The Washington herald., 1907-04-10
WALL STREET NOTES
DanielG. Reid, of Rock Island
Crowd, Is Bull Factor.
BELIEVES PRICES WILL GO UP

President Baer's Claim That He Was
''Divineiy Appointed" to Care for
the Anthracite supply Is Recalled
because Winter Weather Il Aiding
Business-DecIine In Union Pacifc.
New York, April 9.-"Put the market
up ten points before I get back" said
Daniel G, Reid. of the Rock island
crowd. prior TO his departure to-day.
This was said by way Of jest-for It was
addressed TO a banker than whom there
Is none more conservative tn the world
of finance and who has nothing to do
with stock market Operations-but never
theless it reflected the real attitude of
Mr.. Reid toward the structure Of prices.
Mr.. Reid is a bull on the market. Moth
ing could please him better than a ten
point advanee-except a still larger adj
va4ce, which means that a complete
change Of attitude has occurred on the
part Of a man credited with having been
one of the most aggresslveiy inclined in
the slump that eliminated in demoraliza-
tion during the month of March. That
the street rightly judged his attitude
toward the market on the break may be
questioned, but there can be no doubt
that while he was not bullish a month
ago. he is decidedly bullish to-day.
Mr. Reid according to statements
made by his friends, was bearish enough
before the break occurred in the market
to sell his long stock That he operated
largely on the bear side they Will not
admit, and that he became one Of the
principal operators fo- decline they
strenuously deny. There can be no doubt
that he made lot Of money, but ac-
cording TO those in his confidence. this
was done by selling his long stocks before
the slump came and buying them hack
at about the lowest points OF the break.
II man who forssaw that the money
situation would inevitably cause a reac-
ton in the price Of securities and ac-
cordingly sold his long stocks could be
called bear. then Daniel G. Reid was
one II buying back made him bull, he
became a bull two weeks ago.
II it is contended that enthusiasm is I
70 the constitution Of a bun.
Mr. Reid viii still be eligible. not only
for inclusion in this class. but for the
special distinction Of being considered a /
strong bull.
The change Of attitude en- the part Of
the Rock Island crowd indicated above
throws some light on what has been done
in the market within the past few weeks
by the most intelligent Of the bear inter
ssts. These have bought back what stocks
they needed TO replenish their investment |
lines or to cover short contracts Mean
while. the less intelligent and weaker [
Of the bear party continued 70
sell stocks and to fight the advance wAich I
now for about ten days has continued /
without any important interruption. It /
must be evident that the latter class lms I
had its profits greatly reduced-if not en- 4
irely swept aWay--and that its prospects /
Tor relieving its position are worse to- /
lay than at any time SO far.
President Baer. OF Reading. was re- 1
ported TO have alluded 10 himself on q /
certain occasion as one or the "divinely
appointed" guardians of the anthracite 1
supply of the United States. and some
IF the traders were inclined 90 think to
lay that providence had also taken the
Reading pool under it's protection.
What other explanation. they asked,
can there be for the recurrence Of win
er weather conditions six weeks after the
'ernal equinox, when the coal reserves are
over than ever before at this season?
In the last hour the market sold of
inder the leadership Of Union Pacific. the
,stensible reason for the change Of direc-
ion being the alleged purpose of the In
erstate Commerce Commission to take
teps to compel z. II. Hartman TO answer
he questions TO which, he refused to reply
When on the witness stand during the in
-estigation in this city some weeks ago.
iome Of the bulls argued that the answers
o the questions could not take anything
rom the value Of the stocks of the Harri-
nan roads. but the general disposition
mong the trading element was 10 regard
he reoDening Of the investigation as a
actor adverse to bulIish speculation.
Il was recalled before the investigation
tarted, in February il had been predicted 4
hat nothing could be brought out of any
ignifcance.
How incorrect We're such predictions is
Ow a matter of general knowledge. and
is argued that similar predictions now
re likely 30 meet with a similar fate Up
o the time the market closed hOwtver. .
here was no absolute CONFIRMATION or de-
ial of the stories that revived interest in
he inquiry.
Conservative banking interests, while /
acre or less averse TO expressing an opiu- !
IN on the stock market, have no hest
3ney in predicting a decidedly better
market for bonds. Assuming that the
redictions on this subject are correct, an
Improvement in the stock market viii fol-
w IN due course. Every experienced
perator knows that a rise in bonds is the
ght kind CT beginning for a movement
J the securities market.
Starting in the highest grade of securi-
les, interest passes down all along the
ne until the lowest class is reached, by
hitch time the street is usually in the
njoyment Of a broad and active specula-
on y
LIVE STOCK MARKETS s