New-York tribune., 1908-06-08
THE WEEK IN WALL STREET.

uncertainties, OF crop anO OF tne dllieuu0
Of the larger speculative interests. whose moves
were difficult TO follow. Periods of strength
were followed by sharp reactions, which in turn
were offset by further advances that left the
general level of quotations above the final fig
of the preceding week Traders were so
much at that they restricted their move
ments on both sides of the account They were
unable to determine whether or not the Dig
men had taken advantage of the rise early in the
week TO liquidate their holdings; they would not
commit themselves TO the theory that the fiota
tion of the Union Pacific bond issue marked the
end Of the bull campaign though on the an
nouncement of the successful financing OF thal
issue they made cautious excursions on the
short side of speculation, and they would not
admit that the unfavorable features in the situa-
tion were of sufficient Importance to warrant eX-
tensive operations for the decline. on the other
hand. there disposition TO flourish buii
trumpets because certain developments indicated
better trade conditions than recently reported,
and as far as the public concerned 1t refused
TO take part in the dealings for better prices.
the only important speculative operations noted
for outside account being on the selling side OF
the market.
Railroad earnings received in the week gen
orally were unfavorable. the chief exceptions be
ing presented by the New York Central and the
Union Pacific which, through reductions in
operating expenses able to offset the de-
cline in gross as influence upon net weekly
reports to the end of May showed no improve
ment in the volume of traffic, but careful ob-
servers of the situation found in the Increased
orders for pig iron and the reduction by the
steel companies in the prices of certain hniSh@d
products encouragement for the belief OF I'M
provement in transportation receipts IN the heal
future Crop reports as rule were opt1mlstlc'
but the best feature of the situation was the IN
dication of returning confidence among investors
and fnancers a reflection of which was pre-
sented in the bond market, where new ana olo
issues were in good demand. Long term pohus
are succeeding short time notes. Ihls Is one
of the best indications of the return Of normal
times in the financial and business world ana IL
doubtless will play an important part in laying
the foundation for further appreciation IN Sc
curities values which is expected 10 ueVeIop
when the political situation is clearer FROM
now on until after the conventions the pohucai
argument doubtless will be used for effect upon
stock market values but II is not likely sensible
investors will sell their stocks because pro"
fessional spectators may sing little sohs
about the fearful things that may happen' no
matter who may be elected So-cailed fIoose-
Welt scare was launched in the Street last Ihurs-
day and number of weakly margined accounts
uent nv tbe board. President Roosevelt is held
ND by speculators when they want lower prices
as the arch enemy of industrial progress anu
the timely speculative rumor that the RepuDlcdh
convention would be stampeded for him was the
course of which small dealers were severely
n,,nished The third term argument probably
will be worked overtime until after Mt IaI'
has been nominated.
While there has been break III business
s.aenation il need not be assumed the country
will at once return the prosperous pasiS 'nae
,,revailed before erspeculation, the methous oi
thigh finance and strained credit upset the
finances and industries of the nation BUSINESS
men would rather gradual and sane I'M
ri..o1 hnny
dustries Bear capital was made out OF the
action of the United States Steel Corporation
last week in reducing its price on steel pars III
order to meet competition of smaller concerns
but the lowering of the level was TAKEN ny
careful students of economic conditions as d
further sensible step in the direction of indus
trial Improvement 1t is not unlikely steer
prices will be reduced all along the line, except
in the case Of steel rails and such develop
ment particularly when accompanied by a lower
cost of manufacture, will serve to strengthen
the position of the trade by stimulating de-
mand that has been checked by the hlgh quota
tions SO long prevailing. There Is going to be
a big demand for iron, steel and copper before
the wear is a result OF competition ana
lower prices Consumers practically bare
of supplies and assuming there VIII De year
of plenty in the country's agricultural sections
there will be an important revival in the metal
trades unless all signs fail AS the output OF the
farms contributes enormously to the wealth OF
the country prosperity among the farmers VIII
be followed by activity in other lines or work
The demand for farm products is increasing
with the growth of population, and good prices
are ahead for this seasons harveSts. especially
as the worlds visible supply Of grain is de-
creasing The visible supply of wheat Is de-
creasing at the rate of 100000 bushels week,
and compared with the supply at this time last
year the present stock shows a falling off OF
so 600 600 bushels while it is 10000 900 bushels
less than at the beginning of June, 1906. There
two months before the new crop can move
freely enough TO affect values, and In the mean
time the world will have TO look chiefly to the
United States and Argentina for its supply of
wheat.
Though merchants are finding a better market
for their goods the demand for money continues
light in all parts of the country and the move
ment of currency continues in favor Of this CEN
tre, the net gain last week being heavier than
in any preceding week this year. 1t is likely
that bank holdings at this point Will be large
enough to warrant easy rates for funds until
the active demand for money in connection with
the harvesting and financing Of the crops de-
velops and even then there will be little pr, u
ability Of anything approaching stringency,
especially in the event of a rapid depletion
OF bank reserves from the crop inquiry from
a revival of business the Secretary of the Treas
ury will be empowered under the currency
law to authorize emergency banknote circula-
ton In the month OF May there decrease
in the amount of money in the country outside
of Treasury holdings of S50.111.S12 due in great
part to gold exports and the redemption of ma
tional bank notes. but compared with year ago
the amount of money in circulation June l
showed an increase of s96, ,399 720, due the
increase in the amount of gold in the country
and to expansion in national bank note circuia-
ton Including the money held In the Treasury
as government assets the total stock OF money
in the United States is s3,372. .932.711 equivalent
TO s34 IS per capita. With constantly in
creasing gold supply through the production Of
our mines we have all the money need for
re and NySfa am