New-York tribune., 1907-08-02
STOCK MARKET OPERATIONS.

In the early dealings in yesterdays stock
market prices were strong under the influence of
covering of shorts but the absence of public
response TO the movement and the failure OF
the larger Street interests TO take an active part
in the speculation influenced traders 20 change
their position. the result of which was lower
quotations in the greater number OF shares at
the close. The floor room element found. IN
addition TO the factors named. reason for opera
tions the short side in adverse crop reports,
frIner rates for time money. weakness in the
copper market and the reported serious illness
of H. H. Rogers. Though 1t was announced at
the Standard Oil office Mr. Rogers had fully re
covered, Wall street thought otherwise, espe-
cially he did not come to town to attend tho
Union Pacific meeting, which was postponed Tor
lack of quorum. Southern Pacific directors
met and, as expected. placed the stock on a .
per cent basis, this action being followed i'm
mediately by a downward movement IN the price
of the issue on selling for profits. Extreme
losses the afternoon decline apProximated
per cent III Union Pacific, Northern Paclhc'
Southern Pacific, Amalgamated Copper. Read
ing ST. Paul and American Smelling. An IT
regular rally set in before the close, bat Union
Pacific was about the only active issue that
gave a good account Of itself Commission
houses were not factors in the dealings, most
firms being bare Of orders, while foreign in
terest in the trading was limited 10 few thou
sand shares mostly purchases. Foreigners ap-
pear TO be in mood to buy our securities at
present; indeed, in the last month sales Tor
European account have heavily exceeded pur-
chases Conditions in the financial markets
abroad are unsettled and dealings in the foreign
markets are about as light they are here.
The decline Wednesday and yesterday in the
rate for sterling exchange and the advance IN
the Paris check on London naturally suggest
tba i-17probability of further shipments Of gold
from the United States at present. yet the fact
should be borne in mind that the international
exchange market is most variable body anu
is subject TO fluctuations that may change the
entire situation overnight. If Paris wants more
Of our gold however. II viii have TO apply for IL
in the course Of the next few weeks, as after
that time it will be barred from this market by
an advance in money rates at this centre lhcl-
dent to the gathering and marketing OF the
crOps The demand from the interior promises
to he heavy out Of town banks will be COM
PEELED 10 draw their balances with local IN
stitlltions and unless the loss in cash on thl5
operation is offset by tremendous contraction
in loans the reserve above legal requirements
soon will be extinglished. There Is little likeh-
hood of the banks being able to reduce their
loans materially. They have not a large amount
Of money out on call, and other loans Of course
cannot be called Will. If it were possible Tor
the hanks 10 bring in their time loans they
would cripple many syndicates that are tied up
with fndgestible securities, but as the banks
are not in business for their health and as they
know the Secretary OF the Treasury VIII help
ont when conditions become serious they are
satisfied TO let their funds rest where they are
even If it We're possible for them TO Withdraw
them Bank conditions at this centre are sound,
though there Is n scarcity Of money available
for stock market purposes. Loans are large. but
they are well secured, and notwithstanding the
fact that credit facilities have been overextended
in some instances 1t would be hard to find weak
spots in the affairs of the local financial 1nSu-
tutions. Throughout the country bank condl-
tions are favorable. and as a rule stockholders
are receiving large dividends.
Earnings Of the railroads for the month Of
June now coming to hand make fattering com
parisons with the same month a year ago es-
peciaIly in the case of the Pennsylvania, Union
Pacific and the Atchison. These three roads re-
fleet in their traffic the varied Industries ot the
United States and their earnings therefore may
be taken as a barometer Of trade conditions
throughout the country, but they are not likely
10 have much effect upon stock market
1aIuas as Wall Street is not botherng with
the past concentrating all Its attention on the
future and trying to make up its mind whether
TO operate on the theory that business reaction
has begun or on the idea that current pros
raritv is 10 continue.