The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1905-08-26
STOCKS WILL FALL
IF WAR RENEWED
BELIEF THAT A PEACE DISAGREE
MENT MEANS DECLINE.
Wall Street Sees Everything Favorable
Aside From This - Big Crops and
Much Commercial Activity Present
and Prospective, and No Money
Stringency Likely-Gossip Of the
Week From the Speculative Center.

dAu IIOSpoCG4Ve, d1Au NO MoAey
Stringency Likely-Gossip Of the
Week From the Speculative Center.
Special to The Journal.
New York, Aug. 26.-Comment on the possible
effect Of resumption of hostilities in the Far
East on the stock market is naturally mixed,
the probabilities being generally held to favor
decline. Stocks selling today at figures
which surprise even those who were behind the
boom Of 1902. Altho profit-taking has been
INDUCED in to a rather extravagant extent, all
offerings have been promptly absorbed and the
appetite for stocks Of many kinds still con-
tinues practically unwhetted. Consideration Of
the past week in the stock market evidences the
prominent part which the various pools are
playing in the campaign for higher prices,
feature which, while usually present during such
movements, Is not warranted to encourage par
ticipation by the conservatiyely minded. Altho
railroad issues have all shown marked strength,
it has been mainly those stocks held by specu-
lative cliques in which spectacular advances
have taken place. canvass Of the leading
banking houses disclosed the fact that all the
substantial interests are on the bull side Of the
market. "
During speculative crazes pool operations
always present and contribute their quota toward
the imitation in prices necessary for proft-mak
ing on an extensive SCALE While stock market
conditions suggest caution in the way of
commitments, the swing Of the pendulum will
probably carry securities to a materially higher
level before the end of the movement. Those
who argue that such will be the case are mate
rally impressed by the strength of the Gould
group, which has heretofore been practically
neglected, largely because of the absence of
support from inside circles Possibly the great
est interest displayed by this element has some
connection with bond issues which are yet to be
distributed. Buying of Union Pacific seemed to
point to the Hill interests, and taken in con-
nection with the steady advance of Great North
ern and Northern Pacific would indicate con-
fidence in the future engendered by the large
crops. -..-
Big Crop Returns.
The exceedingly optimistic feeling which pre-
walls in Wall street is based upon the bright
outlook which should assure at least year of
conditions, SO far the grain harvests are
concerned, continue all that might be wished,
| making certain that yields will be more than
| normal. Possibly the promise of bountiful har-
vests is responsible for the large orders for car
equipment reported In any event, 1t tends to-
wards an expansion in general business, for
with the crops assured, the farmers Will buy
heavily of manufactured goods, affording the
| railroads large return traffic. OF fully as
great Importance the prospects Of g. large
surplus production with which to swell our ex-
ports and provide the basis for much foreign ex-
change. Along these lines the July statement of
foreign trade is Of marked significance, show
ing gain in exports of 26 per cent, and an in
crease on imports of IS per cent, the latter a
| record breaking figure. The increase in exports
| is largely accounted for by cotton and bread
stuffs. Altho this years cotton crop, from all
| Indications, promises to be much less sat1sfac-
| tory than during 1904, in conjunction with the
surplus on hand from last year 1t should be
| sufficient to provide for both home and foreign
wants.
According to the best-informed men in the
financial community, no disturbance VIII de-
! velop in the money market this fall attic
higher rates for call money are expected. One
| of the most prominent bankers in Wall street
said that in his opinion call funds would moi
go above per cent, and that every precaut1o1
had been taken to prevent undue tension in the
| loan market in the autumn, when the demands
| for crop-moving purposes will be excessive. Ship
ments In connection with financing the crops
| began two weeks ago, and from now on the out
| ward movement doubtless will increase, and il
Is therefore reasonable to expect an early
| stinening in rates. Regular borrowers have
in most cases, provided for their needs in the
remainder of the year.. The money outlook
| based current bank reserves, is not favorable
but the big financial powers are fully alive tc
the calls that will be made on this center fol-
funds, and a consequence they are making
preparations to prevent disturbance.
No Hostile Legislation. -.
Washington advices hold out to Wall street
the hope that nothing radical in the way Of
railroad-rate legislation will be done by the
coming congress, the impression there being thai
railroad officers have argued effectively against
| the dangers of hasty and inconsidered meas
ures. There are indications that not only mem
bers Of congress, but the country at large, have
much better appreciation of the extreme diff
fculties and complications which the problem
presents than they had year ago. Hence the
belief that the national legislators and thei
constituents will be satisfied with an earnes
attempt on the part Of the former to analyzt
the question thoroly, even tho 1t involves some
delay In reducing proposed new laws to thei
final form. With the special session out of tn
| way, it Is believed that offhand disposition o
the matter no longer threatens. s.5.,
i No confrmatio is obtainable of the revampet
story Of big anthracite coal deal Involving
large collateral bond issue.
While the uptown party still favors highe
prices for standard stocks there Is prett.
well-defned opinion that the market may prov
somewhat irregular for short time. Buying
l of standard issues on recessions has been Of al
4 excellent character, and the uptown crowd ex
poets to see pronounced rise in the marke
: before long. - r.
Tips are out that the long delayed movement
in Amalgamated Copper will take place in tn
near future.
One Of the reports in circulation is to tn
effect that the Vanderbilt and Pennsylvania
interests have arranged for consolidating Read
ing and Lehfgh Valley. IS. s, Schroff
NEW YORK PRODUCE. Aug 2e.-eutte,
21hc: state dairy, common to extra. 1sc: .reT
factory, common to extra, i5@17nc; w wester
| Imitation creamery. common to extra, 1s@19h,
strong s Teeepto 9eS
11hc: fair to choice. 1oA @11Ac: large colore
IL @9c. Eggs, weak: receipts 9,127: state
Pennsylvania and nearby selected white fancy
27@2sc; choice. 25@26c; mixed extra. 25c
western frsts dc; choice seconds. 1S@191ht
CHICAGO PRODUCE, Aug. 2e-Butte
Eggs. steady. at mark cases included. 13@16E
Cheese, steady; daisies Inc; twins, 1OAt
hnsaS aprnss ye c p
) tatoes, steady; CARROTS on track. 3S@43c. Yea
3 steady; 90 to 60-lb weights, 6@7c; go to 49,
weights. 1@71hc: so to 125-lb weights 8@S1a,
2 ! IS to 1cO-lb weights, DC.