The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1907-11-17
WALL STREET NOTES
Sharp Advances in Prices
Next Week Predicted.
DAYS NEWS IS ALL FAVORABLE
Bankers Not in Position to Profit by
Announcements that Secretary of
the Treasury Would Issue 100000
OO0 of Panama Bonds-GoId fmpor-
tatiOns COntinue-MOney Easier.

New York. Nov. l6.-"IG" said one of
the shrewdest operators IN Wall street
this morning. the market gets a good
sharp crack to-day. / shall be ready to
buy il for a considerable rise next week.
There Is liquidation yet to be cleaned
up-nOt much OF il, but enough il il con-
tinues dribbIin8 along to seriously im-
Dede the recovery in prices now more
than justified by the Improvement in the
situation In the past few days there
has been far more short selling than
liquidation. and the latter could be forced
TO q speedy termination by a sharp de-
cline in the market 1t could be accom-
plished within the limits of to-days two
hours session"
The good. sharp crack which the oper-
atOr quoted above hoped 10 see dealt 10
the market was administered early in
the session, and afterwards there was
such a rally as indicated that the prog
nostication as TO the course OF prices
next week might be borne out
The highly important announcement
/ that the Secretary OF the Treasury con-
/ templated issuing $4,000 900 Panama bonds
/ to afford a safe medium for the invest
ment OF funds held out OF circulation by
\ the hoarders Of cash, and TO furnish the
basis Of an Increase in the amount Of
/ bank circulation, took the traders com
I pletely unawares.
/ Hardly one Of them was I'm a position
I 10 prOht by the favorable news and as
/ they could not profit by 1t. they fought
| against its influence The day favored
] III
I until Monday ali efforts 20 prevent the
market from Immediately rejecting its
/ bullish import might have proved entirely
/ Unavailing
/ But Saturday. being stll gamblers
day" the few operators who would ordi-
narily have had things quite their own
way. were able. with the help OF the small
volume of liquidltion that remained % be
accomplished In the absence of any large
/ le legitimate demand for stocks. TO depress
the list 20 an extent that afforded them
a fair opportunity TO cover some OF their
Outstanding short contracts. More than
this they could rot do.
Gold importations. already made or CON
| tracted for, now total nearly $4,000 900.
The banks have increased their circula-
ton in the past few weeks to the extent
tl AhW Us OF S-'.VN.oll- ana lIlt new
Issue OF Panama bonds if also used as the
basis Tor additional circulation will add
$590o0.ttO more.
| All these combined mean an addition
Of 100000 90 60 the volume OF money in
circulation. and should amply suffice 20
make an end of the strInEeucy. especially
as. on account Of the recession IN bust
ness. the ordinary requirements Of the
country can be accommodated with a
much smaller supply Of funds than at any
other time In the last couple OF years.
I The principal liquidation was in the
Hin stocks. but was quickly accomplished.
aud these issues were able 20 respond %
the Improvement in the general marke,
which became quite pronounced IN the last
half hour. To suppose that Il was al
liquidation that depressed the these stocks
would be 20 utterly disregard the plain
indications as To- the sources from which
much OF the selling came. for. unless
all signs failed. a TAR larger part Of the
transactions WAS made Up Of speculative
ventures on the short side than Of actual
sales Of long stocks.