The morning journal-courier., 1908-05-04
FINANCIAL REVIEW
Weeks Trading Marked by
General Ruoyancy and In
crease in Volume.
RAILROAD DEMANDS BIG
Pennsylvania Railroad Bond sale Re-
garded as of Immense I'm
portancc.

The mixed movement In the securi-
ties market last week was fairly rep
resentative of the influence carried
over from previous developments in
favor Of higher prices and of the OBJ
stacles inevitably encountered at some
stage of such movement rhe vol
ume of dealings expanded Early in
the week to a daily total larger than
on any previous day this yea, or In
fact. since the troubled period of last
October The rise in prices, at tho
same time, developed buoyint char
acter and the market took on an APP
pearance Of speculative excitement.
Subsequently a reactlonary lonc be-
came manifest and there was n de-
cided shrinkage in the proportions of
the market. The active rebound to
the best at the end of the week end
ed with an unsettled tone.
The influence for the advance was
the cheerful feeling aroused by the
pronounced success Of the Pannsyl-
vania bond sales and the hopeful
augury from that event for the ability
of railroads to secure capital TO re-
sumo their activities in the field Of
construction and Improvement The
needs of the railroads in this respect
are very large. The Journal of Com
merce estimates that notes and bonds
maturing and stock falling due during
the remainder of the year reach to-
tai of nearly S2S4.000.000. n the
field of new financing less exactness
can be assumed. but the same au-
thority traces probable new demands
to the extent of about $2S0.000, 600.
With these financial needs confront
ing the railroads the Pennsylvania
bond sale was regarded as immensely
important, rs an indication that the
deadlock overhansing railroad credits
for so many months had been broken,
The condition of the money market
was confirmatory of this prospect
The uninterrupted flow of currency in
to central bank reserves gave assur-
ance that the banking position would
remain strong and would serve to
foster the financing measures in con-
temptation by the railroads.
Accompanying the improvement
are certain influences Of less cheerful
import. The heavy tide Of the cur
rency movement to banking centers
are indicative of the contracted needs
OF the circulation and tho impaired
demand for use of money and banking
facilities IN active business This In
ference is confirmed by other trust
worthy indexes The American Rail
way associations committee reported
last week that the number of idle
freight cars in the country had rapid
ly expanded on April 10 TO 375T7O
which compares with but 343,92S, the
high figure reached on February in
the progress Of the depression follow
ing the panic and with 297,040 March
is, to which the surplus Of ears had
fallen when revival Of spring trade
had added to tho movement Of traf-
fic. The showing of the United States
Steel report for the first quarter OF
the year indicated n volume Of un-
filled orders on hand on March 81. OF
S3,765,343 a decrease Of $S50.21f
from December 81 last and smallest
for any quarter since that OF Septem.
her, 1904, Instability in the iror
market and fears that prices Of fin.
ished products must come down to ar
adjournment to the lower price fol
iron have been subjects for discussion
In estimating the financial outlook
Parallel conditions exist in the cop
per market, where the unstable state
OF the price for the metal has reflected
the continued hesitation Of buyers
The weeks influences from the crol
regions were helpful and the progress
made by the railroads in efrectnt
economies to offset the cut in THEFT
gross earnings was a source Of salts
faction.
The urgent request requirement o
the outstanding short interest In tn
securities market was a factor Of con
sequence in increasing a strong ton,
there.