New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-07-02

transactions in yesterdays stock market
relatively heavy in the leading issues while
despite a bulge in the call money market. prices
Were firm and higher in the greater number Of
Issues at the close. An advance in call rates
was expected. Spectators paid little attention
TO the upward movement. and showed no obtec-
ton 10 paying the price demanded. though the
inquiry for accommodation was light. both in
the call and time departments OF the market
There was appreciate change in time money
which was quoted on q reasonable basis. and
the advance in call funds was due more to a
temporary scarcity OF money for speculative
purposes rather than to an adverse change in
the general monetary situation. Bankers look
for a firm market for several weeks TO
come. but they expect disturbance unless
efforts should be made to bring about a big bull
boom in the stock market. The best informed
and most conservative interests in the Street
believe general conditions affecting the stock
market are moving along lines that will en-
courage gradual improvement In securities
prices, and they are convinced that IL the
ket is allowed to move quietly. prices will enjoy
material enhancement in the next few weeks
but that If manipulation and furious specula-
ton develop the money market will call halt
that will spoil all chances Of better quotations
While there realizing sales in some volume
throughout the day the bulls had the best Of the
market on the general movement. and in the
last ten minutes made an aggressive demonstra-
ton against the shorts, with especial pressure
against this element in Pennsylvania. large
amount of stock was called on the Pennsylvania
bears and to some extent in Union Pacific.
Railroad earnings for May coming to
hand show remarkably favorable results as
compared with the corresponding time
year ago while all indications point 70 returns
equally as good for June and July. NOtwith-
standing the increa sed cost of operation and the
expenditures on the properties from earnings
gross receipts have been so large that fair pro-
portion of the gain is shown in net, this being
particularly noteworthy in view of the recent
A. IL
rious parts Of the country. OF course. there has
been certain amount of retrenChment work in
expenditures. but the general expense account
still continues heavily in excess Of the
payments in corresponding periods in other
years. and favorable net returns have not been
obtained at any sacrifice the physical eff
cheney Of the railroads. Earnings Of the Penn
sylvania reflect more closely general industrial
conditions than those Of any other company. as
the road covers field OF most diversified bust
ness drawing its traffic from section Of the
country where population and commercial activ-
fly are the greatest. The earnings OF the COM
pany for May which We're received yesterday
show an increase in gross on the lines east Of
Pittsburg of S2613.20u an increase in expendi-
lures Of 50 113 200 and an increase in net earn
ings of 100000, making for the first five months
OF the year increase in gross Of $3.50. lpe,
and an increase In net OF Sc, 300. On the lines
west Of Pittsburg gross earnings in May in
creased S1315, 100 and net earnings S2S6,2oO,
the net increase for the five months being $3.50
600 Earnings of the Reading also furnish q
good measure Of business conditions. In May
the gross receipts OF the entire system increased
S1.34O. 633, while net increased S71S,1O1. There
is nothing in the position OF the railroad business
that suggests the development of a period of
dividend reductions.
In past years July has been. q rule, time
OF advancing values on the Stock Exchange.
and II nothing serious develops in the money
market the chances will favor such a movement
IN the current month. Bank reserves however,
low, and do not warrant rapidly expand
ing market at present. but traders are hoping
for a good demand for securities the result
Of the large July disbursements, and even at
present prices an inquiry Of this sort could be
satisfied at substantial profits TO holders, who
recently bought stocks to sell 10 people who
want 10 reinvest their July income. From the
low point Of June, when the leading railroad
shares showed an average price of $3.50. there
has been an average advance of more than D
points, while the leading industrial issues
show rise from their low level Of June OF about
8 points. Union Pacific is up about 70 points
from its low price in March, Reading 10 points.
Southern Pacific 10 points. United States Steel
z points the preferred points St Paul about
10 points and AHaIgamated Copper points.
Buying that may come from people who receive
large interest payments will be more for In
vestnent than for speculation. and while It will
serve to decrease the supply OF stock in the
market Il will not be an effective influence in
creating great activity. The public shows no
disposition TO come into the market, which
promises to remain a traders affair. with the
chances favoring further improvement. Many
nersons have stocks for which they anxious
10 find a market and evidence is not lacking Of
skilfnl manipulation to create better prices.
EvNu MOT