The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-03-27

Undoubtedly the ending Of The war or .tho
prospect Of such an event VIII be hailed
by the world with delight and viii eXhilaFats
all the financial markets for time, but the
borrowing by both Russia and Japan that
will immediately follow the cessation Of
hostilities will lay the bank Golfers Of all
the nations under tribute, particularly az
Japan, at least, will wish 10 replenish the
depleted stores Of actual gold In her treas
ury. At present, owing 10 the hrmer tone
Of money here sterling exchange has fallen
rapidly and seems verEing toward the gold
import point but sterling is also falling
with equal rapidity in Paris, 90 that in
quiries for gold for shipment 10 the French
capital we're made in London on Saturday
We need not expect that England IL going to
send gold 10 both this country and France
in quantity. The English tank reserve is
high for this time Of year, but the bank
discount rate will go up In trice u gold
shipments OF the kind described begin
on any considerable scale. Our banking
authorities do think that there IL q pos
sibility Of money stringenoy in this country
in the autumn this year. They say II Is
self-evident that with our bank loans
expanded as they are the money market
cannot stand the usual drain Of cash from
the East for the seasons crop moving, and
that this will be especially true II the crops
are 40 large that their harvesting require
the use OF a large amount Of money, All
this, however, is six months away, and Wall
Street, very justly, is not inclined 70 borrow
trouble over II now. All that need be said
is that some time before Oct. next the
81. at 10 nj
whatever effect upon prices the Western
demand for funds is likely to exert, taking
into its reckoning Ut the same time the
knowledge that an extra session Of Congress
will probably also DO called on Oct. to
overhaul the tariff and NEEDLE with the
oountry's railroad business.
The element Of purely professional spec
ulation is one Of the most powerful forces
in the market at present and Is also one
Of the hardest 10 understand. 1t is
mere guessing on the part Of any one
to attempt to settle in his own mind
which side Of the market this body Of
professional operators will or will not
take in the near future. The public, az
generally 40 described, is rot in the stock
market and has not been for months,
and the bulk Of the operations there are
for the account OF traders who are dealing
now on one side Of the market and now on
another in a quantity Of stocks far out
running their usual lines, these dealings
being Of course Of a purely aleatory
nature. II is said by good judReS that
fully one-hah Of current transactions on
the Stock Exchange are for the account
of members Of the exchange themselves,
either those actually present on the floor
of the exchange OF watching the fuctua-
tons Of prices from places near by. The
large commission houses, as a rule, report
a small number Of customers In comparison
with the total volume OF daily business,
the fact being that few spectators, rela
lively, are doing all the business that is
done and doing il therefore in a big
way, This is a phenomenal which began
to characterize our stock market in 1901,
and it has been an increasing factor in the
OF prices ever since. Tales illus
trating this-of the 10000 and 100000
shares carried for the account Of this
and that almost unknown operator-are
common in Wall Street. and many Of these
stories, though they seem incredible, have
more fact than fancy about them. The
operations Of these men alone can seEd
prices back and forth in wide range az
long as the public maintains its attitude
Of refusing 10 sell the stocks Il owns no lees
than Its nwillinness to make new pur-
chases. Up TO a little time ago this class
Of SPECTATORS who are all more or less
imitators Of the so-called Western group
were almost universally committed TO the
side Of higher prices. Last week they
changed their position and sold stocks
freely. both speculstively for the fall and
as a closing out Of operations for the rise
What they will do this week, whether they
will again affect 10 be perturbed by the
high level Of prices and the apathy OF the
public in speculative matters or once more
lay stress upon the scarcity Of stocks and
the supposed conduct Of various deals, no
man can tell Eventually and in the long
run, Of course, prices will be determined
by intrinsic values and by the action Of
bona hde investors. There we're no par
ticular developments in business circles
last week. but there was no break In the
stream Of general prosperity that has been
40 long running Particularly, there we're
good reports from the crops and further
evidences Of the active and profitable state
Of the iron and steel trnde.