Omaha daily bee., 1907-07-01
BNEY MARKET EASY
Close Of the Financial Year Finds a
Most Hopeful Condition.
PRICE OF STOCKS FIRMLY HELD
July Will See Dividend Disbursement
Which Breaks Record.
REQUIREMENTS EASILY MET
Payment Will Release Large Sums
for Investment Purposes,
EUROPE MAY HAVE SOME TO LOAN
Demand for American FOOdstuRs "a
Expected TO start a Flow of
Gold ts the United
States.
July Will See Dividend Disbursement
Which Breaks Record.
REQUIREMENTS EASILY MET
Payment Will Release Large Sums
for Investment Purposes,
EUROPE MAY HAVE SOME TO LOAF

} NEW YORK, June So-There has been a
stirring Of speculative interest in the mar
ket In the week Just passed, which is re-
garded az testimony OF hopeful spirit
that the long prostration OF investment de-
mand may be reaching it's period The
exigencies of the mid-year money settle
ments, or the fear OF them, have delayed
thls manifestation. 1t was easy to discern
through the restraint on the markets
activity that prices were firmly held and
that the amount of stocks for sale was
nslgnifcant. The tentative attempts Of
he professional operators for some time
J last were unsuccessful in dislodging any
important offerings. The near approach Of
he end OF the half-year found such con-
! inued tranquility In the money markets.
/ llso IN spite of the huge reduirements to
% met Ia providing resources for the dis
Oursement OF dividend and interest pay
ments, that the professional element was
emboldened to undertake campaign on
The long side OF the market. The pro-
sessional character of this undertaking, and
its largely experimental nature, are quite
genera1ly recognized in the financial dis
!. let's. II is expected that the large sums to
be disbursed in profits during the coming
month will seek reinvestment In securities,
and II is to anticipate this demand that
professional operators have been taking
IN stocks "A putting up prices. Another
l scognized object OF the movement is the
Improvement of valuation of security-hold-
4 ngs which win appear In the semi-annual
balance sheets soon to be made Up of
numerous corporations and financial in
titutions. There is a general conviction
49, 81
now held which were taken over as a
natter - necessity during the weak period
Of the market for the protection of values
nd to avert Decentralization and widespread
harm. II is expected that holdings OF
his kind will have to be digested in the
course OF any considerable advances IN
prices The fact that the attempt has
Oeen undertaken in face Of these disad-
vantages Is proof of the growth of conf
lenoe that the troubles of the market are
lostly Of the past.
Record Dividend Payments.
/, II IN estimated that the amount to be
disbursed In dividends and interest in New
York during the coming month will reach
total of s1ss.Oo00oO. This is a larger
amount than was ever before distributed
ct this time. The figures are a testimony
10 the high degree OF business prosperity
that 10 still maintained and shows how
rapid a rate of recupsration OF capital de-
ficsencies is possible by a slowing down
Of the rate of absorption. Figures of rail-
way capitalization in the last few years
show how rapid has been the rate of absorp-
ton. the figures not only rising prodigiously
zach year since 1899. but the ratio Of in
crease for each year making successive
bounds up to the scramble which developed
among the railroads for capital resources
towards the close OF last year. The crisis
which resulted was aggravated by the after
effects Of the great destruction OF capital
caused by the Boer war. the Russo-Jap-
aness war and the San Francisco earth
quake. These numerous capital require
meats fell mostly on British and European
supplies and reduced the resources avail
able TO meet the demands of the American
railroads in that quarter. Much attention
has been attracted to an exhaustive re-
view OF the prospects for foreign capital
flowing into American enterprises made by
the London statist in an introduction tc
its American railroads supplement The
conclusion OF that authority is that the
quantity OF European capital available for
Investment is now likely to increase. with
the passing OF the influence OF war loans
ana that the profitable opportunities Of
fered In American railroad enterprises ar,
hkeiy to attract It, but not without ratG
lof rsturn higher than necessary in times
past.
Demand for FOOdstuns.
Authorities In New York are of the opin
lion that the demands for capital In activ,
business win decline during the cominl
H..
curtailment Of mercantile borrowings o
thil sort They believe that the retrench
nient win be of special effect on the sid
OF imports OF merchandise. which have beei
running at so high an excess over all previ
Gus records to account in large part 70
1.-THE course OF the international exchange
land the export movement OF gold. II i
inow evident that foreign requirements 70
Ifoodstuds will be unusually heavy thi
wear, owing TO crop shortages abroad, AM
tonfdence has become established that thi
country win have surplus supplies avail
able. which can be marketed on prohtabl
terms The course OF the international ex
changes therefore, is expected to NOV
/ lavorably for this country. The prospec
of 4 slowing down OF trade seems to be re
earded with equanimity. as IL Is felt tha
the high pressure at which activity ha,
risen was ovarrunning the capital ayailabl
A,pd was being conducted at an extravagan
Al. which was threatening the integrit,
Athe net return. A great impression wa
made by the strong expressions OF Presi
Noni Elliott McDougal OF the New Yorl
state Bankers association along these lines
said Mr. McDougali Gentlemen: We can
1 not hold the present pace. We should no
1 hold Il even II we could. II our depositor
do not realize this our unpleasant but per
fectly plain duty is to curtai their accom-
Imodation lines and enforce retrenchmeni
IWe are IN an era OF extravagance, bot
corporate and Individual; OF extravaganc
IN enterprise and OF extravaganza IN ex
Inendituresi eStrayagance as much beyon
Inreccdent as Is our feyerish business &C
lurity. No matter what this country's hool
9l4roilta ara Il cannot accumulate capita
without thrift aud today thrift appears Z
BE- forsotten."
The slowing down process thus called 70
Il a hooked upon IN Wall street as a mean
for recuperatiOn and there Is no apparen
anxiety that Il wih run into depression