The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1905-04-15
A Waiting Situation i.

The time is here when the mid Aprili
advance in the stock mark ct ought TO-
begin if the predictions made in March;
are to borne out. It is conee ded by.
even the most conservative and least,
optimistic observers that, conditions
could scarcely be more Favorable for q
campaigns on the bull side. Arguments
for further enhancement are too many
to permit Of separate analysis. rinci-
pally they cover the points of easy
money, great business activity and a
splendid crop outlook. It is true that
twenty leading stocks picked from the
list showfan average level only. slightly
below the high point Of 1902, the year
Of the last great boom, yet in itself this
is not fair argument agail1st still higher
levels, for conditions ares different: now.
Only last year tho regulation Of the
country increased by about i $3.50, 900,
and the amount Of money in circula-
tion by $15l 100000, or q per capita gain
Of 50. The gain in gold circulation was
$2s,ooo,oo. Meanwhile the interest
bearing debt of the nation was cut
down by $40 100000, and the annual in
terest payments reduced 81, 100000. In
the savings banks Of the country,270 ,2l5
new accounts were opened and deposits
increased by 46,853 900. The rail
roads added 9, 500 miles, and. carried a
grand total Of 696,90S,OOO passengers,
an increase Of 100000 over the pre-
vious year. The freight business Of the
roads ran. to the stupendous total Of
III, 200, 310, 900 tons, a gain Of 10000
100000. These things are representa-
tive Of what the country did in year,
in the way Of advancement, and serve
to show that it will not do to judge Of
what may come, solely by the past.
Stocks went too high in 1902, and posi-
bly, they will go.>too high again, but the
fact that they made record levels at
that time is not good argument against
new high records before the present
year is over
Two things areskeeping the market in
check. That most important is the
prospective naval battle. Nearly every:
one believes that Japan viii win, but
there is the possibility of#Russian vic:
tory. This, no doubt, pnld disturb
London sufficiently to make some weak
ness in Japanese bonds, and perhaps
even cause sentimental selling Of the
stock list on the London exchange, and
would prevent a bull market on Eoar
side. lsa. ~
The second influence for Hesitation is
the wheat corner in Chicago. Gates
who is credited with being long many
millions of May wheat, which he does
not want, and could not merchandise
proftably at present differences in the
options, is also an operator in a large
way in the stock market. He is per
haps the most prominent market manip
ulator and plunger in the country: to-day
and has large resources. He may carry
thru his deal successfully altho Thu
may well be- doubted; he may effect {
compromise of some sort, or he may ge
into a position where his operations ii
wheat will necessitate liquidation ii
stocks. 49,, !. 74 1l;.sg.
These two influences may hold til,
market in check for time. In thu
sea fight, the news of which may CONE
soon, are possibilities very great eithe
4 way, as to what may follow in fnanc
! upon a crushing defeat or great victor,
II For Russia sasH ~ w
Fundamentals in our country favo
activity and higher stock prices ulti
mately, but with reference to the bull
market predicted, that now appear
ready to break out at.fayorable oppor
; tunity, the two uncertainties of tn
naval battle and the wheat corner ar
}, the important considerations. J.
Mayor Dunno Of Chicago has discovere
a great national issue in government
ownership. The difficulty with it is tina
Il New York will never vote with Chicag