New-York tribune., 1904-10-04
Xxx dividend
BONDS.
STOCK MARKET OPERATIONS.

Probably The aggressive operations for higher
,,rices in the United States Steel Issues which
resulted in material improvement both IN the
preferred and common shares or the steer No'-
,,oration were The chief factor that saved the
general market from suffering a substantial re-
action in yesterdays transactions. sertlfnehI
sppeared 20 favor lower prices. yet the move
,nent I'm Steel preferred compelled covering OF
shorts in the afternoon dealings in most issues
mud as a consequence. the greater number OF Sc
..,1ritiss closed above Saturdays hnal hguTes
IN the early trading prices exhibited great irreF-
,arity. with declines predominating, but the re-
FuI1ption of bull activity in the steel STOCKS
turned the market in the direction OF better quo
,aiions The Hartman issues. however. failed
10 make an important response 10 the slrengh
shown elsewhere IN the list, both Union racine
and Southern Pacific ending the day under their
list figures of saturday The fact that Union
Pacific showed relative weakness encouraged the
belief that the more important market inter
ests mere not in favor OF further acuNl1g on 'Ae
hull side Of the market.
United States Steel preferred made a new high
record price for the year at 7ts4. while the COM
mon also sold AT its best quotation since the
Dividend on this issue was passed. There were
no news developments accompanying the up
ward movement in the Steel stocks, but IT was
generally believed that the advance fore
ehadoved a resumption of the bond conversion
plan. under the terms Of which the corporation
win be able to change S50OeoO0O Of preferred
stool. into per cent bonds. Erie and St. Paul
-yere strong features. without news of any sort
affecting either issue. In the last half hour the
steel shares, ST. Paul. Erie, Missouri Pacific
Missouri Kansas and Texas preferred and Nor
folk and Western exhibited great strength, clos
sng as a rule at or near the best prices OF the
dav. Sentiment was bullsh at the close, advo-
Gates Of higher prices insisting that the govern
ment's cotton report for October would be
influential factor in bringing about higher prices
for securities According to the governments
figures the condition Of the cotton crop IS bet
ter by 10 per cent than il was at this time
year ago, while the indications based on the
government figures point TO a total yield OF over
12000000 hales. The Importance OF a large
yield Of cotton factor in the country's pros
peritv and in the foreign exchange market will
he readily appreciated by people who are inter
ested in financial and commercial matters.
While conservative w1u Street interests rec
osnize the fact that quotations Of the greater
number Of securities are selling at a level which
adequately measures investment worth they
are not willing TO admit that prices will not 20
higher inasmuch. as they know that specula-
tive movements generally are carried 10 ex-
fremes. The hear movement which began in
september l.@1-, carried quotations far under
the level warranted by the conditions which
were responsible for the development Of the
dsNnWard movement, and II the present market
speculation follows precedent prices viii record
further improvement before the bull movement
collapses II may be, however that the un-
Willingness Of the public 10 engage actively in
speculative operations viii be an effective in
1uence IN restraining bull manipulation al
though the bull element apparently is convinced
Of its ability TO bring about higher quotations.
irrespective Of public interest in the market.
money market conditions or anything else that
may develop. The same sort Of conceit on the
part OF bull leaders was noticed in the last
stages OF the rising market. which eliminated in
September. 1899.
Some observers IN Wall Street believe that the
advance viii continue for a week or more while
others look for sharp turn toward lower prices
at sny moment the early movement OF values
yesterday encouraging the latter view. II is
reasonable 10 suppose that big holders have
taken advantage Of the great appreciation in
securities values TO distribute stocks which they
were compelled 20 buy for their own protection
IN the decline OF year ago. while it is also req
sOnable 10 believe that the peonle Who bo,
bought these securities are much weaker epsn-
oiaHy than the sellers. The market certainly
has reached position which should encours %
great caution on the part OF the operators v,bo
are enthusiastic bulls. although II has M. d.
Veloped into a speculation that suggests . 80
tition OF the serious declines that tool ,,sca g.
the bear feast of 1868.