New-York tribune., 1904-10-10
THE WEEK IN WALL STREET.


bun pools and individual operators on the long
side OF the market were effective IN bringing
about 3 materially higher range OF quotations IN
securities in lasr weeks trading. In Thursdays
transactions moderate reaction developed. but
losses made on that day were fully recovered be-
fore the end OF the week Saturdays figures eK-
hibifiDg decided strength. while sentiment at the
close appeared 10 be IN favor OF further advances
IN the current weeks market. AS rule prices
sold at the best level Of the year. while the vol
un1e OF trading was well up to the heaviest
weekly total so far recorded in the current bull
market although the distribution OF business
was not particularly good. few stocks supply
ing the larger portion OF the weeks activity. At
times there appeared TO be large selling in the
leading active issues for the account Of operators
who bought at lower prices. and the old method
of bidding up stock in order 10 facilitate
selling in other issues was feature OF the trad
fng which did not escape the notice OF operators
who were watching for indications OF change
In the character Of market movements. In many
quarters. however. il was not believed that the
bidding up OF one issue as 10 cover sales in
other stocks foreshadoved an immediate end Of
the bull market. as IL was thought that the
larger speculative pools and cliques were ready
20 take new lines all reactions, and that
the sales merely represented natural profit tax
1ng operations incident to a bull speculation
While there was. Of course. a certain amount CT
manipulation. Il is absurd 20 indorse the view
held by some people that the upward movement
vas not accomplished by an active demand for
securities from the so-called public, AS a mat
Ser Of fact, commission houses did larger busi-
ness IN the week for the account Of the outsiders
than reported In any preceding week this year.
such a market as Wall Street has witnessed IN
che last fortnight could not be brought about by
manipulation alone.
Interests which are identified with the long
sdde Of the market are confident that quotations
viii enjoy further Improvement, notwithstand-
sng the fact that prices are already selling from
20 70 80 points above the low level OF the year.
4heir expectation OF a further advance being
hased on the generally favorable conditions az
secting the intrinsic value Of securities and the
indications that the industrial reaction Of the
last twelve months will he followed by
marked revival ia all lines Of trade. Signs
not wanting that business throughout the coun-
try is Improving. reflection Of which may be
found in railroad earnings and hank clearings,
both OF which show. rule. marked improve
7nenf- Bank clesrings for September. for in
stance, at ninety-tvvO cities show gain OF 10
per cent over August and gain OF 10 per cent
over September n year ago. while railway earn
Sings for the month OF September present in
almost all cases gains over the corresponding
period year ago Efforts on the part OF the
bear element TO make capital out OF the
savora bic showing by some roads in their gross
and net earnings for July and August are not
meeting with success. for the simple reason that
these reports represent past conditions and do
not indicate similar results in the rest OF the
year Iron and steel trade conditions are far
better than they few weeks ago. con-
fdence in iron and steel circles being reflected
in an increased volume OF buying According
- 49,. sf,.a d. He-f
10 buy more freely. larger orders are being
placed for rolling stock and steel rails. and In
quiries for extended delivery are met with
demand for premium over present prices. the
last named factor indicating the belief on the
part Of producers OF better prices later on in the
season The export movement in iron. steel
and copper is gaining in volume. exports Of
copper. for instance. IN the last month running
we'll ahead of the shipments OF the preceding
month and Of the same month year ago The
general export trade shows encouraging i'm
provement. especially IN shipments OF cotton
which are increasing az a rate which is piling
UP a large credit balance abroad.
Conditions affecting cotton and corn have been
extremely favorable IN the last few weeks. and
indications point 20 100000 bale cotton crop
snd corn yield well above 2OO0O00O0O bush
els The pessinlistic reports OF James ]. Hin on
;his years corn yield apparently win not re-
6ound to his credit as an accurate crop fore
caster Il may reasonably be assumed that the
current year viii go down in history OF
excellent general results in the agricultural COM
Tnunity despite the falling or IN the wheat yield.
and the chances also favor tie idea that the
ond half Of the current calendar year VIII be
looked back 20 as OF healthfuI industrial
gival. or course, the fact that conditions IN the
business world are growing more favorable does
not make a higher range Of securities values an
absolute certainty. Railroad shares Of mot
roads are selling at a level which many peOI e
believe fully measures their intrinsic worth ana
adequately discounts coming industrial activSty.
People who believe that prices are high enough
realize. however. that bull markets as well as
bear markets are generally carried TO extremes.
and that there is no reason TO believe that the
current bull campaign will differ IN this respect
from those OF the past. Ease in the money mar
ket is q great aid 10 bull speculation, and
money has been extremely low for a long period
she big speculative pools have had easy time
sn their campaign for better quotations. Some
observers believe that the advance VIII continue
for A week or more. while others look for con-
tinuation OF the reactionary tendency which de-
veloped In Thursdays market. although believers
of the latter Glars are not enthusiastic in selling
stocks short at the current level On the other
hand, there IS a great deal OF confident buying
going
The Street was filled with many runors in the
week regarding various properties, chiefly the
Western railroads and the United States Steel
Corporation. and the movement OF the stocks
affected was such as to suggest TO many minds
the belief that something more than rumor was
responsible for the upward course Of St. Paul.
Union Pacific and other Issues. Despite official
denials thar favorable developments may be
looked for in the Northern Securities situation.
& is generally believed that announcement will
be made at no late date involving a settlement
ri the Northern Securities case and possibly an
important change In the ownership of the