New-York tribune., 1907-05-13
STOCK MARKET OPERATIONS.

IN the direction of lower level There was no
commission house selling of Importance for pub
lie account and no indication of uneasiness on
the part of investors. but there was enough pro-
fesslonal pressure on values TO bring about pc
riods of extreme weakness, despite the fact that
IN the position of affairs governing the intrinsic
worth of securities there was nothing sufficient
ly unfavorabe to warrant the conclusion that
dividend and interest yields were in danger of
being reduced. There were however. adverse
factors, which, from the speculative point of
view. were bad enough TO encourage activity on
the bear side of the market. notably the govern
ment report on winter wheat, the longshoremen's
strike. the tendency of corporations to put out
new capital issues and the absence of public
participation in the dealings in stocks and bonds
The Hartman plan. by which Union Pacific will
add to its outstanding capital by the issue of
convertible bonds and by which the Southern
Pacific will offer to stockholders $4,000 900
common stock already authorized. while favor
ably considered by bankers and conservative
students Of finance. was not so accepted by the
stock market community, reflection of which
was presented in big drop in the Hartman
shares and in prices in general following the
announcement of the proposed scheme for rails
ing the funds needed by the Hartman system
And the fact that the Hartman roads were In
the market for money led TO the idea that other
companies soon would make similar announce
ments.
There is nothing in the Hartman plan that
viii upset the value of American railway in
Vestments, though it may tend to postpone still
further an active buying demand for public
speculative and investment account, while the
same thing may be said of the adverse advices
received in the week regarding the position of
the winter wheat crop and the delay that has
attended the planting Of the spring product
The yield of winter wheat last year was enor-
NOUS and the fact that the governments figures
OF the condition of this years crop show
large falling off in the estimated yield is there
fore not so significant as 1t appears on its face
particularly as there are now on hand largo sun
plies from last years harvest. Undoubtedly there
has been some deterioration in wheat since
May 1, when the government figures were
compiled, and il is not at all unlikely that the
harvest OF winter and spring wheat in 1907 will
De well under the greap crop OF 1906: but Il may
be well TO bear in mind that this country has
gone through poor crop seasons before, when
general conditions have been less promising than
they are at present. without entering the bank
rupts' court and that the loss the farmers may
sustain in their final gathering OF their grain
VIII be OFFSET to a great extent by the higher
prices at which they will be able to sell it, Dol
corn, it is too early to grow morose over the
outlook Of that cereal, as the seed is not yet in
the ground. a few days Of good warm weather
VIII make a big change in conditions in the ae-
Tlcultural section of the country, and the very
1act that there has been such long period of
adverse climatic conditions favors the theory
that in the near future there will be change
for the better. Meantime it is interesting TO
know that the commercial agencies find in all
parts of the country favorable trade conditions
The country at large is stronger and richer than
at the beginning of any crop season in the past
and IS fully able to look forward to poor crops
with equanimity. Bank clearings compare favor
ably with those at this time last year. except in
the case of the returns for this city, which are
under the records of 1906 owing chiefly to the
reduced volume of speculation in securities as
compared with q year ago
The high cost OF commodities and the great
cost Of production may soon serve TO check new
enterprises to a larger extent than already
noted. and healthful reaction in business is
therefore desirable. A lighter volume of trade
would serve 10 eliminate the unfavorable factors
in the situation rather than upset the countrys
prosperity. and from the general course
Of affairs throughout the land there is reason to
believe that in the course of the next twelve
months business win be conducted upon quieter
cline and that the foundation for a further
period of expansion will be strengthened. unless
false economic theories should be practised nv
producer and consumer, and unreasonable de-
fnanos OF labor lead TO a general shutting down
In manufacturing and producing centres. Fort
unately labor in the great manufacturing cen
tres OF the country appears to be well satisfied
with present conditions, which have brought to
the workngmar a better income than he ever
be can save, in spite Of the high cost of living
reflection Of which is contained in the increased
deposits in savings banks. The longshoremens
strike in this city is, of course a serious PROPOSE
ion and so, also. is the strike Of the street rail
way men in San Francisco. but neither is going
10 lie effective in interfering for any length of
line with TIE business involved, nor do they re-
fleet conditions Of labor in general. It is under
stood that as a result Of the strike here much
IF the freight that ordinarily comes to this port
will be diverted to other cities but this will be
Tor a time only. indsmuch as the present trouble
will be settled either by concessions by both
sides or by the gradual filling of the positions of
The strikers with new men. The United States
runs on there will be labor disputes and passing
'dVefSe developments of various kinds There
VIII DE periods OF business depression, uncer-
-alhly over politics and all sorts Of food for |
wall Street bears, but there also will he a grad
lal expansion in the country's commercial ac- |
IVlties' a strengthening in the conditions that !
make our securities gilt-edged Investments with |
-he llllai net result all In favor Of the bulls 1t
viii pay TO believe in the prosperity of the |
United States
There are no indications that there viii he |
gold exports from this country IN the near
ntuTe Monetary conditions in London have |
improved materially in the last few, weeks while |