New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-02-22
THE WEEK IN WALL STREET.

,,-,-+.-ee+f-,g and AT times positively stupid
Traders making I'D the so-caued floor element
showed little disposition 10 operate on either
side OF the account. while the more Important
speculative interests took no part In the daily
dealings. The public cid not show It's head. X
rs SO long time since the outsiders have been
81 the market that the commission houses when
depend on this class OF spectators Tor theF
living have about abandoned hope Of ever again
receiving substantial income, and as con-
sequence the greatest economy is being eNer-
cised the effect OF which Is rejected IN hgh'eI
Office forces and smaller pay FOR clerks who are
retained. Commission houses are not in a happy
frame OF mind but they may as well take en-
couragement from the experiences OF the past.
wherein duh days have been succeeded by &C
tivity and the absence OF the public by a rush
on the part OF the outsider 20 come into the
market There are various factors responsible
FOR The present situation In the stock market
They are not. however. factors that possess the
element OF pernanency. In the week the
weakness IN the foreign markets naturally
tended 70 create dulness and heaviness on the
local exchange but It failed 20 attract invest
ynent selling or the outpouring o. any large
amount OF long stock. II becomes more evident
every dav that investors are perfectly composed
over the war situation in the Far East and the
possibility OF complications IN other directions,
and that stocks are IN the hands OF people who
have no intention OF selling 81 the current level.
While there may be lower prices there is nothing
fr the general situation that warrants the sale
o. well protected holdings loss.
some OF the larger Spectators who are carry
ing heavy loads which they have been unable
10 dispose Of might be forced TO Tighten their
burden II disturbance should develop IN the
money market but IN the opinion OF the best
Judges in the banking community there VII be
no serious trouble IN money this lear. This
opinion. however does not take into account the
possibility Of unexpected developments IN the
international financial situation a result Of
wars and rumors OF wars. II is well 10 bear IN
mind. nevertheless that this country is well
supplied with funds: that the amount OF money
IN circulation is larger than ever before on
record: that gold production continues IN large
volume. that merchants are IN q sound financial
condition: that the demand for funds for specu-
lative purposes IS light and that outside OF the
Panama Canal account, we owe no large amount
abroad The Panama payment may take some
gold from this country, but the chances are
that the operation VIII be handled through the
foreign exchange market without the necessity
or gold shipments. The amount OF corporate
borrowing this year VIII doubtless he large. but
the security offered VIII be good. Borrowing
boy the railroads may lessen for q time the mar
Kin left for dividends after charges. and Il may
cause sitter rates for money. while IL undoubt-
edly VIII be a factor In checking activity in the
stock market In the foreign markets the price
or loans was distinctly frmer in the week. with
the expectation IN financial circles that higher
rates would be quoted before the end OF the
month.
Something appears 70 have gone wrong with
the harmony department Of the so-called com
nunity Of interest that is supposed 10 prevail
among the trunk lines and other railroads Of this
country. Rates are being sashed right and left
on grain traffic and It is now possible TO ship
wheat corn and oats from Buffalo to New-Yorz
Philadelphia and Baltimore for a price that nets
the transportation companies little more than
nothing. Beyond Chicago the Chicago and Great
Western, the prince OF rate cutters, is causing
trouble for other mississippi roads also
the Chicago and Northwestern: and unless the
whole tariff question Is speedily adjusted 10
more paying basis the effect on earnings viii
be disastrous. in the East the Pennsylvania
and the Lehigh Valley are arrayed against the
New-York Central the Delaware. Lackawanna
and Western and the Erie. the result OF the fight
60 Ear being the cutting in two OF the grain
transportation rates 10 the seaboa-d cities This
fight. however. is entirely distinct from that
raging "a the West. and is the outcome OF the
action o. the Pennsylvania and Lehigh Valley in
putting into effect a didereutial rate ia favor u
Philadelphia and Baltimore. basing their move
on arbitration agreement made in 1856 on
su-ran long haul freight which, however they
abandoned several years ago. Moreover. the
agreement OF 1856 stated that dITereutisl
on grain from Buffalo TO the coast would not be
included, that is. when shipments to Buffalo
were by way Of the lakes. The present contro-
Versy hinges on this point Of lake shipments.
under the inspiration Of the commercial interests
- Philadelphia ana Baltimore. hut ia discrim-
mating against NeU-Vork more loss SIS apt q
come 10 the company than gain. ~ IS possible
20 see how q contest grain export rates may
extend 20 other lines Of traffic. but il Is 10 be
sincerely hoped that the good sense Of railroad
managers and Of the financial interests behind
them VIII make a general rate war impossible.
Railroad earnings for the month Of January
were adversely affected by the bad weather that
prevailed in various parts OF the country, and
rhe same influence is an important factor on the
Eastern roads iu the current month with
weather conditions against them a. time when
The roads are lighting one another on rates. to
EeJher with the qUeter condition OF trade. the
railroad companies prospects for record earn
ings IA the current year are not promising. For
the last week IN January the decline in earnings
as compared with the same time q year ago
amounted 10 over per cent, for the first week
in February 10 over & per cent and the same
1or the second week. while from July / 20 Febru-
AIRY "a there was a gain OF over per cent Net
returns OF eghty-nine roads for December show
q decrease OF S273.626 from the correspondent
period in the preceding year Despite the fall
ing or fn railroad earnings, the general condi-
zion OF business IN this country presents few od-
verse features. a healthful reaction from the
las sH-