New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1906-02-26
THE WEEK IN WALL STREET.

ago Dealings showed distinct contraction
in volume. while there little indication OF
important operations for the account of the
commission house element. the greater part of
, the business being supplied by the trsnsactions
of the boardroom element At times there were
we'll defined indications of depression on the
part of Wall Street traders sentiment being adj
versely affected by various unfavorable deVei-
Opments, including the possibility OF co''
strike. neasness abroad over the Moroccan q.
situation and a frmer tendency in money mar
ket rates. Sentiment also was affected by the
unwillingness of the larger speculative interests
to support the market on declines but the last
named factor was not surprising TO well IN
formed observers for the good reason that 1t
was known that the ma jority of the bigger spec
ulators sold their stocks several weeks ago, ana
are waiting and hoping TO reaccumulate Sc
curities at much cheaper quotations. There
has been a considerable decline in values from
the top prices of the year, hut it is quite prob
able that further losses will be recorded before
conditions are again ripe for an active resump-
ton OF bull operations. The advances which
were made at various times in the week merely
represented natural speculative recovery from
preceding declines. Unfavorable developments
which in December failed then to bring
about lower prices in securities while now the
market has become extremely sensitive to ad-
verse news, thus indicating that the leadinS
financial interests no longer are active In mold
ing up values, and that the technical position
of the market is much weaker than 1t was In
the closing month of 1909 There appears to be
nothing in the general situations however, that
warrants uneasiness the part of investors.
conditions governing the actual value of securi-
ties remaining sound, with no prospect OF an
unfavorable change. The general idea In Vall
Street is that the market will continue TO be a
trading affair for time to come. and that
later on in thesseason an upward movement VIII
begin from a lower level. this idea being based
on the expectation that there will be no adverse
change in conditions affecting money and bust
ness In this country and in foreign nations.
Money market conditions in the United States
are not at all favorable to active speculation in
securities but the situation, however, presents
no reason for uneasiness on the part of the mer-
camille community. OF course, the heavy de-
mand for funds at all the leading centres in the
country means stiff rates for considerable time
to come but as profits In the business world are
large the high quotations demanded for loans
will in no way interfere with the industrial ex-
mansion which Is under way throughout the
States Money is not only commanding a good
price in New-York but 1t also is held at nrm
figures at all the interior cities and as conse-
quence of the high rates at points outside of
New-York the attractive quotations here Will
be effective In inducing large no" VI Cui-
rencv toward this centre Indeed. money is
going out of New-York, and 1t doubtless Will
continue to do so in volume for a number of
weeks to come although receipts last week were
slightly i'm excess of shipments. Owing to the
firm rates throughout the country the only
source of relief for the New-York market Is
to be found abroad, and II therefore is probable
that in the event OF continuation OF the ad-
vanced quotations in this country money will
move from Europe to this side OF the ocean. II
there should be serious disturbance abroad over
the Moroccan situation Europe might decide TO
keep its funds at home. and in this event there
might be acute stringency in this city. At pres
ent quotations for money in all the European
capitals are well under the rates asked in the
financial centres of the United States and just
as long as there is no trouble between the Euro
pean countries the natural tendency of European
capital will be to move toward the point where
it may be put out to the best advantage
In the last week call money advanced to the
highest rate so far recorded this year. but it
failed. however. to go anywhere near the exor
bitant figures which were quoted in the closing
month of 1903, although bank reserves were
about as low as they were In December. This
fact proved to many minds that the stringent
quotations last year due more to manipu-
lation than TO a scarcity of funds. Conditions
more favorable to the importation of gold. but
the fact that foreign bankers lending their
funds here in the form of finance bills undoubt-
eddy will postpone movement of metal from
Europe unless the situation In New-York should
develop conditions demanding relief in the
form of actual receipts of the yellow metal. The
Bank of France has an enormous supply of gold
accumulated in expectation of financing large
Russian loans, also for the purpose of protect
ing holders of Russian investments in France,
but normal conditions have been estab-
lished In the Russian empire there is press
ing necessity for the maintenance by the Bank
of France of its heavy gold reserve. II there
( fore readily may be that in case of extreme
monetary stringency in the United States
French bankers doubtless will be willing 10 send
/ gold TO these shores Fortunately through the
! enormous excess of our merchandise exports over
imports American obligations due abroad are
/ being reduced, reflection of which already is
presented in the movement of foreign exchange
rates. The outward movement OF food products
and manufactures doubtless will continue
heavy for many months to come as Europe
needs grain and cotton, while it appears
anxious to buy manufactured articles All
easiness over the position of money in this
country and it is not likely that any one will
be seriously affected by high rates except spec
uators in stocks who have bought securities
/ on margin in excess Of their means and who
may be compelled TO throw their accounts on
/ the market at a loss. There was considerable
amount of this of liquidation In the last
week and it is improbable that further SELL
! ing of this character will develop
In the general business world there have
been no developments of an adverse nature. and
tha ga1t IT,,