New-York tribune., 1905-02-07
BONDS.
STOCK MARKET OPERATIONS.

STOCK MARKET OkEhAI1OHS.
Interest in Yesterdays stock market was
nonopolized in great part by the local traction
shares, which were strong and active through
out the day. especially Metropolitan issues on
the exchange and Interborough on the curb.
the latter stock enjoying a maximum gain OF 10
per cent selling at its highest price on record. at
2I3 Metropolitan advanced points and Met
ropolitan Securities over points. while Man
haitian and Brooklyn Rapid Transit also re-
corded substantial Improvement. There were
no developments affecting the various traction
properties, but the character of buying was
good enough to suggest the probability that
manipulation was not the underlying cause of
the advance. OF course, the talk of an amalga-
nation Of all the city transportation companies
was revived and in some circles gossip was eX-
tremely confident in this direction, the idea be-
ing that the time is fast approaching when
there viii be only one control for Metropolitan,
Interborough and Brooklyn Rapid Transit The
growing popularity of the subway system ought
to impress holders of the Metropolitan and the
Brooklyn Rapid Transit stocks with the idea
that an exchange of their shares for INTERIOR
ough stock if such an exchange should be Of
fered, would be an excellent investment move
In most Of the active railroad issues the selling
pressure was heavy enough to prevent important
advances. while in a few shares prices went
under Saturdays final figures. notably Union
Pacific Reading. st. Paul. Delaware and Hud-
son. Southern Pacific, Pennsylvania, Amalga-
mated Copper and Northwestern. AS a rule the
industrial list strong. gains of l per cent
and above being made by American Tobacco
preferred Corn Products. Consolidated Gas. IN
ternatfonal Paper and United States Realty is
sues. The Kansas City Southern shares were
again in demand at higher prices; also Pacific
Coast common. Evidence of profit taking sales
was presented in the late dealings, when the
general list eased off, closing at about the poor
est figures of the da~
According to cable dispatches from London,
the Paris demand for gold less urgent. a
fection of which was presented in the reduction
in the price of bar gold the second reduction in
the last five days. OF course. this encouraged
the idea in local banking circles that the out
ward movement of gold from this centre would
soon come to an end, especially as, in addition
to the London developments in the money situa-
ton, a local banking house cancelled its order
for gold bars at the Assay Office. Foreign
change however. was strong. and while there
were no engagements Of the precious metal for
European account, $J0OO0O was taken for
port TO South America. New-York bankers
would prefer a situation calling for further
heavy shipments of gold TO Europe, inasmuch
as at the present level Of rates in the money
1t is not unlikely, however. that In the course Of
a few weeks the bank reserves will be reduced
to q point that will bring about better range
of quotations for money. although there IS moth
ing in sight that Will cause disturbance in the
loan market The outlook favors easy money
throughout the year. and a consequence a
good market for stocks. Naturally. at present
prices, many operators do not favor the pur-
chase of securities. believing that a good sized
H. -
less. buying on all declines on the theory that
even better figures Will be quoted in the next
few months barring some unexpected unfavora-
bio development affecting the actual value OF
stocks and bonds.
Efforts are being made In certain circles TO
convince holders of securities that the agitation
throughout the country in favor Of legislation
increasing the power Of the Interstate Commerce
Commission is sufficient reason for the sale OF
stocks, but owners Of American securities ap-
parently do not fear legislation Of this character,
as they know that nothing is intended that will
upset the intrinsic worth of investment issues.
and that the legislation proposed conserves the
interests Of the people and the corporations aske.
The present administration at Washington is
working along lines that will do the greatest
good TO the greatest number Of people. The
massage of the railway rate bill may be followed
by a decline in stocks. but such movement VIII
represent speculative conditions rather than fear
on the part of American investors over the fut-
ure of the railroad business In the United States.
The market has reached point where reac-
ton is due and setback will not reflect adverse
developments affecting actual values or indicate
that the bull movement OF 1905 IS at an end.
Stocks are IN good hands. and as their real
value Is increasing Il IS not probable that there
win be a sustained bear movement, particularly
as all indications point to year OF relative ease
i'm the money market There are n number OF
big deals yet 10 be announced. and the mere fact
that the substantial banking interests are en-
gagged In preparing plans for the financing OF
various undertakings ought to convince the
skeptics that no important permanent weakness
win be permitted in the securities market. In
vestors are In the buying mood, as shown by the
success Of current bond offerings, and as a con-
sequence the chances OF successful bear cam
palgn at present not promising.