The Birmingham age-herald., 1905-06-29
'STOCK MARKET HAS
 ABSORPTIVE POWER
Operations for Advances Re-
 Sumed with Confidence
RAILROAD STOCKS IN FAVOR
Buying for Foreign Account Was a Factor In the Advance-Money Market contiues Remark
 ably Tranquil.

New York June 2s.-There was some further heavy realizing of speculative trading in today's stock market, but 1t was effected without making inroad on prices. The absorptive power of the mar ket proved so impressive that the opera tions for the advance were renewed with confidence. The market at any one time during the day presented an irregular ap- pearnpce with prices advancing at some points and held stable at others by the coincident profit-talzing or from mere neglect on the part of the trading ele- ment. But summing up of results shows a pretty comprehensive advance in the level of the market.
 The lifting process was shifted from one quarter to another until no impor- tant group of stocks were left unaffected. Preference was shown for the standard dividend paying railroad stocks, but those were most favorable which have been subject to rurnors of intended increases in the rate of distribution There was a conspicuous reversion to the Pennsyl- vania group based on these suppostions. Reading was included in the operation and the dividend increase made only last week was accepted as a mere preliminary to a further increase to come. Such was the tenor of the rumors under the influ- ence of which what stock after having ad- vanced to within a shade of par, recently, crossed that figure aggressively to a new record price, A number of low-priced div idend payers proved attractive for the speculative possibility offered by possible advance in dividend rates. But the move ment was not confined to the small divi- dend payers, as shown by the prominence of the high-priced grangers and Paeifics.
 Tie rate of return on the investment at current prices for railroad stocks reck- oned on the existing dividend rates has fallen to such a low percentage that hopes of a rise in the rate of return is ealcu- lated to invite the outlay for reinvestment of the half yearly profits to be distributed on July i The demand from this source is relied upon in the current speculative campaign for basis. Buying for foreign account was a factor in the advance, and the fact that foreign commission houses were returning borrowed stocks on a large scale prompted the inference that this buying was to cover short contracts to a large extent. The money market continued remarkably tranquil considering the near approach of the July 1 requirements. Ster- ling exchange yielded still further from the gold export point here and advanced in Paris, so that there was no induce iment to further engagements of gold for export.
 The conviction is expressed still by bankers that the gold movement is des- tined to reach considerable proportion. The suppostion that the Russian indem- nity loan is to be provided for was sup plef1ented today by the suggestion that a new Japanese loan is in contemplation. Japanese bonds were weak in consequence and their decline here helped to the slight est irregularity of the bond market The bond market in fact showed very little effect from the usual preliminary invest ment demand incident to this season of the year. Crop news was conflicting and attracted little attention from the stock market. High cotton prices and weakness of corn were both considered as results