Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-08-12
Financial News Letter
By W. @. NICHOLAS.
speciat corrsspondenee Of The Star.
NEW YORK, August IL.

NEW YORK. August IL. 1908.
The big people have marked up stocks
from, 10 to n points without attracting very
much outside support. Two or three at
tennis have been made to distribute the
goods. but each time the discovery has
been made that the public was not on hand
to do any buying. It seems to be the al
most unanimous opinion that the rise has
been engineered for the purpose Of making
a market for stocks held or controlled by
the large interests. Advantage was taken
nv the market leaders Of the midsummer
period of cheap call money, and 1t has been
Lxha evident desire of the manipulators to
Fenlist public help so as to make the unload
ing process easy. They have yet to secure
the wished for help. Commission houses
and brokers have but one story to tell
Orde 40 not come In from the OUTSIDE
and tn rsiness on the stock exchange Is
almost .drely for professional account
Houses having miscellaneous clientages
complain of lean mails and very slight evil
dences OF interest. The daily market let
tera which are sent out by the carload
bring no responses. or; at least. hardy
aging and marks a decided difference be-
tween this bull movement and the ordinary
run of bull campaigns. The butchers ana
bakers and grocers and mflllners are con-
Distribution II 1t Is made at all will come
later. There Is no present market for the
goods.
X
= The usual talk is heard about the west
being able to handle the crops this year
without the aid Of eastern money. In a
sense this ia true. but a very large portion
of the extra capital that will be needed will
come from the eastern banks. just the same
as In former years. Western banks keep
large balances in New York which will be
drawn against the same as individual de-
positors might draw on their open accounts
The money belongs In the west. and 1t will
simply be called home for temporary use.
So far as the New York situation is con-
cerned the money might as we'll be Dor
rowed here. as the supply will be reduced
by just the same number Of millions of
New York Of about Size. 000, 900, Of which
possibly 40 per cent will be drawn down
between now and the middle of October for
transfer to the harvest fields. Other west
Of the New York banks and then the south
will come on with its demands. Altogether
1t may be said that indications point to
heavier demands upon New York this year
than usual. and besides that the routine de-
mands for commercial and manufacturing
employment will be up to high pressure.
Railroad borrowing on short-tima notes has
been and win continue to be In evidence. If
Wall street expects to indulge In the lux
ury of enlarged stock speculations will
have to pay a mighty high price for the
capital that will be required.
The bears count on being able to throw
a Hearst scare into the market sometime
between now and November. 1t would seem
from the present outlook that nothing can
prevent Mr.. Hearst from being very con-
spicuous candidate for governor OF New
York, and the bearishly disposed specuiators
in Wall street will do their level best to
make bogy man out of him. They will
hang him up to alright the timid and drive
them out of their stocks. Mr.. Hearst will
appear before the footlights In real earnest
about the time money begins to get good
and tight. The two in combination may
breed a riot on the stock exchange. The
wreekers hope for the worst.