source would come a great outcry f- the
Government. anxious TO avoid radical disturb
ance of business interests should try. TO let thu
law sleep Cases obnoxious 70 this drastic stat
ute are legion. and prosecution Of them. means
widespread confusion But this has nothing To
do with the Government or the courts The
remedy is with Congress. and there only II
the statute be amended by putting into the
body of It the phrase an the title of IT.. 80 that
any restraint" of trade becomes amy unlawful