New-York tribune., 1907-06-18
STOCK MARKET OPERATIONS,

Transactions in yesterday S stoch iii'l t ~ ,
light in volume, the greater part OF Inc -
representing the operations OF the po@Iu 49,.
element Commission houses had few oroeFs ls
- ooI1aa substantial interests were not active on
either side of the account and IN al eAceP'
a few issues speculation was at
Prices as O. rule were strong ulueF l4io
Of a law covering movement, IN lhe cOuI
which Reading, Union Pacific, American 0IiieI'
ing, Brooklyn Rapid Transit, Atchlson' Sallaoi' So
Pacific. Amalgamated Copper and Delaware Z"
Hudson advanced a point or more Win -
tional improvement in most other parts oI ~
list Dfstilers Securities and southern halMoJ
being the only important exceptions on the oI'let
side of the market OF the total dealings, amount
ing TO an aggregate of 244.00O shares, SIX STOCKS
furnished more than three-quarters IIliS Cet'S
the story of the narrOwness or the market oI I'9
wholly professional character and OF the genera
dulness that prevails in Wall street cTCIeS'
Bankers are predicting a duh summer anu as
far as stocks are concerned 1t looks as II thelr
forecast would come true. There is no puSi
power beyond that supplied by the snort ID
terest and the fact that prices advanced yester-
dav need not be considered the beginning OF
a bull campaign in securities. The gains were
the natural reaction from last weeks declines
and the improvement may run on for several
DAYS though no one is risking much money IN
backing such a proposition. Call money hard
ened somewhat and sterling exchange was
strong. Crop news was better
The Bank of England secured the major part
OF the South African gold which was offered IN
the London open market yesterday, the Bank oI
France not being an active competitor for the
metal. The Paris demand for gold, however, IS
not yet satisfied. according to the observations
Of international bankers, and 1t is believed the
French capital is increasing its surplus owing
to the unfavorabie situation in Russia and to its
desire to be IN a position TO finance a japanese
loan in return for the promise on the part Of the
Mikado's government to keep out Of the French
possessions in the Far East 1t is understood
that Japan will need enormous amount Of
money in the course OF the next few years 70.
commercial and industrial development and for
purposes in connection with the conversion Of
its present high rate loans, and Paris advices
indicate that the Paris market VIII be open 10
Japan whenever ii is decided TO raise these
funds. France is the biggest creditor of Russia
and Paris bankers therefore anxious to pre-
serve stability IN the Cars empire their ability
70 do so depending entirely upon the main
tenance Of a strong Russian treasury and good
financial credit on the part OF Russia with other
countries Paris doubtless will take more gold
from New York in the current week. Sterling
exchange at this point and money market rates.
together with the quotation for the Paris check
on London, all point to additional shipments Of
the metal, but 1t is not likely the movement VIII
reach further large proportions. as the low posi-
uon or the local bank reserves suggests higher
rates for funds. which, OF course will serve to
weaken foreign exchange Clearing House
hgures show the reserve above legal require
LIeHlS OF the associated banks al the lowest level
Tor this period OF the year since 1893 Since
Friday night the banks have lost on their oDera-
tons with the Sub-Treasury inward op
S-oooOo but in the time receipts OF
money from the interior have been on = fairI,
liberal scale '
wan Street commission houses are not send
ing out encouraging letters to their customers
lnough they admit the fundamental strength
OF the situation. They point to the fact that the
pdhhs trust companies and other financial in
sututicns are carrying heavy burden incident
TO the extension of help to interests who are
heaVlIy overloaded with new and undigested So
curltles; they call attention to the late season
IN tho mercantile world, which has left lner-
chants with heavy stocks and little money as
sertlng that the conditions named viii tend to
restrict operations in securities Will serve 10
make the financing Of the July payments a dim
cult matter and operate against the develoD-
ment Of a bull market in the near future The
tone OF these letters is dOleful that IL sur
gests utter despair, while il also creates n be-
lief that some commission houses are losing so
much from the lack of buying that they would
welcome general investment liquidation in order
TO get a few Is of l per cent returns Commits
sion houses. as a rule, making no money
above office expenses. and in some cases not
even that but this condition OF affairs is merely
the result Of the risk man takes when he en-
ters business on the Stock Exchange. Most houses
are In good condition to go through a period
of dulness. They have enjoyed several years of
big profits. and il is TO be supposed they have
enough money laid by to carry them over a
lean period. Things tend to average up in
Wall Street and absence of commissions noy-
will be offset at some subsequent time bv an
oldtime buying movement