The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-10-14
HEARST AND WALL ST.

HEARST AND WALL 81.
First intimation Of official doubt
concerning the outcome of the election
in New York was sufficient to turn the
stock market sharply lower and start
new train of argument relative to values
and the market trend for the immediate
future. The statements of the republi-
can committee were in no sense alarm
ing if taken with consideration. Every
one knows that Hearst will poll big
vote, tho his election would be very
doubtful. In warning the voters
against apathy and overconfidence, the
committee did no more than Wall street,
had it the lines of communication and
the means Of reaching the people,
might itself have done. The signii-
canoe attaching to the incident lay in
the fact Of recognition upon the part
of men in the higher places at Washing
ton Of the seriousness Of the situation
not in the sense that they actually ex-
pect Hearst 8 success, but that they re-
alize the more keenly,. as election time
draws nearer, how great an element for
disturbance in federal affairs would en-
ter into the situation and how long and
trying a time would necessarily elapse
before the elimination Of Hearst politi
cally, were he once governor of New
York. 81 49,. ,,.,"-.. .}Hh >@'..-- -%...
/ Before this time the market felt the
stimulus Of new industrial and financial
deals and of record business the coun-
try over, with money still easy. The
nomination Of Hearst brought its de-
clines, but the feeling thereafter be-
came one of confidence. His defeat, it
was argued, was probable. The wish
being father to the thought, it was not
difficult to strengthen this into the feel
ing Of certainty. Indeed, if there was
any part of New York in particular
need Of warning against over-confidence
it was the financial district. The de-
preston following the, nomination had
changed to extreme hopefulness, the
best reflection Of which appeared in the
wagers giving good odds on Hughes.
A New York state election is always
Of Importance in Wall street, but par
ticular weight attaches this time because
Of the opinions Of Hearst relative to
control Of public service corporations
and his general attitude of opposition
to all that is ordinarily implied by the
word conservativism:: Irrespective OF
any merit or viciousness in the Hearst
views, which is a consideration foreign
to this article, the Hearst personality is
against the stock market and any de-
velopment Suggestive Of his success and
the probable putting / of his theories
into practice is bear influence.
= A thing of this Importance either acts
as safety valve and puts a damper
upon speculation which bursts out
afresh when it has passed, or else it Ais
discounted and operates the other fway.
The market was clearly heading to dis
count it up to Friday last. Assurances
and reassurances' We're heard that
Hearst would be defeated, and stocks
were bulled on the other good news
coming from day to day in full conf
dence. Had this continued and had
election day arrived with stocks on a
high level, decline would have been al
most certain, for - Hearst's election
would have sent, them down with a
smash and his defeat would probably
have brought some decline as well fol
, selling would naturally follow on the
good news being out. If, as now seems
probable, the warning Of the politicians
is to be taken seriously, as yesterday i
| general sagging would indicate, ther
, the thing to expect would be {
: weak and dragging market until aftel
e election, when, if Hearst is defeated
the street will probably make it thu
), basis for a great bull market. - =.
| Tho ooy;o1 All! will y.
: marked by uncertainty. It would seen
e that stocks ought to be in for a bull
i market finally. The country is SO pros
d porous that a hundred reasons for ;
rise could be brought forward. Regard
= less of the intrinsic worth of securitie
>. at present prices a time of great gen
= eral prosperity is time for Wall stree
s to put them up and it will be surpris
8 ing indeed if the big men of the stree
e do not take advantage of the favorabl
t conditions later in the fall. q
f ~ Watson from New York: Gas tn
! market in a number Of important d
rections has had prolonged advance
I reaction Of moderate proportions wa
n in order and should have caused no SUI
ID prise. Many people have attractive ps
eS per prOhtS to their credit and attn
le confidently believing in ultimatel
es higher prices would be quick to sell. ]
in they thought. their holdings could b
a repurchased cheaper. The trend of tn
he market, however, is. distinctly upwar'
he Conditions in every part Of the c99n Mt
.;s prices for many of the standard stock
~ railroads are running to their utmo:
8. 60 capacity, large orders for extra equil
~ ment have been placed and shippers al
70 being urged to hasten the removal (
at their goods, owing to great demand f
ct Town Topics says profession;
g e. manipulation is evident; but importa1
be interests are verey bullish and stocl
90 up easier than down. We expet
this backing and filing to go on for
10 week or so. with gradual improvement
p in the better issues. which we wou]
to buy on soft spots We advise again
to paying special attention to Temporal
ry fluctuations, but hold for the big pro
re its to accrue within the next month (
is two. Good profits may be secured I
n trading on the bull side, but the ma
err lot Eaf onv f;mo 4ic ant t0 advance