New-York tribune., 1908-08-01
FINANCIAL AFFAIRS
STOCK VALUES UP.
Shorts Forced to Cover by Bull In
terests- Banks Gain Cash.

Striking advances were made by many stocks
In Yesterdays dealings the improvement being
recorded in the last two hours of business, fol-
lowing morning session in which. trregular1ty
pronounced. Heavy buying in the hnaI
trading disclosed the presence Of a good sized
short interest especially in Reading, Union Pa
cffic and Amalgamated Copper, in which sub
stantial advances were made as result of
active covering by the bears, who apparently
had counted on the duness of the last few days
as an indication that important speculative
houses ont of the market as far as the
long side was concerned. The so-called big
men are not out of the market and the short
side of speculation looks extremely dangerous.
Active houses with a large uptown following
were buyers in the afternoon, while there were
orders from houses that are known to do
Standard Oil business, operations from this
source being particularly marked in the copper
issues. Reading, which supplied the chief feat
ure in the late dealings closed at net gain of
4 points Union Pacific gained 2M. Amalga-
mated Copper and Missouri Pacific, ST. Paul,
Anaconda American Smelling, the Erie shares,
National Lead, Great Northern and PennsylVa-
MIA more than / point. Canadian Pacific also
was strong feature, while throughout the list
fair sized advances were common. American
Locomotive was in demand, buying being based
on reports of increased orders by the railway
equipment companies. Traders who sold stock
in the last hour to even up on their transactions
found il was well absorbed, and they reported
that fresh lines of various stocks, notably Read
ing and Union Pacific, had been accumulated on
a large scale by prominent interests The coal
stocks helped by a rumor that the COM
panies had received q favorable decision in the
suit to determine whether not the coal carry
ing and producing railroads must obey the pro-
vision of the Hepburn law which makes it
lawful for the coal roads to be mine owners
and producers Last prices a rule were at
the best of the day.
Railroad earnings since the last week in May
he
recorded in the spring, the average decrease by
weeks in June and July exhibiting shrinkage
in the loss, the percentage for the third week
in JULY for instance, standing at about 13 as
compared with 1888 in the last week in May,
go in the first week in June 1881 the second
week 1856 the third week, l6.3S the fourth
week, 1904 the first week in-July and l2i2 the
second week. 1t should be borne in mind that
conpari-ons are made with a period last year
when traffic receipts were unusually heavy. the
losses this year therefore appearing more sig
nifcant than they really are. Railroad men be-
lieve that in the rest Of the current year
earnings will make a far better showing than
in the first half. basing their idea on the lower
proportion of decrease already recorded ana on
the indications of a more active demand from
consumers in all lines, notably in iron and steel
The grain traffic is improving, and as prices are
high there is quite likely to be an active move
ment Of foodstuffs to market, which, OF course,
will add to the tonnage carried by the trans
portation companies Foreign supplies of grain
are light and foreign crops do not indicate
bountiful harvests. AS a consequence there
soon ought to develop heavier export demand.
That the export grain trade already is improV-
ing is reflected in the outward movement or
wheat in the current week, shipments showing
a gain over the preceding week of 1900 bush
els and a gain of ,123 S62 bushels over the
week before. The governments cotton report
issued yesterday, showing July conditions. gives
d percentage of S3, which compares with a ten
YEA Of indicates
of about 100000 bales
According to the known movement of money
in the week, the local banks lost small amount
OF cash on their operations with the Sub-Treas
uTy, owing to the payment TO the government
of the Central Pacific note, while they gained
from the interior. the receipts. however, from
the West being smaller than in recent weeks
due to the better demand for money at out-of-
town points. The heaviest receipts were from
nearby places. 1t is expected demand
will develop in the South for funds in connec-
tion with the cotton crop requirements, and in
the current month the inquiry from the West
and Southwest will increase TO extent that
may cause hardening in time money though
change is expected in call rates before the
autumn. The indications in the AGRICULTURAL
section of the country point toward large har-
vests The financing of the harvests requires
out of town banks to draw their balances at
this centre, but there Is no reason suppose
these withdra walls will cause any disturbance in
the money market this fall. as they generally
have done in the past a result of reduced
holdings in New York The banks here would
welcome an active outward movement of funds,
as il would enable them to get a better price
for money in the loan market There is little
profit for the banks in the lending of money
present, but these institutions have no good
gument for dissatisfaction. they have been
through a profitable year, with the prospects of
getting better rates for their money before
many weeks so by. The banks OF New York