The Montgomery advertiser., 1904-07-02
WALL STREET REVIEW
EXCITED SPECULATION IN THE
METROPOLITAN STOCKS.
In the Violent Advance q Rush to BUY
by Uncovered Shorts Is a Fea-
ture-Market for the
Week.


ture-Market for the
Week.
New York, July 1.-Some excited
speculation in the Metropolitan stocks
was the feature of todays market ana
saved 1t from the lethargic condition
expected on the eve of a three days
holiday. Rumors regarding these
| stocks have circulated for some days
past. without any official or authorita-
| tive sanction to be had for them. Most
OF these have pointed to a plan for con-
| troll in the interest of the interborough
or subway company, which already con-
trolls the elevated lines. The rumors
nave extended to possible absorption
OF Brooklyn transit. In the violent
rise OF today rush to buy by uncov-
Metropolitan has been in disfavor for
a long time past, on account of reports
| that the liquidation of the estates of a
number Of millionaire capitalists would
| also because of poor showing of earn
ings. The consequence would natural
ly be the building up of an extensive
short interest and the frightened buy
plain the days action Of the stocks.
Other New York stocks showed some
| sympathy as they always do with one
Of s-s as a result Of the passing of
its dividend. For the rest the only
movement Of Importance were amongst
inactive specialties. Prices held gen
orally above last night. but the days
fluctuations In some Of the market lead
ers were not above Is. The time
money market was called slightly firm
tai effect on a slightly increased de
mand for money in connection with the
July disbursements. The bank state
ment will appear tomorrow while the
q n oh~ IL. IL . tar
| movements incident to the sale of the
year turn made 1t difficult to forecast
! results. But 1t Is evident that several
millions have been received from the
| Interior since the last statement How
the preparation Of trust companies for
their semi annual statements may af-
rect the banks reserve supplies and
how the dividend and interest require
ments may affect the loan item are
questions 1t is impossible to estimate
with any degree of accuracy. Call
money failed to get above "a per cent
Southern Pacific scarcely stirred on re-
ports of May net earnings which were
regarded as favorable. The reaction in
the New York stocks in the last hour
affected the general tone and the clos
value $1,720,000. A combination of
| circumstances has made this week one
many years past. The most obvious
cause for this was the decision of the
| stock exchange authorities to close the
exchange on Saturday as well as on
Monday, July 4. A three day interval
in prospect is sufficient in itself to re-
strict operations by the professional
traders who rely on quick operations to
| take advantage of sudden developments
vance of the larger operations likely to
| be caused by such happenings. With
no market available during three days
! such traders are likely to close up their
nd mr.
Another special factor in the current
| small dealings Is the crusade by the eN-
change authorities to prevent arbitrat-
| age operations between the board room
| and the outside market The summary
! removal of telephone communications
of a number of firms from the floor OF
the stock exchange served as an admo-
milton to the whole membership to re-
| frain from this kind Of trading. 1t is
believed that this measure has cut off
an appreciate portion of the orders
from the already meagre market
Of important events which follow close
ly after the holiday interval and the
outcome of which is awaited before
market. The mid-convention period
| has been more discussed than previous
! ly as leaving the political outlook in ar
intermediate condition and some
hopes are entertained by the
discouraged professional operators II
| stocks that the choosing or cand dates
| and the formal making up of issues
between the great political parties will
| release the market from its determined
| deadlock. The governments report
| OF crop conditions as of July l, with
| the estimates on the corn crop Is re-
| garded as the most important of the
| season in making up opinions on tho
| crops for speculative operations and
| is awaited with much interest. But the
| various dissusasive influences on specu-
| lation are probably but eliminating
| factors to the extreme conservatism eX-
| listing In all business and enterprise
| and accurately reflected in the stock
| market. There have been no really
| important developments during the
| week towards solving the uncertainties
| and efforts to stimulate activity ir
| stocks have therefore been futile. The
| weeks advices on the crops were mix
ed and baffled the efforts of operators
in stocks to make any consistent in.
depreciation of them. A general sense
| of contentment over conditions may
| be inferred from the absence of pres
sure to liquidate in the market. There
is no one subject to which so much
Importance is attached marketwise as
the crop outcome. But views of the
| results to follow profitable harvest:
| are somewhat mixed between simple
arrest of the contracting tendency OF
| business and steadying of values
| and a possible revival United State:
|
fected by the sympathetic benefit:
hoped for from other divisions OF thu
trade from the harvesting of gooc
crops. The more cheerful feeling II
that trade is not backed by statistica
betterment. Less fears are felt fol-
the integrity of the dividend on United
States Steel preferred for the pas
quarter. and this has been an impor
tant element in the better market tone
of that stock. Showings of railroad
earnings are mixed. but the averag
of gross earnings for June is somewha
better than last year and trafic Of
f1cals have expressed hopes for future
business with rather greater conf
dence. The reports of net earning!
} for May. however. have made poor com
parsons with the previous year anC
retrenChment in operating cost il
counted a vital necessity for improving
the net returns. Such retrenchment
have continued at various points. re
down OF working forces on the Penn
sylvania system. 1t Is not improba
BILE that the money market require
mentS for the half yearly settlement
have caused some apprehension Of I
temporary furry in the money market
J but they have been met without rip
pie of disturbance. The July dis
| hursements will be close to RECORD
! figures and a $4,000. 900 installmen
also has been met. 1t is highly proba
BILE, therefore that with the July dis
bursements a plethoric condition of tn
money market may result. Foreigl
! money markets are also counting upol
very easy conditions for the coming
month. In anticipation of this con
) dition there has been a widely 'diffuse