The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1907-04-27
WALL STREET NOTES
Dizziness Creates No Surprise
as It Was Expected.
MAY ALSO WILL BE DREARY
Brokers Believe That with E4cep-
ton of Crop Conditions There Is
Nothing to Give zest to Trading.
Presidents speech at Jamestown
Has No Eject in wall Street.

New York, April 2s-of late years May
has been month of dullness and. as a
rule, Of sagging prices IN the stock mar
ket. in at least the first particular the
coming month viii, in the opinion OF
many good operators, be entirely in lire
with precedent. The reason FOR dullness
IN May is that the month marks a period
of more or less uncertainty regarding the
crops, for unless spring work Is finished
in good shape by June /. there is reason
for doubt as TO the outcome. Corn might
oe planted somewhat later, but very IA
vorable conditions would be necessary to
bring il 10 maturity.
Years ago May was as much marked by
activity and bullish effort as It IS now
by a lack of both. This change was
natural, for general conditions favor
waiting market at about this period OF
the year. Conditions OF technical ma
ture may overcome the natural forces
and Of course at the present time there
probably Is a large short interest that
could be compelled TO pay a reckoning
Otherwise the indications are for a dreary
market.
In some banking quarters the opinion
is held that the money market is not as
easy as il looks and that this is the most
important factor Ia preventing a move
ment in the prices Of securities. The con-
tentlon IN those places Is that money is
cheap only in Wall street, and cheap
there only because the demand for pur-
poses Of speculation is small Very few
new tine loans have recently been taken
on by brokers, many OF whom on the
contrary, having money on time which
they do not need are lending a good deal
Of It on call. A few may have bought @
1ffffa gfn mi ais f.,
order 10 make good the impairment OF
collateral resulting In the decline in the
market during March, and the sale OF
some Of the securities on which their
loans were obtained in the FIRST instance.
One banker who is skeptical as to
whether the money situation furnishes the
explanation Of the markets action, says
that before long the ease in money will
spread, but that he doubts very much
If that win tend TO increase stock market
bullishness. The weeks currency move
ments showed "a loss Of cash to interior
amounting to about 100000
President Rooseyelt's speech at the
opening of the jamestown Exposition had
absolutely no effect as a market factor,
and brokers who had on the preceding
day ana earlier in the week been led 90
believe that il would be of favorable
character, felI rather Disguised when they
found that they had purchased "a gold
brick An effort was made 10 induce them
TO buy another IN the shape OF alleged
information as 10 the nature of the next
speech 30 be delivered By the Chief Exec
utiye, but this entirely failed. Market
arguments based on a supposed change OF
attitude on the part Of Mr.. Roosevelt
have become rather stale.
Union Pacific nearly monopolized the
entire interest In the warket. The stock
was active, as Il had been for several days
previous. but the chart readers who ex-
pected that II the price once crossed IA.
an upward movement Of considerable pro
portions could be counted upon, saw the
disappointment of their hopes. The price
went up FAR enough TO induce them 10
buy on their theories and then dropped
down far enough 10 prevent them from
getting out without a larger loss than
they cared 70 take They had moved
cautiously but their wariness did not save
them from getting caught This was
strong testimony To the skill Of those who
had charge Of the manipulation OF the
stock, but who these were or what the
object was that they hoped to accomplish,
remained a mystery.
Nothing even family resembling news
came out on Reading during the day. al
though the stock was quite active and al
times fairly strong. On the early burst
Of strength the chart readers watched
eXpectantly for q rise above Il3. which
they would have regarded as an impor-
tant bull tip, but this never came, and AT
the close the price was farther away
from the interesting level than az almost
any time during the session. The talk
about a segregation Of Union Pacifc's as
sets brought out the old story OF a some
what similar scheme for Reading, the
similarity of the market action Of the
two stocks possibly suggesting similar
ity of causes. but very few traders were
disposed TO attach any importance what
ever to reports Of this kind.
Quite a little disappointment was ex-
pressed over the failure Of the Copper
stocks to respond 10 the better trade
advices, and there was a somewhat SINH
lar feeling in regard TO United States
Steel which failed to reflect the favorable
reports concerning the pig iron market
In London spot copper made an advance
and in Pittsburg iron was scarce and
higher, yet the stocks that might have
been expected 10 derive strength frora
these conditions were heavy and closed al
the lowest points OF the day. This hardly
tended to promote optimism on the gen
eral market.
There were bull tips on Shelters, based
entirely on the alleged large size of the
short interest, but they entirely failed to
make good, and the stock, after moving
within narrow limits during the greater
part of the session, went of with the