New-York tribune., 1905-08-25
STOCK MARKET OPERATIONS.

Throughout the early part Of the day prices
for securities continued to move in the direc-
ton of higher quotations under the influence OF
a good commission house demand and active
operations by the leading Wall Street interests
New high records were made by a number Of
issues, notably Reading which touched price
that returns to buyers much less than per
cent. This fact. however has no effect on the
speculation in the security. It is confidently
reported in Reading circles that the stock will
sell at $50, but despite the possibility OF such
quotation conservative investors not justi-
ned in taking the stock permanent invest
meut for the good reason that there is no abso-
lutte certainty that the company always will be
able to maintain even 4 per cent dividends.
Reading is a vastly better property than it was
a few years ago. The coal business brings to
the company a enormous profit under normal
conditions. but the fact that there times
when the coal trade is not profitable should not
be lost sight Of in considering the merits of
Reading us @ permanent investment security.
On its merits Reading stock is selling for all
that it is intrinscally worth All the anthra-
cite shares were strong, while throughout the
list there was no indication of weakness until
the afternoon. Union Pacific for the first time
in its history crossed 13S, selling at 1885, al
though losing all of the gain in the final trading.
Indeed, the general market suffered a reaction
issues under the closing figures of the preceding
day, the only important exceptions in the active
list being Reading. which closed ar a net gain
of 3A. at 12215 as against 81 high price Of 1854,
Illinois Central, Northern Pacific, Southern
Railway, Wabash. Delaware and Hudson, Con-
soldated Gas and American Locomotive The
decline in the late trading was due to profit
taking sales.
Current stock market conditions appear to be
eminenty satisfactory to the leading Wall Street
interests despite the large expansion that al
ready has taken place in securities values 1t
is asserted that the market has not reached an
overbought condition and that prices will go
materially higher before an important setback
develops, but it may be we'll to bear the fact in
mind that in the past it often has happened that
when bull enthusiasm has been rampant the
big men have quietly disposed of their securi-
ties to other people. OF course the current situ-
alton is somewhat different from that which has
prevailed at corresponding periods in preceding
years, and too much trust therefore should not
be placed in precedent This year the country
has record breaking crops in sight. This alone
means enormous increase in the material
wealth of the nation. Then the general position
Of the country's industries never has been bet
ter. while the outlook favors long time of
business activity. especially in the lines that
yield large profits, for instance, the iron and
steel trade, in which 8 record breaking volume
Of orders is being handled. According to the re-
ports received from the centres of activity in
the iron and steel business unusual prosperity is
noted for this season of the year and as con-
sequence most favorable attention is being paid
to the securities of the iron and steel companies
a reflection of which is presented in the stock
market operations in the United States Steel
shares The prospects favor many months Of
profitable business in all metals Copper is he
ing more extensively used than ever before in
the history of the world. and naturally the Anal
gamated Copper Company will be an enornous
beneficiary of the growing demand for the metal
AS pointed out in The Tribune Yesterday tha
water has been squeezed out of Amalpamatad
copper stock. and the issue, therefore is In a
posiuon 10 move under the influence of its in
trinsc value. 80 -
Prlces for securities are at the highest noipts
issues at the best figures ever recorded 80
dltons governing quotations are much hettar
lhah IN bull markets of the past AMI ,,nIEs &c
speculation runs into the crazy stage douhtIees
et So VIII IL De a long period of stability in Wall
OtCVl- mere are, unfortunately signs in Cove
quarters that too much faith is being riaoaJ ~
lhe aolllty or the market to advance inde6nital,,
anu, II acting under this delusion traders,
continue 10 BUY on small margins there Will he
- -couple IN a number OF commission house ac-
counts Inevitably there must soon he q tand
ehcy on the part of the large interests to IA,
pose OF their holdings, and then il may cow =
pass that there will be a sudden tirhtenino -
money rates and fall in the price az sTacl'
- te colltloi OF the money market is in the hands
OF tew or the larger banks and these irsti.
lions for the present, at least are tntat tstitu.
In maintaining a strong market for sacr,st cTsteu