The morning journal-courier., 1908-06-22
FINANCIAL REVIEW Political Atmosphere Tends to Hold Trading in Abey-
 ance. CONFIDENCE IN CROPS Continued Inpour of Money to Re serve Centers--Mysterious
 Phenomenon.

The prominence of political sub Jects last week kept attention in the financial district, as well as elsewhere, focused on that point. The most notable effect perceptibe in the se- curities market was the repression of all large and important activities and the adoption of a waiting attitude on the part of the larger capital inter- ests. Dealings were made mp of pro- fessional operations and these of the smaller class, and the price movement fin consequence was inclined to turn often within a restricted range, mai eating the tentative pature 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 transact tions of the republican convention at Chicago and vacillated as the advIces were deemed indicative of the prevail ence of policies of aggression in pur. suit of corporation abuses or of re- straint 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 reaec- tion in the market and the long list of absentees from the financial dis trict of prominent figures in the bank ing, financial and railroad world help ed to keep alive this opinion. The demand for securities was unimport- ant at all times. nor was tbere any notable selling to give light on the | sconvictions of security holders.
 The waiting policy of the speculation was confirmed by the balance of some contending features in the general sit uation of affairs While some of the im- mediate conditions were of an uncheer- ful import, the undertone was one of confidence in future improvement. TTn- Favorable weather conditions In a part ofN the winter wheat belt were taken dus notice of. but the opinion, of au- thorities in the grain trade that the promise of the yield was not as yet ma 1tTldlIN DItJuulCSu S'lNfl dc di VlloFl Railroad traffic officials gave voice to their confidence In crop prospects and the ultimate, favoehble influence to be expected on the freight movement and on general business, even while admit ting the present continued contraction of their traffic. Railroad earnings re. ports also gave strong testimony to this contraction. the Baltimore X Ohio shrinkage to less than half those fol last year in It's May net earnings mak- ing a notable example. There were tht passing of dividends on the Cleveland Cincinnati. Chicago & St. Louis, the Lake Erie & Western preferred and thu Republic Steel preferred stocks and tho reduction of the Louisville & Nashville dividend which had to he dlgested Trade journals of recognized authority in the iron and steel trade gave candlt expression to the belief that the cut il prices of steel products had not revived demand in those lines. Further reduc tions were believed to be probable ant wage adjustments are looked for 1T consequence. The course of railroad earnings, the policy of dividend reduc tions followed by some of the railroad and the opposition to proposed ad vances in freight rates awaken fear that wage reductions are foreshadowe' .n that field of industry as well.
 There was continued inpour O money to the banking reserve center of the world in which New York full shareds The reduction of the otficia { discount of the German imperial ban marked the extension of this infu ence to the point where money string ency has persisted longest. This Is
 usual phenomenon following such
 financial upheaval as that of last fal The variant from the usual order found in the persistent demand 0 Paris and Berlin for gold, about whc some mystery attaches. The contin ued outgo of gold frow New York however. has not altered the easy ton of the money market and the conf dence in its continuance, IS reflecte fin concessions in over-the-year- inter est rates,
 It is notable that the bond markf has flattened out in spite of the re dundant state of the money marke This is attributed to the recent larg supply of new issues which has bee fed into the bond market, with tn effect of taking the edge off the In vestment demand, The action of th new Union Pacific refunding bond which were dealt in when issued"
 regarded as an accurate inHeS of tn condition. Steady support for th bonds serves to hold the price only q shade below the subscription prlc and demand subsidies at the actuf subscription price