New-York tribune., 1906-06-02

On an extremely light volume OF business to-
tai sales amounting TO only 3629S7 shares.
stock market values moved within narrow linn
its. price changes 4 rule being confined TO
small fractions In the so-called active list the
chief exceptions to this tendency were Colorado
Fuel. Louisville & Nashville Northern Pacific
and Anaconda. in which final quotations showed
differences of more than l per cent, COM
pared with the closing figures of the preceding
day Strength in Louisville & Nashville was
accompanied by a report that the dividend
would be advanced to a Z per cent basis. while
the estimated increase in the cotton acreage also
was advanced as a reason for the improvement
in this security. The upward movement. how
ever. had all the earmarks of manipulation for
the account of the Gates interest. Strength in
| Colorado Fuel was said TO be due TO buying for
the account of people identified with the United
States Steel Corporation, while the advance in
| St Paul evidently based the theory that
| the stockholders will receive valuable rights in
connection with the financing Of the company's
Western extension. Commission houses were
not factors in the days operations. dealings be-
ing made up in great part OF the transactions Of
the board room element the only evidence of
| interest in speculation by the more substantial
outsiders being presented in the stocks already
| named. Reading, Union Pacific and the Copper
! issues According 10 Street gossip, recent buy
ers of Reading are transferring their interest to
4 Erie. There was no increase in activity in the
last hour. and practically no variation in quota
tions from earlier figures. with no indication of
immediate revival of activity either side
of the account Last prices showed more net
| gains than losses
According 10 the known movement of money
in the week the local banks have gained $6,e730o0
| in cash holdings. and unless there has been
large increase in loans the Clearing House state
OrlTnr iT1T1rf n
amount Of reserve above legal requirements. It
may be Well 10 bear in mind however. that bank
statements not infrequenty show results directly
the opposite Of those estimated in Fridays fig
ures OF the weeks course Of money. 1t is known
| however that actual money msrket conditions
are in far stronger position than they were
few weeks ago. a reflection Of which is pre-
sented in the decision Of the Secretary Of the
| Treasury 10 suspend further special government
| deposits with the local banks against gold i'm
| ports and in the return movement OF money
from San Francisco. 1t is believed that in the
next few weeks upward of s20OOO,OOO will be
received from the Pacific Coast. and con-
sequence the banks will be able TO add to their
reserves and start an accumulation OF money in
! preparation for the urgent demands which will
develop probably about the middle OF August in
connection with the requirements Of the agri-
cultural section Of the country. In view OF the
| needs Of legitimate business ii is not unlikely
that bankers Will encourage great activity In the
| stock market in the summer months though II
there is actual plethora Of funds al this
! centre, bankers, Of course. will be only too glad
10 take ADVANTAGE of a demand for call funds
from speculative interests. inasmuch as IT is not
/ the purpose of the banks to keep their money
lying idle. The idea OF activity on the bull side
of the stock market is based on the Improvement
which is taking place in the money market. on
the excellent condition of trade throughout the
United States and the expectation that this
years crops will be up 10 the average. It is a
risky matter however. in making large commit
| rnents in stocks at this period on the theory
that the harvests will be bountiful. And at the
moment this view apparently is held by the
greater number OF operators. who are unwilling
to engage in more than quick turns on both sides
OF the market until something definite r.ny be
learned regarding the probable extent OF this
years yield of wheat and corn.
The very fact that there is no great specula-
, tive activity in stocks this period will serve
/ TO prevent disturbance on the Stock Exchange
in the event OF an unfavorable turn in condi-
tons affecting the country's leading crops
Wall Street probably realizes more fully than
any other section of the business world the
Z great benefits to the country of large harvests
and the great financial loss which follows
period of famine in the agricultural regions
. And for this reason Wall Street is generally
: cautious in the early part OF the summer Al
Z the moment the public is not a factor In IN,
q market, stocks as rule being in the hands o
a comparatively few interests and lust as soor
as the latter are convinced that all conditions
affecting business will give the country anothel
record breaking year of prosperity stocks un
oouSte1ly All begin IL advance. and at highel