New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-05-29
THE WEEK IN WALL STREET

,vere nezerth eless heavy sales Tor the f'0Sou''-
Of people who for a long time had oeeh over
loaded with securities carried on ooiio"eu
-,,ors,- and as a consequence of their sales the
general position Of speculation was vastly III
proved II was thought that the oec'4'eS
,,,arl,ed the elimination OF the downward move
mont thar beEau several weeks ago, especially
&c -7,,77,l,ar Of factors developed that tended 10
revive confidence on the bull side Of the market
rs. for instance. the practical settlement % INC
long standing differences among the Ial-' o"N
interests Of the Northwest settlement H4e'
carried with IL more significance tnan even '''0
Wall Street trader appreciated tor a hu'1.O-
OF years the Northwestern railroad sltus'1lo'' io
bean a source Of constant trouble as market
factor. as well as a, menace 10 the pros2e'4's "a
the railroad business IN that part OF the eounIS,
o,5 the elimination therefore Of the unsettled
coalitions that have prevailed for so long
.,v,a Involving personal and corporate re'a'lolls
Of the largest financial interests IN me Cl1l'eo
s.s.As IS deep with meaning as an augurE Oh
cornulete harmony among the men VINO Co-ll10A
such a large proportion Of the railroad Dus-Iless
IN this country. Doubtless later in the Season
The resl1r7ption Of cordial relations between me
Hartman and Aiorgan-HLl interests VIII Oe
co7ne more important factor IN the stock mar
,,.+ zr,,1a II IS also probable that before many
,,aets .ra transfer OF stocks from weak TO
s+rone hands which has been going on for q
-,o-+l, ~ more will exert It's natural influences
on speculation
A. the moment the greater number OF Wall
etreer traders believe that the market WI! DC
waiting one. with good chances for quick turns
y, both sides but the same people hold mat the
high prices made earlier in the year ought 10 De
recorded again before the close OF the year.
barring. Of course, widespread disturbance IL
,,5,,s-rfal world crop failures and legislation
he
.s-ee,s % the country. Just now there is no
.,5,oartor Of the development OF any Of the
factors named There is, 10 be sure, a healthfuI
-asctior under way in certain lines OF the coun-
trvss trade. but there are no signs OF intrinsic
weakness in any department Of Industry. Nat
,,rarIv at this season OF the year there IS IN
certainty over the outcome Of the crops but this
Is no reason for bearish sentiment on the STOCK
market especially at present. when prices 10E
good securities are not selling at inflated hgures-
production has overtaken consumption in the
.ron and steel trade, factor that causes en-
thusiasm among the stock market bears al
though causing no alarm in circles where the
actual position Of the iron and steel trade Is
thoroughly understood. men who are vel IN
formed regarding the industry knowing tAaN
there is nothing the trouble with prices ana
that the decline IN orders merely represents q
natural quoting down Of the business from the
unusual activity that has prevailed tor num-
ba- n. months The reports OF railroad earnings
present no encouragement for the advocates o.
rhe bear side of speculation, while the condition
OF the crops at This early period furnishes no
argument for the bulls in the grain markets and
.he bears in the stock market
4 trusr company OF this city failed last week,
& firm OF brokers went under in Boston, and
Cincinnati house announced It's inability 10
meet its obligations. yet despite the sales OF
stocks as a result Of these insolvencies the
speculative position was helped rather than in
Jured BY these developments. The elimination
OF weak spots is not hear card. It IS possible
that there are other weak concerns that may 50
10 the wall and It is also possible that there
moro disclosures 70 come regarding corporate
financing. but the stock market however, is
reaching the point where such disclosures ought
20 be received with conposure on the part OF the
Wall Street community. for the simple reason
that the speculative liquidation Of the last few
weeks has placed stocks In quarters where they
VII not Be forced on the market on passing fac
tors OF a bearish character. Il IS possible also
that there stil are left some weak accounts that
Eazst be Hquidated, and It is not unlikely that IN
the course OF the readjustnent that IS now IN
dsr way prices will go TO a lower level, but IN
the-event Of further selling It is not likely that
the common sense Of the American public Will
be affected 10 extent that VIII lead TO the
conclusion that the intrinsic value OF American
investment securities IS being destroyed. Tt
is premature 10 expect that there VIII be
general tariff revision n the fall as e result
OF the Treasury deficit and the attitude OF
the administration on this subject, yet q num-
her OF people n the Street ars beginning
70 worry over the tariff question. for
getting that the party 81 power stands on q
platform that demands protection 10 industries
that need protection and sensible revision Of the
tartH IN cases where the progress Of Industrial
no longer advisable
Money market rates have not been effected
oy the final payment on japanese bond account
ind at the moment there IS no factor IN the
monetary situation that foreshzdovs materially
higher quotations Cor loans About the first Of
july there may be q brief period Of dearer
money. owing 10 the shifting Of loans that viii
take place az that time incident TO the July in
terest and dividend disbursements. but the o,t
look 1aTors easy rates throughout the summer
despite the possibility OF gold exports IN the
course OF the next two months Europe how
ever Goes not need our gold. and an outward
movement Of the nstsI viii merely REPRESENT
the settlement OF our obligations abroad in
Tsy most profitable 70 the bar king community
The United States could spare many millions =.
gold for foreign exchange transactions The
supply Of money in the country IS large ra+,o-s,
bank note circulation has increased in rba ,as+
few months. the addition 10 the arnoun. ~
money IN the country through coinage OF do
nestle GOLD has been heavy and more money
mas become available for the purposes Of trade
and speculation through the excess OF federal
government expenditures over receipts. There
fore il IS difficult 70 find in the monetary situa
80