New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-04-01
BONDS.
STOCK MARKET OPERATIONS

Transactions in yesterdays stock market were
made up in great part of the operations of the
professional element and sales by dealers who
decided TO convert paper profits into cash. The
board room element was bearish throughout the
day. and in the absence OF a public demand for
securities early efforts to reduce prices met con-
siderable success although the reaction was not
effective in bringing large amount OF stock on
the market There were no news developments
Of sufficient Importance to induce liqude ton,
but the room traders thought that the trust
company failures in Cleveland and Boston war
ranted attack on values These failures were
not large enough to be classed as influential
factors in the general financial situation, but of
course, the theorizng Spectator Immediately
saw in the trust company troubles indications
OF serious disturbances in similar institutions
in other parts Of the country. The local banks
are not affected in any way by the suspension
Of the Federal Trust Company in Cleveland or
by the failure Of unimportant concern in
Boston. AS a matter of fact. the stock market
was ripe for a reaction. and the decline was due
TO technical conditions rather than to develop
ments outside of the Exchange. Vigorous ef-
forts have been made in the last few DAYS to
boost prices and moderate improvement has
been recorded. but the so-called public has not
responded to a noteworthy degree. while. &C
cording TO the reports from commission houses
there is no immediate prospect of enthusiastic
interest in speculation from that quarter
Important market operators are undoubtedly
working 10 bring about higher quotation
level. and for this the ordinary trader
ought to be extremely careful in selling stocks
short 1t is said that there is stilI q large short
interest in Union Pacific. In well informed
circles the tip has gone forth 10 hold Southern
Pacific. but no reason is given for the belief
~,
future. Southern Pacific, however. is not SELL
ing at an exorbitant level and people who own
the stock may act wisely in maintaining
tight hold of the issue. although profits may be
long time in coming. ST. Paul. which has en-
Joyed Improvement in the last week is GER
tainly entitled to its gain, and conservative
operators believe that eventually this issue will
sell far above it's current level. The report Of a
close alliance between the st. Paul company and
the Union Pacific. other than the trackage al
lance already in operation between the two
companies is apparently dying a natural death,
and the chances are that the attempt to con-
vince the public that new era of railroad con-
soidation is about to develop will end in miser-
able failure. The intrinsic value of securities.
as a rule. is greater than the present market
prices. Efforts TO stimulate quotations through
the medium of Wall Street fairy tales will in
jure the market and reduce the chances Of
genuine bull movement in prices. and it is
couraging to note that the public shows no dis
position to be gulled by the purveyors of false
information. Conditions underlying the invest
nent situation are favorable. and the time will
come when the market will rise in response TO
the factors governing the actual worth of Sc
curities. People with ready money may find
II advisab BILE to buy stocks on all reactions
In the last hour of trading prices exhibited
a rallying tendency from the low figures of the
day especially in st. Paul. Union Pacific.
Peoples Gas and United States Steel preferred.
In which the shorts appeared anxious to cover
their outstanding contracts. AS a result Of this
movement the greater number OF issues recov-
cred their early losses, closing at small fraction
al gains Peoples Gas showed exceptional
strength ending at net advance of per cent
on r1Irnors that the company would win In its
pending case in the United States Supreme
Court AS to-day will be holiday on the local
exchange the weekly movement of money was
complied yesterday afternoon. and IL is inter-
esting TO note that the loss of the banks to the
Sub-Treasury has been offset by gain from
the interior. Unless. therefore, there has been
a large increase in loans and deposits in the
week to-morrow's statement of the Clearing
House banks ought to show an increase in the
reserve above legal requirements.