New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1903-11-02
THE WEEK IN WALL STREET.


made up IN great part Of the operations OF the
professional element Except in the bond de-
partment there no important outside In
terest. and no Indication at the close OF the
week Of an immediate material change in this
particular. More interest was taken in the
money and foreign exchange markets than in
stock speculation; indeed. on Friday dealings on
the Exchange came almost 10 a standstilL owing
70 the uncertainty over the monetary situation.
which was complicated IN the week by the
heavy Withdrawals OF currency from the local
banks for St Louis's account There is good
reason for believing that the run on the St
Louis banks and trust companies was based on
nothing more than deliberate attempts by GER
tsin people to create a panic for stock market
purposes The slightest adverse rumor about
any financial concern viii induce uneasiness
among depostors and IL is an easy matter.
therefore. TO start a bank or trust
company by putting out reports affecting the
stability OF such institutions.
Efforts were certainly made 10 cast discredit
On the St Louis trust companies. Depositors
became frightened and made hurry calls for
their money. with the result that New-York
was forced to send over S70000OO to the St
Louis institutions to make good depleted cash
resources. A well arranged bear attack is often
effective In causing failures OF sound concerns.
but fortunately the St Louis situation appears
to have weathered the speculative assault while
market values have not been materially affected
A normal demand for money from the West and
South IN addition to the shipments to St. Louis
naturally decreased to q. considerable extent the
supply available for loans in the local market
and as a consequence money rates advanced
THE upward move in the money market. how
ever. was accompanied by a fall IN sterling e1-
change quotations TO a point near the gold I'M
ST. showed
q decline In reserve above legal requirements TO
slo.27z $50. which compares with S21,S39,1oO at
ibis time last year and SIO.4S2. 500 IN the year
before
In many circles the announcement OF big bond
ISSUES by Pennsylvania controlled lines has been
received with considerable uneasiness, but. on
he other hand. there are some people who be
Eeve that the decision by the Pennsylvania
management to sell bonds at this time is most
encouraging incident for investors. II doubt
less reflects confidence the part OF men high
Ia railway and financial circles that the time
Is opportune for the issue OF bonds. and 1t is
not thought unlikely that other railroads Will
follow Pennsylvania's example In issuing bonds
Tor Improvement work The investment posi-
don far railway mortgage Issues are con-
perned has shown wonderful Improvement In
the last few weeks. Demand for first class
bonds Is growing heavier and investors appear
to be growing more confident every day in the
stability OF American railway securities. There
rs nothing in the railway or general business
situation that is unfavorable to the purchase for
Investment account OF good stocks and bonds.
and that this fact is appreciated by people who
have idle investment money is reflected in the
Increased investment orders on brokers books.
While trade shows irregularity, the CONNER
cisl agencies report generally sound position
Of affairs. A noteworthy incident Of the week
was an increase in the demand for pig iron, the
inquiry coming from widely separated sources.
OF course If the strike OF the structural iron
workers spreads the iron and steel market viii
be adversely affected. but the fact that the
Sam Parks element is chiefly responsible for
the present disturbance encourages the idea
that IL viii be & fzzle. The so-caIed setback
tn trade lie not nearly so severe as represented
81 many quarters A normal reaction viii Go
no extensive harm, and the damage done by
the overspeculation Of year ago and the over
promotion IN various directions. the effect Of
which has been IN the stock market and
which is now reflected in the financial troubles
IN some cities OUTSIDE New-York, viii hardly
paralyze the industries Of the country. Bust
ness men have been preparing for a setback in
trade, and they are well prepared 10 meet 1t.
So are the railroads. The railroads OF this
country have been placing their properties il
perfect physical condition, they have spent
enormous amounts Of money on improvements,
extensions, the reduction OF grades. the elinnina
ton OF curves and on new equipment The SO
called Hartman lines. for instance. have put
out IN this manner in the recent past S1OA.0oo.-
600 Now the roads are in q position to con-
duct their business at cheaper cost They are
able to handle heavier trainloads for SIS money
than they put into smaller trainloads few
years ago. and they are in q condition that en-
ables them to reduce their expenses to curtau
Improvement work and put into effect general
economies that ought to Offset an influence
on net earnings any failing of that may occur
an gross income
Railroad earnings now coming TO hand, for the
third week n October and for the month OF Sep
TENDER. show splendid results in all parts Of the
country, the greater number of roads present
ing gains as compared with the same time last
year. Missouri Pacific for instance returns
gain Of So 900 for the third week, Wabash a
gain OF S5S.O05. and Southern Railway a gain of
S45.546. For the third week in October twenty
seven roads show a total gain Of $4S3.2S4. COM
parlsoa being made with the same time last
year, while nine roads show a loss OF S61l47.
OF the reports for September received yester-
Cay that OF the Atchison was the most note
worthy. Wan Street has been worrying
throughout the summer about II. condition OF
traffic on this property. yet every month il has
shown record breaking results. Gross earnings
IN September increased ST29. 745 over the same
month n 1902 and net earnings S53SS4l max
sng a gain since July ! Of S2.256.O76 in gross
and s., 49,, ga in net The Wabash system also
presented noteworthy gain "a September. both
IN gross and net. the former increasing SS9S.777
and the latter sos, 209. Wabash securities have
beeen In good demand in the last few Gays and
much better prices are predicted for the de-
Tho Cd e-r,lr Pc