New-York tribune., 1906-05-25
Closing prices of active bonds dealt in. with
STOCK MARKET OPERATIONS.

A firmer tone in yesterdays stock market rep
resented in great part a natural rebound from
the weakness of the two preceding days. Trans
actions were made up as a rule of the operations
of professional traders who were disposed TO
operate for rally and in the majority Of securi-
ties they were successful in bringing about
higher range of quotations. with the early
strength we'll maintained in the afternoon deal
ings Reading furnished the conspicuous feat
ure Of strength among the so-called active
issues while a smaller volume of trading
Louisville & Nashville also enjoyed noteworthy
improvement. the movement in the latter appar-
emily being due entirely to operations by specu-
lators who were satisfied that it was possible
to make quick turn in the stock. While in the
early afternoon there were reactions from the
best figures of the morning, further improvement
was recorded in the last hour under the lead
of Reading, which touched point about per
cent above its closing of the preceding day.
Evidently the short interest in this security was
larger than generally believed. while the same
thing may be said of a number of other issues
notably Brooklyn Rapid Transit for the upward
movement was due more to an aggressive drive
against the shorts than to an active buying
movement on the part of public operators
A certain section of Wall Street is disposed
to predict extravagant figures for Reading. but
as 4 per cent issue it already is dear, though,
Of course, this fact may not interfere with
further improvement in its price Reading un-
doubtedly is at present enjoying great pros.
perity, but not many years ago the company
was in receivers hands and it is conceivable that
some day there may be a long enough period of
depression in the coal business upon which
Reading depends much for its revenue, TO
bring about a season of poor earnings for the
company. 1t is not probable that many invest
ors are taking the stock at it's present price
In view Of the current disclosures affecting the
Pennsylvania in the Interstate Commerce in
vestigauon IT must be encouraging for the hold
ers 0; Reading stock to learn from the president
of the Reading that his company in all its de-
partments is good and virtuous and that it
would therefore be useless to insert the official
probe of the Interstate Commerce Commission
in the affairs of the property There is so much
that is bad in modern corporate management
that it is comforting to know that we have one
! railroad at least which, according to its own
announcement, is above reproach The receipts
Of $1,470000 from San Francisco and more en-
couraging news from the crop section of the
country We're factors which helped the afternoon
| advance
In their operations with the Sub Treasury
| the local banks have lost since last Friday up-
ward Of 900 but it is believed that this
movement has been offset by receipts of cur
!
well informed bankers. have been running heavy
! this week. Rates for money do not indicate an
unfavorable bank statement tomorrow, nor do
they foreshadow long period of extreme ease
in quotations. Notwithstanding the fact that
| large receipts Of money are expected from san
| Francisco in the near future. The volume of
| clearings throughout the country is enormous,
| showing tremendous activity in trade, and, al
! though there may be seasonabe falling off IN
| general business in the summer. it is believed
that trade in general will be heavy enough to
create such a demand Cor funds as TO proven,
extreme ease in loans At the moment money
| is not in active demand for the account of stock
market operators, and evidently the lending in
stitutions are not disposed to encourage loans OF
this character at present, owing 10 the neces-
sity of accommodating large reserves for the
handling of an expected large inquiry for ac-
commodation in the fall If there should be d
sudden outbreak of bull activity the Stock
Exchange, rates for money undoubtedly woul1
be advanced 10 a higher level, but this posi-
bility apparently does not worry the larger Wal
| Street speculative interests, who still maintain
that prices for stocks will advance this sum
mer unless there should be most disastrous
damage to the countIy's crops Buying of Sc
curities at present is confined in great part L
the purchase of traders while the same thint
may be said of the character of selling, commits
sion houses being unimportant factors, with NJ
indication in the class of orders Of an immedi
} ate resumption of activity on the part of tn
so-called public. Doubtless if prices could b.
run up steadily for a few days the outsider
would be attracted. and II is quite evident tha
in many issues efforts are being made TO ad
vance quotations in order to secure support from
the commission house element
Al the weekly meeting Of the Bank Of Englan,
yesterday no change was made in the minimum
rate Of discount, notwithstanding the fact tina
the institution made a most favorable return