New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-03-23
BONDS.
STOCK MARKET OPERATIONS.

Stock market movements showed great frreg~
uiaraty early losses being followed by gains
throughout the list. while in the afternoon trad
ing weakness again developed, carrying prices
among the active shares per cent and more
below the closing OF the preceding. day. To those
people who have watched the market carefully
the continuation of the reaction that began last
week is not at all surprising, while further de-
ciines viii not create establishment in circles
where conditions governing speculative move
rneuts are understood. The reaction is the result
OF an overbought market at a time when money
rates are moving toward higher level. 1t need
not be assumed. however. that the bull market
OF 1905 has run its course. nor should the de-
cline be taken indication that the sub
stantaI market interests have lost faith in their
ability TO control speculation in the face Of
vigorous attempts the part OF sold out bulls
TO bring about lower level Of values In the
active list realizing sales and bear pressure were
responsible for weakness that doubtless forced
many lightly margined traders to part with
their holdings. but on the decline offerings were
taken by an excellent class Of buyers, the effect
OF these purchases being shown in a frmer
tendency IN quotations at the close.
There nothing IN the days news that war
ranted the weakness on the Stock Exchange, al
though traders thought that the situation OF
affairs in Venezuela had induced selling in COM
MISSION mouse circles. II Is NOT ukely Ifl6L any
one with the faintest grain of common sense
sold stocks because the United States has de-
cided TO compel the President of the Venezuelan
Republic TO behave himself in the matter of his
conduct toward American business enterprises
in this country. The decline was due TO tech
nical market conditions. It is more than likely
that there will be a recovery in to-day's mar
ket, and that the losses of 2 per cent~n New
York Central, 2 per cent in Ontario and West
ern, 2Ss per cent in Union Pacific, per cent in
Chesapeake and Ohio, 12s per cent In St Paul
and Ia per cent in Canadian Pacific will be fol-
lowed by gains equally heavy Vigorous
efforts were made by traders to force the pools
In various issues TO throw their holdings on the
market, but there was no indication Of Impor-
tant liquidation. and no disposition on the part
Of the leading interests TO believe that the SELL
ing movement would into the big decline
that generally marks the end Of a bull market.
In many stocks pool brokers were active buyers
on the reaction, notably in Canadian Pacific, in
which accumulation reported for the ac-
count Of the same interests who for so long a
period have been bullish on this issue. The
chief exception to the downward movement was
presented by Twin City Rapid Transit which
closed the day at a net gain Of points. buy
ing Of the stock being based on the conaany's
excellent return Of earnings. and Chicago Ter
people well Informed regarding the position of
the Chicago Terminal property.
The high prices for The greater number of
securities in the current year were made week
ago. when the leading active railway issues
showed an average quotation Of 126.7S and the
leading industrials average price Of 1922
IN the last seven days there has been an av-
erage decline in the railway shares of over 2
per cent and in the industrials decline of 1
Per cent, while comparing present figures with
those that prevailed a month ago the average
advance has been about 2 per cent for the rail-
way issues and the for the industrials It
will therefore be seen that in the last month
there has been no enormous appreciation in
stock market values and that in the last week
there has been a healthfm reaction that has
served TO eliminate many weak holdings thus
placing the general market IN a better position
10 resume an upward course-a movement that
the best informed observers believe will take
place In the future. The idea that specuia-
ton viii be upset by the money market is not
entertained IN conservative quarters for the
simple reason that it is known that whenever
money becomes scarce at this centre there Will
he large offerings Of foreign funds in the local
market. Foreign exchange rates already are
near the gold importing point, and ii is not at
all unlikely that shipments Of the precious
metal Will soon be made from the other side TO
New-York. Money moves in the direction where
rates are the most profitable, and as quotations
abroad have fallen under the level in this mar
ket. It is easy 10 see why there should be no un-
easiness over the position OF the monetary sttua-
ton here.
BOND MARKET TRAINING