New-York tribune., 1904-09-26
THE WEEK IN WALL STREET.

volume of business on the STOCK Exchange slom-s
material falling of from the activity recently
recorded. while the prospects Tor the next fe"
weeks DO not encourage the expectation OF
resumption OF heavy speculation. IN last weeks
market the movement Of values exhibited great
!rregularity and no decided tendency, except in
few issues in which pool operations were under
way. notably Union and Southern Pacific. The
hull party in these stocks apparently is not yet
ready 10 give UP the fight for higher prices, de-
fpite the danger signals exhibited by the money
market. but it hardly appears probable that
with a rising level of money rates and a disposi-
Tion on tie part OF the public 20 sta< away from
Wall Street, the campaign for better quotations
sn Southern ana Union Pacific will be particu-
lazy successful. There is no legitimate reason
for higher prices in either of these securities at
present. especially Southern Pacific, which is
Don-dividend paying share, without the promise
Of z distribution 10 the stockholders in the i'm
mediate future. The Street was filled last week
with bull tan. on Union Pacific, and various fan
tastic ideas were advanced sufficient reason
- buy the stock, but there appeared 10 be no
great rush the part Of the public 10 take the
3ssVe at prevailing quotations. The Union Pa
cicc property is an ably managed concern, but
St Is unfortunate that much manipulation is
going OF in its securities.
Conservative commission house brokers are
not advising their customers TO buy stocks at
tho present level. as they contend that the
ereete- number of issues are selling at figures
Wt!ch more than measure their intrinsic value,
and that the proha bility of higher money rates
and the CHARGE o. killing frosts in the corn belt
are factors which professional traders will utilize
10 br-dg about a decline in quotations Securi-
tics are not in strong hands as they were a
month or so ago, and under present technical
market conditions any unfavorable development
he
calculations of the operators for an advance.
The bull element is not so large as it was sew
nral weeks ago. Y hile the bear party has grown
srl numbers and confidence. This fact need not
Brighten investors or people whose speculative
holdings represent outright purchases. Condi-
lions affecting the intrinsic worth OF stocks and
bonds are. as a rule, favorable, and if the cur
sert OF business throughout the country con-
+inues along present lines the next twelve
months viii not be period Of great bear success
sn stock market speculation. Al the moment
however the outlook for cheaper prices before
Election Day IS encouraging. owing TO the rea-
sons already stated. In the money market there
Sc every indication of an advance in rates. while,
despite the weakness last week in the foreign
exchange market the outlook for large gold i'm
ports is not promising. owing 10 the extremely
small volume Of grain exports and the high
prices of commodities in general Exports OF
wheat last week amounted TO only SG4373 bush
els compared with {, ,050 430 bushels in the
week last year and over 100000 bushels in
1902 From July l there has been falling off
in the shipments Of wheat from the same period
a year ago Of 1854. .l91 bushels. and from the
same period in 1902 falling of OF 57,S66,615
bushels. Shipments of corn since July amount
10 6,S36 669 bushels, against 11.605,26 bushels
in the corresponding time in 1903. 1t is impos-
sible 10 tell with any degree Of accuracy the
actual position Of this years corn crop, owing
10 the extremely divergent views and estimates
OF so-called crop experts. while the may be
said Of the cotton situation. over which no two
observers agree. OF course, with the short wheat
harvest a material shrinkage in the actual yield
of corn from the governments estimate of Sep
ternber l would be most unwelcome develop
Inent
While imports of gold this fall may not equal
the average of the last ten years. It is probable
that certain amount OF the metal will be
brought TO this side. especially if money rates at
this centre enjoy material advance. 1t IS
likely. however that foreigners will place as
many obstacles they possibly can in the way
Of shipments TO this country, indication OF
which is already presented in the frmer dis
counts abroad and in the advancing price of gold
in the London market An important feature Of
the current foreign exchange market is the
drawing Of bills against purchases for foreign
account of American investment issues. As TO
the outlook for higher rates for money il is not
safe TO believe that much higher quotations will
not be recorded. but there appears good reason
for the expectation Of a total absence Of serious
monetary disturbance. In the last four weeks
cash holdings of the associated banks have de-
clined S29. .429. 900. while in the same time re-
serve above legal requirements has fallen from
S57.375.4O0 at the beginning Of the month 10
Sc. .251 025 at present. II is estimated that the
5uterior viii draw upward Of S40O00o00 from
New-York before the crop demands are satisfied.
while from current indications the banks VIII
lose round amount 10 the government, owing
10 the cumbersome Sub-Treasury system. Call
money ruled at ? per cent throughout the last
week while time funds were quoted at from 3 10
4 per cent, with commercial paper at Az to
per cent. Compared with a week ago. sterling
exchange shows a decline OF upward Of eighty
points. and authorities on the exchange situation
predict an easy market throughout the fall
Reports received in the week from railroad
managers IN various parts of the country reflect
great optimism on the part Of business men over
the outlook for trade improvement this fall
while railway earnings for the second week in
September indorse the statement that no de-
mora1zation is probsb in the railway trans
portstion business. in the Southwest July re-
ports Of gross and net earnings were unfavor-
able. but returns now coming 10 hand are ex-
irenely encouraging and indicate growing in-
dustrial activity in that section Of the country
For the second week in September, Missouri Pa
oi6c shows an increase of $4,000 and St Louis
Southwestern an increase Of $4,000. Ali the
Gould properties are making excellent state
ments OF earnings at present, notably Wabash,
which for the second week shows a gain OF
nearly $4,000 as compared with the CORE
spending period in 1908 Rapid progress is be-