The daily morning journal and courier., 1907-01-21
STOCK MARKET FEATURES 1
THE OUTLOOK AS VIEWED BY
 VARIOUS EXPERTS.

Not as Favorable as Bulls Could Desire
 Some Rallies Expected on the Shorts
 The Immense Demands for More
 Capital-Easler Money Doesn't Count
 Nor Increased Bank Reserves, as
 speculotors May Whistle for 1t in
 Vain.
 The much better bank statement of Saturday and the much easier rate of the money market had no effect on be- half of the bulls.
 Last years conditions in the stock market are being repeated. Then, as now securities fell as the money pres sure relaxed, and corporations seized the chance to put out fresh issues of bonGs.
 The main cause for the depression and uncertainty Is the exorbitant de- mand on the money market for more capital. The money Is needed for a legitimate purpose, viz: to provide more facilities for doing the business that is crowding upon the railroads. and the industrial corporations.
 Shareholders in companies that of fer new stock are put to their trumps to raise the money with which to take the new stock
 There has also been liquidation by Interests who are not in a position to subscribe to the new stock offerings. but who desire to have their capital in liquid form in order to take up the attractive note and bond issues of the railroads that are yielding better than most stocks, and are unlikely to depreciate in value in the next two years. The aviditiy with which the new note issues of the New Haven road have been gobbled up is an in- stance of this,
 A year ago the average of stocks was neary IA points higher than to- day. But bank loans in New York are now $25,0O0,O00 larger This sug- gests how liquidation in securities fur nishes relief in other quarters, and how expansion in one direction is pos sible only at the expense of contrac- tion in another.
 There was a general buzz of excite ment and pleasure in the brokers of fees when the fine bank statement of Saturday came out, and glances were at once directed to the boards with the expectation that prices must take start upward. This didn't happen.
 VoyIy to1I L,o Saturday that he was in accord with a big Connecticut manufacturer whose opinion was that reaction in business was on the way, and that this view was shared by other manufacturers.
 Among the Wall street opinions are the following:
 R. M. Stuart-Wortley, of Edward Sweet & Co.,: The outlook for the rail- roads is by no means encouraging. Wages are high, labor inefficient, rates are low, capital requirements are enor- nous, and the growing hostility on the part of the state legislatures is not fully appreciated. Also those who are in close touch with the situation in Washington report unanimously that the recent disclosures in regard to rail- road management and cutting of rates have given rise to feeling of bitter resentment,
 John H. Davis, of John H. Davis & Co.,. Outlining our individual review of the financial outlook in general we find the chief deterrents to increased animation, first, in money market con- dltions and secondly in that general, If as yet vague, spirit of discomfort which has been excited in more than one class of the country's citizenship through various occurrences within re- cent years. This last is a broad and far reaching consideration.
 George I. Malcom, of Malcom & Coombe: The supply of securities is enormous, and is being added to con- stantly, I have been expecting lower prices for a long time past.
 James B. Clews, of Henry Clews & Co.,: liquidation by important inter- ests has been the order of the day, Jan uary has always been a liquidating month for the insiders, the buyers be- ing the so-called outside public, and January, 1907, is no exception, only the large operators are getting out on worse terms than anticipated.
 Henry Clews' says: For such req sons an unsettled, and possibly more active stock market is to be anticipat- cd durincr fba pevf fbrno ,,ooptbc pa