Las Vegas daily optic. [volume] (Las Vegas, N.M.) 1880-1908, 1904-07-27
THE FINANCIAL SITUATION.

The stock market showed excep.
tional strength last week This was
due largely. says Henry ciews. IN his
financial letter, to the strong support
Or Big inside dealers whose opera
lions were undoubtedly influenced by
good crop reports, easy money and
the consequent better feeling In bust
ness circles.
1t Is worth while. says Mr., Clews, to
stop for a moment to consider the ex-
tent of the advance, The active stocks
have ali risen ten TO fifteen points
above The low prices OF this year, and
some have scored considerably larger
advances. Not a few stocks are at
the highest point OF the year and, II
tho comparisons be made with the
low price Of 1903. the advances are
still more striking. This brings us 10
the question, has the rise yet reach.
ed the danger mark2 So far as iegiti.
mate influences are concerned Il
seems as II the advance had been al.
most sufficient Good crops and bet.
ter business have been for the pres
| emit fairly discounted, especially as
both are still In the realm Of expecta.
tion, and realization remains a matter
Of two or three months. It seems the
part of prudence, therefore, to begin
to exercise some caution in hereafter
following the upward movement. What
would happen In case Of serious re.
verses TO either corn or cEton2 Meth.
er Ia yet out of danger. August is Of.
ten d month Of deterioration; and al,
ter such q ~prolongued spell OF favor.
able weather the probability Of a
setback Is measurably greater. IN
the iron trade a great deal more has
been made out OF the Improvement
than Is Justified: apparently for the
purpose Of stimulating speculation in
1.-THE steel issues. A turn for the bet.
fer has really appeared In the Iron
trade. and buyers are rather more will
Ing TO place orders since they are
convinced that the decline In iron has
ceased. but prices are still very low
and the volume Of orders Ii far he.
low the normal, When bonntiful crops
become 4 certainty general trade will
assume more activity, aud the rail.
roads may then see their way 10 iarg
or purchases OF rails and rolling
stock: but that will show in the last
quarter OF the year. and not In the
present quarter. although there has
certainly been sufficient improvement.
in The iron industry to warrant a more
hopeful feeling.
More attention has been paid to
foreign complications than they de.
serve RUSSIA ~ altogether Iii too
strained a condition to invite serious.
troubles with Great Britain, or any
other great power. She Is fully occu.
pied with Japanese attentions at pres.
ent and Is more IN need OF friends
than additional enemies. The war has
moreover. ceased To be d factor In
Wall Street, except In event of large
additional loans, which would newt.
ably cause a shifting Of investments
and firmer money In the European
markets. all OF which would be indi
felt az this center.
We have enjoyed another week 81
admirable crop weather. and experts
are new ~firuring Oh 100000 900
bushels OF corn. 1900. 900 bales OF
and ~a25. 100000 bushels oil
wheat, these figures allowing for the
TACT that conditions OF cotton and
may fall off somewhat during
As producers are generally
profitable p~rices--even 81
'ent cotton yielding more than an
syerage profit--it follows that inter-
or merchants should experience
'easonahly satisfactory season; for In
OF industrial growth the agrlcul
nral interests are still the backbone
u our national wealth.
All indications point TO an a~ctive
Az said above. the advance
Ippears TO be all that is Justified by
conditions but manipulation
: a factor that must always Ia con. /
idercd in stock market movements, j
nd the recent rise has har the he,pc
very powerful interests. who may. b
they choose. easily carry prices tole
still higher level, or complete long. c