New-York tribune., 1907-06-28
enlisted
cloaing nrIces oe aetive hondz aealt In. VIA
STOCK MARKET OPERATIONS.

Stock market trading was in the hands OF the
bull element throughout the day, prices rulhs
strong practically until the close, with hnal hg-
ures al only small fractional concessions from
the best Dealings however, were poorly dis
tributed the greater part of the business beilS
supplied by six stocks in which operations
amounted to $4,000 shares out of the total IN
all issues Of 49, S26 In Amalgamated Copper
American Smelling, Northern Pacific, Reading,
Union Pacific and United States Steel preferred
decided activity was reported on the part or
the professional contingent, but elsewhere IN
the list transactions were limited TO small loIS'
though in some stocks fair investment demand
was noted There appears TO be a bull pool Of
considerable strength at work in Union Pacific
and there also is good buying in the Hlll shares'
while the usual manipulation continues In Read
ing which was of the strongest features IN
Yesterdays market. As a per cent STOCK
Reading is selling at a price which fully meas
lres its investment value, but such a considera-
ton is not a factor in determining the course
Of the security when it is moving under the IN
fuence of purely speculative operations. Commits
sion houses were not active factors in the trad
ing but sentiment among the big firms showed
distinct Improvement and reflected a belief that
general conditions in the financial community
had changed for the better. this view being put
forth Notwithstanding an advance in call money
rates to 6 per cent and advance in wheat Of
4 cents An influence that eXerted favorable
effect on prices for securities was the general
idea that the city bond sale to-day will be sue
cess If this proves to be so II VIII snow thaI
the investment market has undergone a marked
change toward Improvement, and it viii serve
70 strengthen confidence in the securities and
money markets particularly If bids for the issue
are in the neighborhood Of par The subscrip-
ton price Of New York city bonds IS a pretty
good measure Of conditions in the investment
market.
In its weekly return the Bank Of England
makes poor showing and discloses a position
unusually low for this period of the year. Its
failure 10 reduce its minimum rate Of discount
Is therefore not surprising, and il is not at all
likely there viii be any change for weeks to
come as London as well as every Continental
centre is pressed for funds in connection with
the half yearly demand for money and the COM
petition between the big banks to increase their
gold supplies The Bank of England has not
been able to add 10 IT'S gold holdings in recent
weeks but the Bank Of France has increased it's
surplus 10 a material extent, with the chances
favoring further addition through receipts OF
gold from other countries. The proportion Of
the Bank of Englands reserve to liability is
lower than al this time in any corresponding
period since 1904 and compares unfavoraby
with this week in 1900 when the requirements
Of the Boer making heavy drain
upon the institutions resources. The general
outlook favors firm rates for money at all hnan-
cial centres throughout the rest Of the year.
and the position Of the money market naturally
is not encouraging TO operators who anxious
10 bring about a sustained upward movement in
securities. Al InlS centre the money market IS
intrinsically strong, and there Is nothing in the
course Of bank reserves that need excite alarm
despite the fact that the reserve above legal re-
quirements OF the Associated Banks is near the
25 per cent limit. and is likely to go below that
point in to-morrow's Clearing House statement
Holdings, however are not large enough TO war
rant rapidly expanding bull speculation upon
the Stock Exchange. A traders market is a bad
affair for commission houses but under present
conditions a narrow professional speculation
will be a surety against disturbance in money
while II will serve to improve the chances of a
legitimate bull movement at some subsequent
period.
In ordinary times active demand for bonds
develops a number of weeks before the July in
lerest payments are made and bond houses gem
orally count on several weeks OF activity in
mortgage issues for several weeks following the
interest and dividend distributions but this year
there has been no apprecable increase in trad
ing except in the last two days. and there is
indication that the reinYestment Of July interest
will cause overtime work among the houses that
make a speciality OF railway mortgages Real
estate mortgages are far more active than rail-
road bonds, and many bankers look for greater
reinvestment of July payments in the former
than in railroad Issues. though at present quo
tations bonds are in most cases more attractive
than the average real estate mortgage. Bonds
selling well under their actual worth and
investors VIII not go wrong in placing their
money IN them. The railroads will contin,1e IN
pay the interest their bonds notwithstanding
the idea held in quarters that federal
action for the closer regulation Of the transpor-
! tation companies will bankrupt them Federal
regulation viii protect the interests OF the bond
holder and the stocSholder. and the movement
now under way for cooperation between the
people and the railroads will strengthen rather
than weaken the actual value OF American rail-
road securities. There IS much idle talk in
Wall Street and elsewhere over the position OF
the copper market and efforts are being made
In certain quarters to convey the idea that the
copper trade is on the down grade and that there
soon viii be big reduction in the price of the
metal II the copper companies desire that con-
per shali be sold at concession the United
Metals Selling Company will be guided bv their
wish>T but the fact that consumers needs are