New-York tribune., 1905-08-28
THE WEEK IN WALL STREET.

market still in progress. with indications gen
! orally favorable to the continuance for some
! time TO come of the upward swing Of prices
! Pause was given to the advance Thursday
and again Friday, when the violent bidding
up Of Reading common, suggestive of a possible
| corner. partly the reason and partly pre-
text for heavy selling of the general list. The
way in which the stock acted during those two
days. however. supplemented by the assertions
Of engineers of the advance. practically con-
vinced the Street that no corner had been plot
ted, ana, with the appearance on Saturday of a
| bank statement much better than had been
/ looked for, the market closed strong, with the
majority Of prices higher than at the end OF the
preceding week. One Of the stocks under espe-
! cial pressure late in the week was Amalganlated
! Copper, and perhaps by coincidence there ar
rived at about the time this attack was deiv-
cred an outgiving from Lawson long silent, pre-
dieting disaster 10 the copper metal market.
Amagamated. however, closed with 1% points
net gain for the week, fact not surprising
when it is considered that the price of copper
has been advanced four times in the week and
is now only fractionally under the highest
quoted figure. Before the unsettlement Of the
market caused by the rushing up Of Reading to
the record price of 1851 several stocks had
touched new high levels, among them United
States Steel preferred, American Smelling and
Refining common, Erie common and second pre-
ferred and Union Pacific.
The rising average of securities values
fleets a condition Of abundant national pros
perity. The winter wheat thrashing is nearly
finished, with yields up to the best expectation,
and the spring wheat harvest is practically
made, bounteous wheat crop thus being
sured. There is still danger to corn for possible
loss from frosts has TO be reckoned with. but up
to %na nf,,%4 aId
surprising all previous records. From all parts
Of the country come reports of great commercial
activity, with collections good and confidence
strong Of continued large trade. Manufactur-
ing plants, too, are busily occupied the most en-
couraging reports coming from the iron and
steel industry. still the barometer of trade"
There is active inquiry for pig iron. with out
put sold well ahead and the probability that
the United States Steel Corporation will soon
come into the market as a large purchaser
The railroads. confident Of heavy traffic offering
for months to come. pouring in orders for
steel rails in such volume assure the full
operation of all rail mills far into 1906 and the
outlook in other departments is so good as to
lead steel men to believe that the coming year
will be the most prosperous in the history of the
industry. The railroad equipment companies.
too are receiving liberal orders for cars and
other articles.
The earnings of railroads in all parts of the
country are expanding. a necessary conse-
quence Of the improvement in general Condl-
tions and the steady growth of the nation. The
Atchison, for example, reports an increase Of
s575o00 IN net earnings for July, the Mime
apolis and ST Louis an increase Of $4,000, and
the Southern Railway an increase of more than
$4,000 for the third week of the current month,
despite the handicap of yellow fever in the
!
issued within the last week. shows 10 per cent
earned on the stock, against 12.s in 1904 and
per cent in the preceding year. The increase in
earnings means in the case of a number OF
properties larger dividends and the placing in
the investment column of certain shares which
never have received a dividend. 1t is under
stood that Missouri. Kansas and Texas preferred
soon will receive its initial dividend. Norfolk
and Western common will be raised to a per
cent basis in the fall, and it is said in we'll in
formed quarters that the Canadian Pacific di-
rectors will raise the dividend on Canadian Pa
cifc stock TO per cent at TIE next dividend
meeting.
Rates for money beginning to show
| hardening tendency. both for call loans and time
| accommodation. With Withdrawals of currency
for crop moving purposes now in progress.
which bid fair to be commensurate in volume
with the vast harvests which are to be gar
nered; with the requirements of a rapid and
| general business expansion to be met, and with
! the surplus reserve of the associated banks at
this financial centre at its present low level, it
might seem that further advance in the stock
market could not occur, the banks finding it
necessary to strengthen their reserve by extens-
| i've calling of loans and curtailment of time
accommodation. Excellent judges Of financial
| conditions, however. profess no apprehension Of
| any material advance in money rates here would
/ promptly attract to this centre ample sup
ply of funds now held unemployed at remunera-
( tive rates in European capitals. If the confer
! ences at Portsmouth shall end in the arrange
! ment of a peace, however. this situation may
/ be changed; for such outcome would doubt
| less be followed by the placing by Russia of
| enormous loan both in Europe and the United
| States for indemnity and for rehabilitation, in
/ foreign capital available for loaning here
! might be recalled and direct drain would be
/ made upon the financial resources of this
country as we'll Japan, too, might, on conclu-
/ sion Of a peace. withdraw large part of her
credit here and also come into the market as
/ again borrower. But these considerations are
/ only possibilities. and meanwhile the course of
| the securities markets would seem to be still
upward, with occasional flurries in money and
occasional salutary reactions in stocks. When
| the top viii be reached is still beyond accura te
prediction.