Omaha daily bee., 1908-06-22
Small Movements on Supposed
nihcance Of Political Action.
UNDERToNE OF CoNFDENc
Outlook for Crops and Freight Trafi'
Are Good.
MONEY POUR INTO NEW YORK
Special Requirements for July
viii BE Met without Effort
bond Market Continues
Dull.

NEW YORK June H.-The prominence
OF political subjects last week kept atten-
tIon in the financial district, as well as
elsewhere focused on that point The
most notable effect perceptible In the Sc
curities was the repression of all large and
important activities and the adoption OF
a waiting attitude on the part OF the
larger capital interests. Dealings were made
up OF professional operations and these
OF the smaller class. and the price move
ment In consequence was inclined TO turn
within a restricted range. indicating the
tentative nature Of the transactions and
their failure to bring out any substantial
response such as would give them power
of extension.
Professional sentiment was sensitive TO
the hourly news from the transactions OF
the republican convention at Chicago and
vacillated as the advices were deemed In
dicativs Of the prevalence Of policies OF
aggression in pursuit Of corporation abuses
or Of restraint on more radical tendencies
in that direction. The trivial character OF
the dealings caused doubts whether any
deep founded views Of substantial property
interests were finding reflection in the
market and the long list of aosentees from
the financial district of prominent figures
in the banking, financial and railroad
world helped to keep alive this opinion
The demand for securities was unimpor-
tant at all times, nor was there any
notable selling to give light on the con-
victions of security holders.
Undertone of Confidence.
The waiting policy OF the speculation was
confirmed by the balance of some contend
ing features in the general situation oil
affairs While some OF the immediate con-
Gitions were OF an uncheerful import, the
undertone was one of confidence in future
Improvement. Unfavorsble' weather condi-
tons in a part OF the winter wheat belt
were taken due notice Of, but the opinion
of authorities In the grain trade that the
promise Of the yield was not as yet materi'
ally prejudiced served as an offset Rail
road traffic officials gave voice TO theii
confidence IN crop prospects and the ulti-
mate favorable Influence to be expected
on the fr<t6ht movement and .on general
business. while admitting the present con-
traction OF their traffic. Railroads earnings
reports also gave strong testimony to this
contraction, the Baltimore g. Ohlo's shrink
age to less than half those for last yea
in it's May net earnings, making a notable
example. There were the passing of divi
dends on the Cleveland. Cincinnati, Chi
cago & st. Louis, the Lake Erie & WesterI
preferred and the Republic Steel preferred
stocks and the reduction Of the Louisville
& Nashville dividend which had to b.
digested. Trade journals Of recognized au
thority in the iron and steel trade gaV'
candid expression 10 the belief that th'
cut in prices Of steel products had not re
vived demand in those lines. Further re
ductions were believed to be probable ant
wage adjustments are looked for in con
~ paiIrnad
inEs the policy OF dividend reductions fol
lowed by some Of the railroad companie
and the opposition to proposed advance
in freight rates awaken fears that wag
reductions are forsshadowed In that fiel,
of industry as well.
Money POurs Into New York.
There was continued inpour OF none!
to the banking reserve centers OF the worl'
in which New York fully shared. The re
duction OF the official discount rate OF tn
German Imperial bank marked the ex
tensica of this influence to the point wher
money stringency has persisted longest
This is a usual phenomenon following sucl
a financial upheaval as that OF last fall
The variant from the usual order seem
to be the persistent demand from Berlin an
Paris for gold about which mystery at
taches. The continued outgo OF gold fror
New York. however, has not altered IN
easy tone OF the money market and tn
confidence In its continuance as reflecte
in concessions IN over the year interes
rates. Special requirements, such as an in
orease on July first in the New York Trus
companies reserve requirement which wi
all for approximately s2O,OO0,OOO and a
expected further recall of United State
treasury deposits with the banks hav
equally failed to disturb confidence in, tn
money prospect, 1t Is notable that III
bond market has flattened out in spit
OF the redundant state Of the money maj
lSet This is attributed to the recent lars
supply Of new issues which has been fe
into the bond market, with the effect c
tlking the edge off the investment demand
The action Of the new Union Pacific re
funding bonds which were dealt in 'whe
Issued" Is regarded as an accurate inde
of this condition. Steady support for III
bonds serves TO hold the price only at
shade below the subscription price and d'
mand subsidies At the actual subscriptio
pre-