New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-11-28
THE WEEK IN WALL STREET.

quotations. final prices showing long list OF
substantial net gains. In Tuesdays market ar
advance in call money rates to per cent was
followed by q short period Of declining VaIoes
hut on the reaction offerings Of securities were
easily absorbed while in the rest of the week
there was trace of the money scare that upSe'
so many weak accounts when rates began to
move higher. 4 higher quotation for loans is
not an unnatural development at this time OF
the wear and in view OF the various influences
that in the last two months have served TO re-
duce local bank supplies it is somewhat sur
prising that rates have ruled at so extremely
low level for long a period. The advance
on wednesday the first since early III 1he
year.
Firrner rates for money were an effective IN
huence in causing a weaker tendency in the
sterling exchange market and as consequence
the gold export situation, which IN the nrsl Two
DAYS OF the week promised to lead to heavy
shipments of gold coin, changed more IN IaVor
OF this centre although foreign exchange oahh-
ers were not willing admit that the outward
movement OF the precious metal was over LOT
the season. II is easy 10 see. however, Ihat
further material shipments Of gold VIII cause
g further Strengthening in money marker rates.
which in turn will bring the gold export move
1nent 10 an end. In the last week the local
hanks lost more than S6,O90O00 gold ex-
port account but their loan resources were not
materially depleted, owing to the reduction IN
the loan and deposit accounts, which Offset in
great measure the decline in the cash holdings
OF the Clearing House institutions.
There appears to be 10 uncertainty IN Wall
Street circles over the probable course Of the
stock market In the next few months. Despite
the enormous appreciation that has already
taken place in securities values. the greater
number Of Wall Street spectators have thrown
20 q ivdS nd their
ket ventures in the confident belief that the
movement of values Will continue to run in the
direction Of higher quotations for many months
20 come. It is fact, and a we'll known fact
that the larger speculative and investment in
terests are still working on the long side of the
market, and from tie general characteristics Of
the current Wall Street business It IS not diff
cult to realize that the great financial powers
are not yet ready for declining market. IN
expected adverse developments might, of course.
upset their calculations. but, according 10 their
point Of view. there is nothing ahead which win
interfere with their plans for higher prices in
securities and incidentally the launching of new
enterprises. the bringing out of new bond is
sues and the carrying through OF pending rail-
road deals. New financing plans for various
railway and industrial corporations are likely
to be successful IN a time of rising values in
Wall Street. and the who are the financial
hackers of large corporate institutions are TAX
ing advantage Of the current cheerful Wall
Street situation TO put into effect plans which
have been long time maturing. 1t is interest
ing 10 note In connection with recent offerings
Of bonds that since July the big railroads of
the United States have put out new securities
aggregating S4500000O0, and including the
japanese loan and the recent city loan there
has been issued since the first Of the fiscal year
an aggregate OF SooooOooo0 in new securities
Two years ago Wall Street suffered from indi-
gestion, owing to plethora Of new stock and
hend issues, but after time this dyspeptic
condition passed away, and the appetite for new
issues again became voracious It is pointed
out, however that there is more money now
available for Wall Street purposes. and that
general conditions affecting values are inf
nitely stronger than they were at the time of
n all Streets troubles of two years ago
There Is no doubt that general conditions are
growing stronger every day, that the countrv's
power Of absorption for new stocks and bonds
Is larger than ever before and that the posi-
non OF the eountTys money supply encourages
an active demand for all first class investment
issues OF course, If money rates al this centre
should be quoted at a high level for a protraot-
Cd period the demand for securities At r,rasar,+
prices would become less active but accord -
ing TO the opinion Of the best observers roone,,
rates VIII not rule at an advanced level for any
length Of time. the ideas Of these Observers
faForing the theory that after the turn of tba
year call funds viii return 10 the = per cent rate
with corresponding reaction in the rates for
time funds. Perhaps this idea does not take int
consideration the increased demands that will
be made on the money market in connection
with the expansion IN the country Industrial
activities
Regarding pending developments affecting
railway and industrial corporations there arc
indications in the movement Of values in many
issues that announcements Of importance will
De made at no remote period. For instance the
enormous dealings and sensational advance j.,
s+ie CI-'teo STATES Steel sinking fund bonds and
a. LIZ preferred STOCK apparently foresha dow
turther financing. such as a sale of tho baIa-1ea
OF the boAus held in the treasury and a rastl,,11,
non OF the preferred stock conversion 49,
NIilch was brought to q halt many months go
owing TO the adverse conditions Zybiri, ,,1.i5 60
At that kline. and which made The I,Iar - s 49,
eaccessIul. The company holds in its t-eas,Ir,
s-5Ot0VUO Of bonds representing the bs1s1,oo
OF me SJoOoUDo III bonds which were author
zee 70 oe soIa Tor cash at par under the terms
or the conversion scheme. Thes- bonds ca,1,,as
DC sold for less than par and ii the aT,5io
ISSUES can be advanced 10 that level il do,tbt
less VIII De an easy matter for the cornorarto,,
70 dispose Of the remaining Lonoe 90 ci0li
consequence bring into its treasury -
amount OF cash OF which il is in need, desDfe
lhe current improvement in the iron and e+eaI
business II is TO be hoped for the sal-n 90 ~
holders Of the $500 600 600 of common SOL .t e
the Dig steer combination VIII eventually he atIe
- gseoie tle common stock TO a dividend b9sis
Al me moment. however. il must he con f.s5a5
on ~ ai plospects Tor resumption Of dividends
Oh ne common are not particularly briol,t
Inc encouraging feature Of last weeks nlsr,,e.
l5 e ie tease WIN which prices recovered from
IA reactions and the dispOsition on ~ -. an :
1DstailIal operators TO add 20 their hoIdinge
OF attractive issues. In the bond dansy+-ras5e
nee was an excellent demand. brokers repnrf
.ns htsNy orders for all first class issues ana
an active inquiry for new securities -, iu
me new Rock Island As. which sold aboye az