The daily morning journal and courier., 1906-07-17

nOuncement or Engagement Of $s,~ 100000 Gold Starts Shorts to Covering
 -Better Feeling Abroad -- Wabash and French InvestOrs-Morgan Com ing-Time Money Still Dear-Gossip of the Day.
 The market was lively yesterday with prices advancing.
 Shorts were alarmed, and set about covering.
 The engagement of $2,500,O00 in gold from Europe started the up-turn.
 Amalgamated Copper, Steel common, Union Pacific, St. Paul and Reading rose from 1-2 to points. Even larger gains took place ill some ofthe high price issues which usually fuctuate oyera wide range.
 Besides the news that this s2,5O00OO had been taken in London other bull ish news was that $1OOOOO had been transferred from San Francisco, and that the banks had gained over $5,O0O,- 900 from the sub-treasury since Friday. The market had been oVersold any way, and with bank reserves largely increased, loans diminished, and the bears concluded that it was time to get out of the road.
 The rates for time money continue very strong, however.
 Stocks became dull in the last half hour and sagged off somewhat It looked as if most of the shorts had covered. and as if some further liqui- dation of long stocks might be de- tected. The, outside public did not par ticipate to any extent in yesterday $ market.
 The news in the afternoon that bank CTS for the Wabash railroad are offer- ing $6,200, 900 of the recent bond issue to French investors with some pros poet of distributing them in France. will help the exchange situation.
 Sharp advances in high-priced spe- cialties, notably Michigan Central, were among the days features. Michi- gan Central rose twenty points on sev- eraI hundred shares, This looked like absorption for the account of New York Central, which is reported to have been picking up the stocks of subsidiary companies as they came out. In connection with the rise in Un- ion Pacific there was naturally discus sion as to how 1t would benefit by 9 possible ore deal through the issuance of rights by Great Northern. Such rights have been variously estimated as worth S1O to $15 a share. As Union Pacific still holds great deal of Great Northern stock the former company would presumably realize a handsome profit
 Much was made as a market factor of the early return of J. P. Morgan. Some calculate that he will put more energy into his stocks. It is believed that he regards dividend on Steeel common as good policy.
 United States Steel shares had a much better tone. Talk about llquida- tion was displaced by suggestions of absorption because of the benefits of the acquisition of additional properties, thereby clinching it's hold on the iron output.
 Steel common and Erie common have been talked of for a movement, Prob ably Mir. Morgan. has not been idle abroad in trying to stimulate market activity. It is doubtful if he can help matters much here.
 The strength of Union Pacific, after a long period of irregularity, gave con- fidence to the bulls, leading them to believe that the market is in for a fair rise. Whetherthis belief is well found- cd remains to be seen. Southern Pa cific rose in sympathy
 A sharp rise in the Erie second pre- ferred shares was preliminary to an advance in the common. This had been suggested as a lively leader among the cheap stocks
 Stockholders of the Allis-Chalmers company at a meeting in Jersey City yesterday ratified the proposition to is- sue bonds to the amount of $15,000,00O.
 The street finally woke up to the fact that the tendency to reduce loans as very favorable element to the sit uation.
 Some good judges took the view that the market would turn to-day.
 The best of the buying came from the professional shorts, who were in duced to cover by the better money conditions
 Wall street was inclined to believe that there will be no stringency ir connection with the flotation of the new Panama canal bond issue.
 Brooklyn Rapid Transit and Inter- Met. preferred were about the only stocks that sold under Saturdays clos. ing. This was early in the day. Later they rallied a little.
 The sale of American railroad bands abroad, including those of the Wabash was thought to point to the diversion of gold from Paris to New York. Al this had favorable effect on senti this had a favorable effect on senti- ment in Wall street, and helped the stock market.
 The better status of the Russian sit uation was the most powerful cause for improvement abroad. Alfred Belt: death was not reflected in the market not even in the margin department where his holdings were enormous.
 London bought moderately in this
 Continued on Eighth Page)