The Birmingham age-herald., 1906-09-30
FLOATING SUPPLY
 IS IN SAFE HANDS Real Strength of Stock Market
 Explained HUGE CROPS PROMISED Railroads Are Preparing for Record. Breaking Tonnage During Com Ing Year-Equlpment lm-
 proved on All Lines.
HUGE CROPS PROMISED
BY W. G. NICHOLAS.

New York, September 9-(SpeciaD. The real strength of the stock market lies in the fact that the great bulk of the so- called "floatlng supply of stocks is held by solvent people and not by the gam blers, who are moved by the impulse of the moment and the idle gossip of brok- craze offices to get in and out of the market. People of substance have the se- curities and they are not frightened by momentary reactions into running away from investments because of light waisted opinion that unprecedented and glorious prosperity is about to plunge the Repub- He into a bottomless abyss of ruin. The premises do not square with common sense. There Is a screw loose somewhere, a false note in the funeral chorus. Woe full theory does not seem to harmonlze with massed facts of brightest hue
 Hold a silver dollar foot from the face 1t only slightly obstrncts the gen. eral view; bring 1t close against the eye and it obscures the whole landscape The mllled edge of the coin is the horizon of observation. A parallel to this is found in the attitude of many bear oracles financial writers and market com mentators at the present moment. In their agony over the prospects of snug money during the coming three or four months they lose sight entirely of the fact that money commands a premium because 1t Is needed primarily to finance the forward end of the greatest wealth creating crops ever grown in America
 These stupendous crops spell prosperity in letters that blaze across the sky that all the world may see They are tangible additions to the assets of the country they broaden and strengthen the founda- tions of our national prosperity; they put billions of dollars directly into the pockets of the farmers and further uplift the moral and material status of the 25,- 100000 agricultural population; they give fullest assurance of at least another year of buying power, and a guarantee suffi- elent for the hundreds of thousands of retail merchants to order on a generous scale against future requirements this in turn making certain a continuance of industrial activity in every mill and fac tory in the land.
 Record-Breakine Tonnage.
 The huge crops are pladge of record breaking tonnage for the railroads for an- other twelve months, tonnage that can be carried at lower cost to producer and shipper and larger net profit to the rail roads because of the economies put into effect at an outlay of billions of dollars in physical betterments and new equip ment. And in this connection it is well to remember that the increase in railroad capitalization during the last half-dozen years has by no means kept pace with the reinvestment in plant, tEe growth of business, increased earnings and the en- 1, quarter. This increase In value in the case of railroads is reflected to some ex- tent by the market quotations of their stocks, but only in degree, and far less than in land, buildings and almost every other form of property A disproportion ate amount of earning has gone frankly into betterments good thing for stock holders in the long run, but hard on them while tho sweat Is on.
 It is difficult to discover calamity in splendid plenty. For the time being and for year ahead the nation is certain to roll in abundance of everything that goes to make up the lives of the people. There will be enough for home use, and whole lot over for shipment to custo- mers in the old world--and then some for reserve against lean period Take corn for illustration. It Is the opinion of the best-informed men In the country that farmers have in their cribs today nearly full crop of old eorn-carred not es- pecially in expectation of higher prices, but simply as insurance For the first time in the history of the Republic the great mass of farmers are in position of absolute financial independence. They have money In the bank leash working capitaD. They are actually financing their own business, and in strictly business way They no longer have to mortgage their crop ahead to plant cuti- vate and harvest It. Neither do they have to rush 1t to market to obtain money with which to pay off pressing claims. The existence of a 5000, ,000, ,000- bushel new corn crop on top of a very large reserve of old corn would, under the old order OF things, mean ruinously low prices for the ceretal during the com ing year. but under the changed condi- tons such a conclusion. is unsafe. Re- ceipts at the primary markets do not indicate any farmer purpose to hurry grain to the front On the contrary re- ceipts are more than usually light for the time of year One reason for this is found in the fact that the farmers can get only 40 to 45 cents a bushel for their corn in the grain, while in the shape of hogs and cattle It yields them 65 to 70 cents Another reason is the beaming content of the farmer and the human disposition to hold on and look at visible evidences of wealth and prosperity. He does not have to rush his products to market, and "by heck he hain't goln' to-"
 Crop Movement.
 First and last during the year there will be moved from first hands approximately 2,00O .O00 bushels of corn, 500,000, GOO bushels of wheat 600o00,O00 bushels of oats, an entire cotton crop of possibly above 100000 bales and other things in proportion. The proceeds will find their way originally into the farmers fat wal lets and then back Into the channels of trade. This process will consume less time than formerly, and the transmission will be more direct and more complete as to amount. The farmer already carries with him his vest pocket reserve" that is to say. the money needed in day by day disbursements, and that requires no replenishment He deposits his cash in bank as fast as he gets 1t, and every one