Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-05-20
Starvation Marked the Trading
at Weeks Close.
FINAL PRICES HARDENED
Stock Operations Largely By Profess
SIGNALS.
RECOVERY LEsSENED INTEREST
Some Developments for Six Days Have
Been Important Despite Domi-
mating Technical Conditions.

NEW YORK May 19-There was no mar
ket for stocks worthy of the name today
and the sluggish drift of prices was of no
consequence. The stagnation of the trad
ing, however. is significant OF the growing
conviction of the unpropitious outlook for
any large speculative attempts In the pres
ent stock market. The oppressive weather
was responsible TO some extent for small
attendance on the part Of brokers, but their
early departure from the financial district
was with the assurance tina: no important
operations in the market were in sight.
Prices showed a dropping tendency from
the hamilton of the market, but hardened
to some extent before the closing and left
final prices insignificahtly changed from
last night.
The most important change in the bank
statement was in the loan item. The $15,-
100000 loan expansion is clearly due to
other causes than stock marheI borrowing
and the Pennsylvania note issue Is given
credit for the increase. Although over $16,-
100000 of gold has been received by in
coming steamers this week ,.e United
States treasury had claims upon the banks
for an equivalent amount on account of
government funds advanced to the banks
at the time tney engaged the gold under
when the gold arrived. The cash item of
the banks therefore shows only a nominal
change on the week. The passage by the
Senate of the railway rate bill was without
apparent influence on the market.
An explanation offered for the torpid
state of the bond market and the dropping
tendency of prices there is the elimination
of a large absorptive power on the part of
the life insurance companies, which played
an important part formerly in the bond
market. 1t rs supposed that some lquida-
ton on the part of the fire insurance COM
panies on account Of San Francisco losses
Is an influence in the bond market also.
These conditions are believed to help to
account for the resort by the Pennsylva-
MIA company to its note issue In preference
TO a bond issue at this time and to be
supplementary to the actual money condi-
ton in their influence the bond market.
Total sales of bonds par value, Sc, 1855 600.
Stock Operations Professional.
Operations In stocks this week have
lapsed into professional hands to a large ex-
tent. The volume of transactions has
skunk and the range of fluctuations has
narrowed. rejecting decline in speculative
interest and mood of hesitation and un-
certainty over the outlook for values. This
is In accordance with precedent after such
a market as that following the San Fran
cisco earthquake and fire, and represents
stage in the normal readjustment of market
"
losses incurred In that calamity. The nat
uraI forces toward the first rebound from
the acute depression following the dis
aster have been working themselves out,
and the market is left to the influence of
new. developments.
The recovery in prices has lessened the
attraction of stock from an investment
standpoint and that class of demand which
was a substantial factor In checking the
fall has diminished at the higher levels.
The uncovered short interest has been
largely reduced as the recovery IN prices
has forced the bear interest to cover, and
the market lacks that potential support.
The action of the market has indicated
the persistence of attempts to extend the
advance on the part Of professional parties
and organizations and to inaugurate new
campaigns the long side of the market.
But there Is little evidence of any large
general following for these movements.
and the uncertain fluctuations from
day to day in the stocks thus operated in
are the reflection of the varying positions
taken by the professional element. The
copper group and the anthracite carriers
have been the favorites in the efforts to re-
vive speculative interest. The general list
meantime has moved sluggishly and some
stocks have shown positive depression.
The Money Market.
While the stock market has been affected
mostly by technical conditions, the out
growth of previous movements, some of the
Developments of the week have been i'm
portant. The future course Of the money
market especially has come in for renewed
consideration. The sale by the Pennsyl-
vania company of $50. 000,000 of eighteen
months notes on a basis Of interest cost to
the company estimated at something over
8 per cent formed the text for much discus
sion: Temporary borrowing at that rate of
interest by so strong a corporation Is taken
to show inability. owing TO present unpro-
pittous conditions to find a market for the