New-York tribune., 1905-06-04

review is contributed by John G. wilson a' ''no'ns
Speculation in the security market ia r..
nant Early in the week a brisk upward novs.
ment followed the receipt of the news OF Togo,,
victory in the Sea of Japan; general recessIons
from top prices followed when 1t becans az
parent that the Russian government stfn OH
stinately held to continuation OF war, but a,
no time with few exceptions) were the law
quotations OF the preceding week approaches
the average OF final prices recording moderate
Improvement. Prospects for peace look battsr
now than they did some days ago-iudead a.
would seem impossible for Russia TO prolonp ,hs
contest much further However so far a, ,hs
United States is concerned it will immediatelv
enter upon the practical enjoyment of peace con-
ditions; the annihiation OF the Russian feet
leaves the Pacific open to untrammened COM
nerce. and resumption Of Chinese. japanese AMI
other Far Eastern trade will be immediate. This
means much to our transcontinentaI railroad
systems The effect OF official peace would be
mainly felt here through the improved tore
which would at once appear on all European ex-
changes. Already there is better demand from
abroad for American securities, each morning
bringing large orders from London and other
foreign centres.
Dullness and stagnation are absolutely con-
fined to speculative Wall Street circles. The
country at large presses along the path Of
prosperity with firm tread. Excellent is the
outlook for the years crops; the harvesting
of winter wheat begins and must result in
magnificent yield. Weather conditions have
been little backward for spring wheat and
corn. but are now all that could be desired.
and there is no reason TO anticipate any other
than satisfactory harvests Of those cereals
The government report cotton is highly en-
couraging; IT reveals a decrease in acreage OF
a trife IL per cent, and condition of
7T.2-foreshadowing satisfactory yield. The
immediate effect of the publication Of the gov
ernment report sharp drop in cotton
futures. Unless actually abnormal weather
conditions should prevail from now on future
financial operations can be safely based upon
the practical certainty Of another excellent crop
year. What this will mean to the nation can
| scarcely be Observation-Disclosures accumula-
ton of wealth will come to producing conmu-
| mites already enriched by a number Of con-
secutive prosperous years. increasing consump-
! tive power to a point not before reached. with
the inevitable result of stimulation of indus
tries in all directions. And this in turn will
| pile up railroad earnings to figures which will
make previous records look small
| OF course these fundamental considerations
! do not count for much in the daily gossip OF
Wall Street which prefers to interest itself with
| the doings of individual operators and the
tittle-tattle Of tipsters; but the mighty forces
| originating in actual production OF wealth from
! the earth. and subsequent prodigious achieve
| ment of a nations workers, cannot forever be
| withstood by mere manipulatiye tactics. Gull
liver must always overcome the Lilliputians.
| Crops, manufactures railroad earnings, the
money market. all testify credibly to a pros
| perity fairly garoping.
Nor are these happy conditions confined to our
own country. Our northern neighbor. Canada,
| Is marking time with us. Emigration is being
| attracted in great volume to the arabic lands
| of British Columbia, where vast territory
! akin to our own Northwest calls for develop
| ment. In this immigration movement Cana
dian Pacific ami its allied lines play a prom
inent part, offering liberal inducements TO for
eign settlers. What IS going on in the Canadian
northwest vividly recalls the rush Of imHligra-
ton twenty and thirty years ago to our own
| territory west of the Mississippi. which resulted
| in the building up of an agricultural empire.
| Canadian Pacific 500 Line, and all allied sys-
| TENS will directly benefit from the conditions
| ctted-a fact which even the security market is
recognizing and will recognize still more.
A singular feature of the current dealings is
the persistence Of bear attack upon the shares
Of the United States Steel Corporation-nuch
capital is made out of the dissolution of sundry
steel pools but it does not seem to occur to SELF
constituted critics that pools not needed TO
maintain prices in times when consumpttve de-
mand is equal to if not in excess of productive
canacitv. The facts seem to be that the ter
ninatiou of these pools" is simply recognition
that such associations may be repugnant to the
| law and is not a breaking out OF trade nos
| tiIities nor a precursor of cut prices Ihere IS
no doubt that the United States Steel Cor
poration is transacting an immense and pronta-
BILE business Credible Information places is
| net earnings for the current quarter at OF over
$40 600 OOO which will mean another handsoIhs
addition to its surpius-of course more Iii1i'
| guaranteeing the maintenance OF pEeIerreu W.
6ends And if this surplus keeps plllhs up o.
# is now doing 1t is only question OF Time
perhaps not so far off-when there wiz 20 =
| sumed dividends for the common stoch- II, II -
certainly a market anomaly tnat a I peI-0.aI 80
safe cumulative per cent dlvloehG paS 20 g. of
sell materially below par. II is & c4eaI - 80 -
the temporary power Of sentiment agains.I - -
veaIed facts But the transfer BOOKS ,,sa-s oI -
company show that the number OF stVcAHoaest1 Iss,
steadily increases. which means thaI the i''00
or is quietly picking up this bargain, o,ort.v
AS of United States Steel so or lhe iL"(S gy. ~
of other Industrial shares traded IN on Le
Wors y stocI< FSxchange Scarcely a quotatlohi
can be cited which begins to reject & Iatl - Sold
lent of asset and earning power. rLey are
This distrust of industrals eXistf ~, ~. 4oTs
a,factrne TINS concerns-usually combina1onss s
| of previously individual producers-elseeSSS and
supplying the wants or our oMl1 .on5 share Of in
reaching out Cand seCuring) goou s,,rs. snr For
soma fio1eI trade Take this latter Iea'ui ortz
The ten months ending April oO, 1Sgyss 1SSgg9ss e9IO0O
of manufactures came close a. 90 in agrcult-
| practically replacing the shrlIkaSe - oooeti4nt-
i,rai exDorts for the same period ana 80 "a a
: ing over 35h per cent of all e@xpoIes expo ;+b these
great an inspiring record. Yet Win "lln.ts1s IN
So @ tbanI the bear fraternity persists =, :.
sneering at the industrials and eInPio!S vslue.