The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1906-02-05
Brokers Declare That All
Shares Are Far Too
High.
u. P. DIVIDENDS MAY
BE DISAPPOINTING
Iron and Steel Industry Unable
to Cope With Increased
Business.

NEW YORK. Feb, 4.-Fear Of a slump
In the stock market has caused enormous
liquidation during tho last ten days. on
account of the easy monetary conditions
the speculative clqucs have found the
opportunity favorable for distributing
stocks. The outside public has been suf-
ficiently in evidence TO be OF marked as
Sistance In the operation, though com
mission house orders fell away after the
sharp decline With call money around
the recent stringency, like other unpleas-
ant happenings. has been speedily forgot
ten
Prosperity in Iron Industry.
Marked prosperity, as evidenced in the
growing difficulty of the iron and steel
Industry to cope with It's new business.
has caused a wave OF speculative en-
thuslasm which displays Itself in more
ways than In the stock market, The very
activity of trade. however, suggests no
lengthy continuance OF easy money, par
tlculaTly I'm view OF an early demand from
the interior for seeding purposes
Gold exports, though deferred on ac-
count OF the lower discount rates abroad.
are stll strong possibility, In view Of
Americas heavy foreign indebtedness.
chargeable to stock market operations.
Sight sterling is now at a point where
the mere paying of interest in transit
would force considerable shipments Of
gold.
Union Pacific Dividends.
tributable TO disappointment over the
failure OF predicted Developments to ma
terializc II would not be surprising, for
Instance, If Union Pacinc regular dIvi-
dends were not accompanied by larger
extra disbursement since the Hartman
interests are notably conservative.
Evidences of pool liquidation stmulat-
cd the energies Of the newly formed bear
party. Their operations were particular
ly directed against Reading. where II was
rumored big speculative plunger had
ovcr-stayed his market and was being
compelled to liQuidate.
Stock Spectators Overlooked.
The weakness in Reading was appar-
entity due TO the fact that n number of
operators were overloaded with the stock
and were compelled TO throw their sccuTl-
ties on the market Long lines Of Union
Pacific. Amagomatcd Copper, Anaconda
and United States Steel preferred were
also thrown overheard.
According TO many brokers, stocks arc
too high. and although they may go ten
points higher, day of reckoning must
come, and their counsel is that If one
wants to buy he had better keep to the
ow-priced Issues, because they would not
IT is believed that as soon as the Gates
party and several other factors in the
market discontinue their attempts to de-
press prices, there viii be a substantial
inquiry and n further advance. There is
excellent reason for believing that John
w. Gates Is no less bullish on the situa-
has advised his following to tuke profits
and TO great extent, so far as can be
learned, the following has acted upon his
advice
There is n strong suspicion that the
Gates party have been heavier buyers on
the recent reaction than has been gem
orally realized. GatcS's firm. however, cX-
presses the opinion that the market is
likely TO go somewhat lower and does not
recommend the purchase or stocks at the
moment.
Union Pacific Going Up.
Interests which are in a position TO get
good Information believe that both Union
Pacific and St Paul are going consider
ably higher IL IL quite generally believed
that a large amount Of Union Pacific
| stock has recently passed into the hands
| Of the so-ca,lcd Morgan-Hill interest and
| the movement has not yet ceased
Stock market operations In London.
| Paris and Berlin are held in check at the
| moment by the diplomatic conference
| Upon Moroccan affairs now proceeding at
| Algeziras, although the impression seems
| to prevail in financial circles that the re-
| suits Will be favorable