The Cairo bulletin., 1905-01-23
STOCK MARKET
DEMANDS CAUTION
SAYS HENRY cLEWs IN HIS
WEEKLY REVfEW-RUSslA's
CREDiT UNDER SEVERE
st RAIN - CONG REssIoNAL
LEGISLATION.

? Rain -- CONG E2SlGMAl
LEGISLATION.
Special to Tae Bule ia.
New Work., Jan TIE sae
Z warsei aas seen active aaa fe4e.ish
consequently strong iii gp0fs. bu
lacking Che universal 1noya1cy gaicl
J eharacteriaes thoroughly health,
null market Exc 5siye manipulate Il
iGol place ia some stocks, esp aiaut
in Reading, which 1oaoxor It's bus
mess has increased and whateye
plans may be in contemplation ha.
hardly Undergone a change warran
ing q rise Of 10 points within a week
Reading stock is SO plentiful and So
freely scattered that the theory that
| shorts nave been squeezed is scarcely
! probable; especially considering the
property Is more prosperous than al
any time within is history and short
1 sales corfespondingly dangerous. II
the sudden rise had any Justification
az all. it was most likely Attributable
% pure manipulation, based pefhapn
on the suppcsidor that Tie various
anthraci e coal companies arc TO la
brought in still closer permanent 10
lati0ns of some SORT Tie demand
for coal has been Unprecedented: and
since prices arc high and profitable
/ 1t follows that Reading, which
through the Gowan purchases back
In the seventies monopelizes re.
naming anthracite fields. would ma,
turally reap large profits from pres
en- conditions. Such violent move.
ments, however. un6ettle the market
and expose it TO equally sudden reac.
tions which simply disturb and dis
courage confidence.
Rumors Of Railroads.
Another and more legitimate set q
influences that affected speculation
were dividend rumors concerning sey.
eral importan raiiroad properties n
linois Central and Omaha both n
creased their dividends, and it would
cause no surprise if two Or three 9th.
er large railroad corporations should
fellow suit This is a natural SO
Qucnce OF the heavy business which
railroads have been doing for the
past twelve months, and is in some
cases justified by he outlook for the |
coming year. Some Of lac roais are
now beginning to feel the benefits Of
tho big OUTLAWS Of the last two years;
and if earnings continue on the press !
ent scale no material recession in the |
values of good railroad properties is /
at presen in sight The railroads /
however. are not entirely free Of vi
Public feeling is rising
against oppressive railroad manage
ment, and the threatened strike on
the PENNSYLVANIA system is a dis
turbing issue, inasmuch as it may
a revival of labor dlfAcul
lies. AS for railroad legisla ion, if it
goes no further than the stoppage Of
rebates and securing Of equal treat
meat Of all shippers, thar viii clearly
benefit the railroads; bat any ct
tempt by The government TO fix the
rate would be a revolution in our eco
aomic and political system. and ex
pose us TO serious disturbance in val
ues. Fortunately there is little pros.
Dect Of any such legislation
General trade continues &C i've for
he season, and the country IS now
distinctly feeling the benef OF q
profitable harvest Even the cotton
planters are doing wen having sold
more than half Of their cotton AT &c
md being quite capable of holding
The balance of the crop for better
prices If they choose Pig iron pro
iuct.on is going along az a record
IA e; and while the top 4
notch has probably been reached /
his great industry is certainly en-
ioying a revival Of prosperity not
dreamed of a year ago. Building
operations are also progressing at @
rate unusual for this season Of the
scar, and are likely to continue M
ess in errupted by a fresh outbreak
VI labor agitation Money is planti
.ul at easy rates. and thagTh ihe dc
nands from business channels are
there is little prospect az
my advance in rates unit the April
approach. Somewha
higher rates than now exist would lie
for if profitable employ
nent cannot be found in legitimate
channels more hazardous uses are
.ure to be found for idle capital The
PRESENT superabundance Of money is
lne Of the chief supports OF the ock h
market at present and is stili reflect
"a in the good investment demand
or bonds. which continues active and
las exceeded all expectations.
Situation Demands eau. ion.
The stock market situa ion just
low is che thar demand much eau .