New-York tribune., 1906-08-12
The Financial World.

We have had throughout this week a security
market under extreme pressure; and the net re-
suit exhibits nothing discouraging. During the
mast month market values have advanced ma
terially following purchases a large scale by
interests with sense enough 20 appreciate ana
stability enough 10 profit from The bargain
quotations which adverse manipulation had
made And not at all unnat ral is il that many
such buyers should on the rise take prohts.
Such realization has been, indeed, the feature
Of the week just ended. Under ordinary CIR
cumstances sales In such vo.ume could not faia
70 affect the market largely; yet the weeks net
result shows actually moe advances than de-
clines. and not one decline consequential. Apro-
pos OF this phase OF the market-signihcant from
the speculative standpoint-an important Stock
Exchange authority (Messrs HOOley. LcaFnard
& Coz wrote yesterday in advisory letter 20
clients:
We cannot join in the cry against the market
Most OF the effective elements seem 20 us In
spiriting. Indeed, outside OF money market dis
cussiOn we doubt II there be even scant basis
for any bearish disposition and the money mar
kets position is, see Il, not by any means
the discOuraging influence which so many specu-
lattve traders are insisting upOn-funds now
available at six months at . per cent Will be az
maturity renewable anticipate, at 8 per
cent making average carrying charge for
twelve months TO come around per cent
which IS not at all the Srewsome thing so much
scheduled. The course of this weeks market
with depression tactics aggressive every day
tells the story of intrinsic strength. shows the
positive tendencies.
THE record is not one OF weakness IL is
suggestive of something very agreeably diff
ferent," comment Messrs. HOOley-LearnaFd.
whose view at this jUnctuFe will command
ceptiOnal respect In view OF the fact that the
same firm was among those foremost in fore
casting the dlscouraging market OF the first half
of this year.
Outside OF Wall Street all is rosiness. bust
nesswise. Nowhere is there occasion, excuse or
attempt at pessimism-outslde OF the confines
OF the New York Stock Exchange. That the
professional element stays bearish. making faces
at national prosperity, is a fact without rela-
tionship or Justification anywhere else the whole
country over. Industrially there is tiptop press
ure in every quarter. The average mill Is run
ming overtime. Orders are booked far and far
ahead of possible current supply. But one
drawback is known TO the manufacturing world
but that conspicuous generally-insufficient la
Dor And as 70 the wOrlSmans position. was ever
before In history known aught comparable with
the rewards which now labor commands? And
as in industrial affairs. so cOmmercially-whOle-
sale and retail mercantile interests pressed by
patronage unprecedented.
But above all. crOwning the cOuntrys splen-
did status, shows the stupendOus agricultural
recOrd-crops assured, rich beyond a. dreams
these perfect harvests supplementine the un-
broken golden chain of half a decade
AT the close Of the week comes announcement
OF the governments crop review Upon the
August / condition, going 20 reap 30,-
100000 bushels OF wheat more than In 1906
this indicated crop the greatest on record. We
are going 70 reap full crop OF oats. We are
going to reap a greater harvest OF corn than
ever before with the exception Of last year and
the falling on is too nominal TO take into
count. COincident with this great harvest is a
world demand for fOOdstuffs which absolutely
guarantees an immediate market for everything
which we have to sell, and at prices which will
enhance the wealth of the American farmer TO
fairly fabulous extent And from the cold
point of view of trade and finance. position
is strengthened by the existing disturbances in
Russia, for Russia is chief competitor in
the sale of fOOdstuffs and other raw products
and Russia is crippled. Every importing cOuH-
try in the world must perfOrce turn it's attention
70 the United States; will eagerly take from us
all the surplus which we have 70 sell. And
that surplus will be materially cut down by the
constantly growing demand for home COnsump-
tion, due 10 increase of population and accre-
tiOn OF purchasing power
These are great fundamental facts which must
exert controlling influence in every channel OF
American activity. The stock market is certain
to feel this infiuence-cannOt escape IL. Briefly
summed up, the crops OF this year Coming as
they do after a series of great years) mean an
inevitable addition 10 the actual wealth OF the
agricultural community, which in it's turn means
vast industrial activity, increased railway earn
ings and expanding domestic and foreign COM