The Washington herald., 1907-07-04
MARKET HOLDS OWN
Unidentified Interests Are
Pushing Prices Up.
POSITION OF BEARS REVERSED
Become Bulls in Campaign To Raise
the Security 1iarket-Subscriptio
Rights to Special L. p. Privileges
Believed TO Be Cause of Attitude
Now-CaII Money stiII High.

New York. July 9-There was little. 4
any. change to-day in those character
istics Of the security market which have
been saliently presented and in an al
most uniform way throughout the present
week.
Without any improvement whatever, so
far as could be Witnessed, IN fundamental
financial conditions or In the sale or
genuine demand for securities the market
has continued TO display a stubborn and
persistent strength in the face of especial
circumstances that would as might be
supposed, at least make for precautiOn
in speculative ventures and would certain
~ not suggest TO any one that a great
rise in security prices was imminent The
explanation Of this phenomenon is, OF
course, If such a statement can be called
an explanation. that a coterie OF specula-
tors, or It may be certain banking in
terests, have for reasons best known 10
themselves and which are as yet unre-
vealed to the general public set about
pushing upward, if they can. the price
Of stocks. or. at any rate, Of certain
stocks. and that they are manifestly
greatly assisted in this effort by what
is now plainly demonstrated 10 be the
''sOld-out" condition Of the security mar
ket.
Bears Reverse Position.
There is no pretext that the rise in
prices that has been so vigorously car
ried out for week and a half has been
in the slightest degree due to commission
house buying or to any interest taken in
the stock market by the people of the
country generally.
It is well known on the other hand
that various spectators in Wall street
who were among the most prominent Of
those in selling stocks for the fall few
months ago, and were, indeed. the lead
ers of the bear party in the financial
district. are now occupying places Of sim
liar eminence in the rank of those engaged
in a speculative campaign for the rise
It is by no means meant that the cam
paign In question is nl-advised. but il is
a fact. nevertheless, Of considerable sig
niicance.
II is again a matter Of common knowl-
edge that there are particular reasons
why financial powers Of a higher degree
than those Just described should be very
desirous Of seeing the market for Union
Pacific common stock and. perhaps one
or two other securities. stand al as high
n level as can be established for a week
or so 20 come.
Privilege Expires July 10.
There will expire On July 10 the privil-
eye of subscription by the Union Pacific
stockholders TO the new So, 900 con-
vertible bonds, issued by the management
Of the company It is obviously greatly 10
the advantage Of the underwriting syndi-
cate formed 20 guarantee the success Of
this undertaking, that as many subscrib-
ers as possible avail themselves of their
subscription rights. since i the extent
that the stockholders take s..e bonds, the
underwriting syndicate will not have 20
make good any deficiency in the sums
guaranteed to the company.
There was a LoOd deal of cynical refer
gnce in Wall street to-day TO the fact
That when this bond issue was first an
nOunced a movement was observed in
Union Pacific stock very similar to that
which has recently been carried on.
At the outset of trading to-day, prices
were q little lower than they closed yes
terday, liquidation being impeued by the
unexpected announcement after the close
Of business yesterday Of resumption of
gold exports and ii quieting down of ac-
tivity IN the foreign markets. but after a
little preliminary selling Of stocks, the up
ward march Of the market went on and
held with only occasional pauses and re-
ceSsiOns until the close Of business.
Union Pacific Takes Tumble.
Just before the end Of the business day.
Union Pacific stock broke violently from
its high level price, so that its net gain
for the day was relatively small; but adj
vances of from one to two points were
common elsewhere. most of the leading
stocks closing at the days highest quota
tons.
Wheat prices, which were higher most
of the day. Closed little lower on reaIiz-
ing sales. and there was likewise a similar
profit-taktig 6 movement in progress among
specUlato!s for the rise in cotton futures
although in the morning hours Of business
the excited buying Of cotton that took
place yesterday was again carried on.
One time during the day further en-
gagements Of gold for Europe were almost
concluded, but were declared off owing to
a slight fall in the rate Of sterling i'm
Paris. Sterling exchange here remained
unchanged. despite yesterdays batch of
metal remittanCes. and the maintenance
Of high call money rates here.
Very little attention was paid to-day in
Wall street 70 the threatened strike of
telegraphers or to the routine reports Of
railway earnings, which again attested
the inroads upon gross earnings made by
increased expenses.
The Union Pdcifc's earnings for May
increased in net &371000, as against a gross
increase of s1,Z7Q000, and the Southern
PaCifiC's May net earnings fell to S15S,000
from an increase in gross of 81. .1320G0