New-York tribune., 1908-08-30
The Financia! World.

DESPITE all the SenS6tlOndliSm incident n ~
extraordinary failure OF A. o. Brown & Co.. n.
New York Stock Exchange market has ianor.a
every element and suggestion of danger or en-
barrassment therein denoted. Almost h,u.
start to finish the weeks stock market NOV.
ment has been upward-and some devalo, i
rents along this line have been OF such ch.-.
acter as might seem to signify that basic thin..
in the financial world have been actually helped
by disaster overtakins a firm trading in q million
shares per day to the involvement of scores a.
other Important houses In any attempt To nm
derstand this curious Wall Street mood II 4,
easiest to find explanation in the theory thar
there has been general feeling that the failure
was a bear failure-that the incident reflected
the inability of powerful interests to tnterS.r.
with natural market betterment-that therefore,
stocks ought to be stronger. prices higher for
the very reason that manipulated pressure VA.
so withdrawn and opposition thus extinguished
Conclusion like this can, OF course, become verv
popular But there happen to be some rather
positive conflicting factors In this particular
case-for il will develop that the failure is NOT
attributable merely to short selling and other
bear performances-the dissipation OF only two
or three imposing mysteries will be necessary
to put a very different face upon this failures
cause: and aggressive nuSatlon may be
pected for sequel
While we have had an active upbidding Of
quotations it has not been discoverabls that
the outside public is taking much new interest,
Representative commission houses are hardly
more concerned in the present stage Of the mar
ket's development than when two. three four
months ago they had seldom an order Of any
size 70 execute 1t is true that conspicuous
firms do figure largely in transactions day by
day: and some Of these are ordinarily ranged
among those who have large shares in the pub
lies operations when there Is any public oper-
ating. Just at present, though. their participa-
ton is obviously different from what has been
ordinary Such of them are busy are chiefly
representing professional traders
1t must not be concluded, however. that these
professional traders are merely the average
board room spectators Of the Stock Exchange
who whirI in and out Of the market day by
day. There is a new professional element in
evidence What is notably characteristic IN
this new element Is that it is financially bigger
! than any predecessors. Orders intended TO af-
| feet the market now are apparently without
limit as TO their size; and at times there seems
/ to be similar carelessness, too. as to prices.
An this may be clever and enective-unde-
niabIy IL is courageous-but beyond any
| ner of question 1t Is not the reflection OF any
| public interest. IL il were it would be JUST
plain recklessness
! Hartman stocks maintain leadership. Union
! Pacific and Southern Pacific have been making
/ new records-the former for the present rlove-
/ ment and Southern Pacific for its whole history.
| Astounding runlors are quoted TO account for this
| particular phase OF the markets buoyancy: but
/ few of the reports circulating are possible Of
/ verifcation-many of them palpably false, alto
/ gether foolish Various readjustments OF the
I capital Of these corporations suggested; and
some of the bunetined developments are SO crude
/ in their absurdity to cast doubt upon other
more feasible possibilities
Yet what clearly shows beyond most other
things in the ecstatic spirit Of the market is an
| extraordinary expansion in the Stock Exchange
popularity OF E H. Hartman He has sud-
! denly become a hero to every Wall Street
trader. A consensus of opinion from such
sources would TO indicate that Mr.. Harri-
| man has suddenly developed into stock mar
ket wonder-maker. having no object in view
! comparable with bouncing quotations day oy
| day To those who know the real Hartman
there is grim hunnor in the presentation Of this
| sort of picture.
| CurioJIsly coincident with the Hartman
| buoyancy is what amounts TO actual heaviness
on the part of the stocks OF James J. HILL
| Great Northern and Northern Pacific not only
fail to join in the daily advance. but every time
that Union Pacific and Southern Pacific have
especial outbursts the Hill shares show more
than suspicious tendency TO drag backward
Northern Pacific and Great Northern together
were traded in to an extent less than 10000
shares throughout the whole week and their
total rise for the week averages only single
noiut apiece-comparing with million
shares for the two Hartman stocks. each OF
which has jumped up more than seven points,
Possibly there is nothing more than casual sus-
gestion in record like this; but experiences oo-
servers do not fail to note the disparities
/ We hear much Of the establishment OF not
| merely harmonious relations between the most
povverfuI financial interests of the country but
there is continued proclamation that the oiu
/ sunshine of the era OF Community OF interest
is once more in vogue-and that we are 70 nave @
I sisnifving exhibits thereof IN Wall street HUI.
| this time forward Wall Street can gTow very
happy on a we'll fed imagination
There Is no need for any change or qra'ih-
cation in opinions expressed in this review as 10
bond market prospects Relatively bonds df'
noy cheaper than standard stocks are aNSras-
ing .,.u,
Inconsistencies in stock market quo'a'l"H' I
play funny pranks upon the nin1s anu -
oninions Of investors. including fnancers- ms
public viii have it that security IS S'ou :
offered at a high price. or, per contra q"7'',O
able. The president of a MlChlsah $50
han1, r,o, reading an analysis Of the Missouri
- or,s rexaS Railways First and Refund
ing Mortgage a per cent. Bonds, maturing -oU''
.horrb+ the statement made the issue an eN-
e.s1ir-lv- attractive purchase. but notlns 'H0
,r;cas of the old Fours selling at 30 III III"
orret and the Second Mortgage Fou's "'
ss-s4 besitated relying upon his own Ju"s
r,ent inasn1uch as the refundlng issue wa"
ouiv about 81 An expert on the @ MV.s
Sasa made the following explanation'
the Second Fours are second morlsdsV .
rate of sla5o9 per HIle- subject to tne FVu W.
1890 which are issued at the rate OF S-''OVs .