The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1905-10-22
BANKERS OF NOTE
ARE FOR CAUTION
Not Bearish, but Opposed to Bull
Speculation at the Pres .
ent Time. -. as4

Special to The Journal. .,-: . Il
New York, Oct. 21.-.Bankers Of
repute, who are not in favor of bull
speeula ton at this period are not en-
ket, but they have sent out the warn
ing that further strain on the money
market from the speculative clement
will be followed by the wiping out of
many speculative accounts. Natur-
ally the bank presidents, who have
Ssa thar than the n 01ana SPEC s
oility in Wall street, and it is for this
purpose that they have been preach
ing against reckless operations on the
Stock Exchange. Of course, they will
1ot receive from the speculative bull
element the credit for being sincere.
It will be said that they are working
Standard Oil and other large 6nan-
,ial interests may load up with stocks
at cheaper prices, but such things
nave been said before without ruffling
the temperaments of the able men
Who have in charge the money and
for the benefit of the people and the
lpbuilding of the entire nation s in
~.lustries. There are other demands for
money than those Of the Wall street
spectators, and when the bank re-
serves at the chief financial center Of
20 consider the requirements Of trade
before the needs Of the spectators,
and this is what the bankers who are
liscouragging bull speculation at pres
- EDWIN HAWLEY was connected
by recent rumor with the strength
If Missouri, Kansas & Texas, but
without apparent warrant. Mr.. Haw-
ey serves the stock market gossips as
~ md oil
railroads lying around loose and would
not have the time to deny. all such
stories in circulation about his plans,
even if he cared to use it that way.
He has been represented as desiring to
bring about an amalgamatlon of the
st. Louis, the Iowa Central and the
Clover Leaf, perhaps with the idea Of
selling it to Erie. The only circum-
stances bearing on the matter was
he simultaneous strength of the stocks
If these roads,.
BROKERS ASSUME that resump-
ion Of the upward movement will cen
;er about the low priced railroad and
industrial issues, preferably the for,
shared proportionately in the i'm
orovement Of prices. Presumably
here is something in this reasoning,
since this class of stocks costs less to
larry and to the unthinking may have
! cheaper appearance. However, from
. lividend-payers represent more real
intrinsic value, the low-priced stocks
standing for merely future earning
power.
; WALL STREET has been served
/ FOR months with reports Of an impend-
ng distribution to Great Northern
sha:r 1 which i Invariably found 1ad
! proved to be the case, SO again the
stock. market absolutely disregarde1
! he fulfllment of these expectations,
the stock failing to rise on the an
nouncement of rights. The. bonus to
result from the Great Northern 8 ore
ands. which the United States Stee1
Corporation is supposedly anxious ,te
obtain still remains as a mystery
value.
- STEEL REPORTS are of the mos
optimistic character. In most parts O:
the: country railway earnings continue
to show Improvement, the only impor
tant exceptions being the roads in tn
southwest, such as the Missouri Pacific
the Missouri, Kansas & Texas and tn
Texas & Pacific, but in these cases tn
returns compare with unusually heav.
PRESIDENT THOMPSON, of tn
Republic Iron and Steel company
Chairman Bacon, Of the Tennessee Goa
& Iron company, and Willis King, presi
dent of the Jones & Loughlin company
are among the well-known iron and stee
men who have come to New York re
Gently. They are all decidedly optim
ist1c with respect to the steel trade.
CANADIAN PACIFIC has been Wig
~~,rously sold by traders this week bu
very little long stock came out. Car
adian Pacific was sold by arbitrag
houses against long stock to arrive fro1
London, where there has been some dill
aculty in managing the bull accoun
lnder stress of adverse criticism Of tn
railroad property by authorities o
economies.
FAILURES OF small banks hav
oeen quite numerous of late. Such fai