New-York tribune., 1903-07-06
THE FINANCIAL MARKETS.
TRADING IN STOCKS LIGHT At SNAIL PRICE
CHANGES.
General Business SoundOutIooE Encourages The Holding of
Good SecuriieS-Roilrood Earnings.
STOCKS LIGHT
CHANGES.
THE WEEK IN WALL STREET.

Stock market trading at the present time is
made up Of the operations OF the so-cailed pro-
fessional element and Of the transactions of
few people who are accommodating securities IN
the confident expectation that quotations will
move 10 higher level before a materially lower
range develops Commission house dealings
however, are not large. and the outside interest
In the market is wofully small. That there Is
20 public following in current speculation was
reflected in the course Of trading last week
Fravora Bile crop news was naturally used by the
bulls as az argument for higher prices, and Tor
brief period values exhibited an advancing
tendency. The upward move failed. Neverthe-
less to attract buyers. and unable to maintain
the advance without public support, the trading
element changed it's position TO the short side
with results that convinced many minds that
the market is still more susceptible TO bear pres
sure than to bull manipulation
General conditions affecting the actual worth
Of securities do not warrant q bear campaign IN
the stock market Considerations, however Of
factors affecting tbs intrinsic worth OF STOCKS
and bonds play little part in speculation Of the
current character. and It IS therefore useless to
enunerate the favorable influences that may
now be found IN the position OF affairs in this
country. Il may be well to state that the ousi-
ness situation is sound ana that the course or
trading on the Stock Exchange does not reflect
any structural weakness in the industrial situa-
tion save perhaps in the case OF certain IN
dustriaI corporations that now collapsing
owing to the orgy Of industrial combinations OF
the last few years. Certain overcapitalzsd and
badly managed concerns have been forced TO un-
dergo reorganization with the resultant effect Of
severe losses to the stockholders but the failure
OF these companies does not reflect weakness IN
the general situation or foreshadow widespread
disturbance IN industrial circles If the United
States is about 10 enter upon period OF busl-
ness depression, II may be said without rear OF
contradiction that underlying conditions are in
splendid shape 70 Withstand the troubles that
may develop This is an important point to
bear In mind The business Of this country has
been established on & safe footing in the last
few years, and small crops, labor troubles ano
failures among industrial companies will not
undermine the strong foundations.
The question Of currency reform has worried
Wall Street IN the last few days, owing 10 tthe
reported attitude Of the next Speaker OF the
House Of Representatives on this important sub
feet Wall Street naturally believes that some
thing should be done to improve our currency
laws especially In respect 10 the present com
pulsory locking up Of money IN the federal
Treasury and the opposition Of Mr.. Cannon TO
the Aldrich scheme for g change IN existing
laws has Of course created great oisappoint-
". however. that the Speaker Of the House will
be able 10 carry his point in opposition TO the
viii Of the people, If it is shown by the repre-
sentatives of the people that they desire the
enactment of legislation that will increase the
efficiency Of the country's currency system. SO
far as the effect on the fall supply Of money
at this centre is concerned, IL may be Well TO
bear in mind that the callins Of a special ses-
sion Of Congress IN the early autumn and the
of RI
money in circulation will not result at once in
oroviding additional cash for the New-York
banks The demand for money for the usual
crop moving purposes will develop long before
Congress can put into effect currency leglsla-
ton but OF course the sentimental effect OF the
enactment Of new laws bearing on this subject
will be effective in strengthening confidence in
the future of the monetary situation The fact
that the position Of the money market IN the
fan has been under discussion for the last few
months encourages the expectation that prepa-
rations 70 meet the fall demand viii be so care
fully made that no great disturbance will ac-
company the outward movement Of money. The
movement OF currency last week reflected d
contraction in the volume Of shipments Of funds
TO New-York and corresponding increase in
the outgo from this centre. The period for
heavy receipts from the interior Is over, and
from now on until after the fail demands are
satisfied a diminishing inflow must be expected.
Many careful observers believe that the whole
business situation is undergoing a process Of re-
adjustment and that the slow panic in stocks
OF the last nine months, the cessation Of the
amalgamation Of industrial and railroad COM
panies and the check 10 the issuance Of new
securities will establish basis which a
future upward movement in stock values may
legitimately be engineered. This appears to be
q sensible view Of the outlook When an active
bull market develops. stocks such as Missouri
Pacific Norfolk and Western. Southern Rail
way and the Erie issues in the railroad list
and American Car and Foundry Corn Products.
American Locomotive and perhaps the United
States steel shares, In the industrial list, will
be worth watching. Among the cheap railroad
stocks that were bought by substantial inter
ests on the severe breaks Of a few weeks ago
were Chicago Great Western. Colorado South
ern and the Wabash shares. People who hold
stocks bought at higher prices are. Of course
somewhat discouraged over the present irregu-
lar and uncertain course OF values on the Stock
Exchange, but the exercise of further patience
ought 10 be rewarded by satisfactory profits, as
the outlook does not favor a breakdown in con-
ditions governing the real value of investments
The stock market viii not go out of business
and the time viii come when prices will sell
higher
ProbabI the most important single influence
IN improving sentiment early in the week was
the demonstrated and complete success of the
Pennsylyania's new stock issue, the entire Of
fering having been taken by the shareholders
and 80 per cent Of it having been paid for in
full This means that the S40.OOO,000 4Ia per
cent notes OF the company maturing in the
course OF the next month will be paid promptly