The Cairo bulletin., 1908-11-23

has been a timely moderation Of OK
element on the Stock Exchange. Tn,
advance, movement was being carrie
conservative bankers, with memorie.
Iof October, 1907, still fresh in mind
Hooked askance at the swift upWart
flight of prices TO a level out Of al
business. There had been an appre
citation of more than $400.0 900 900 II
the active securities since the cleo
ton, which added to the previous biz
advance no doubt about discounted
the prosperity that is likely TO come
TO us for some time ahead. Much rs
the return to normal was desired no
lone wished to invite repetition OF
the demoralizing speculation when
was mainly responsible for the last
panic. Fortunately the speculative
leaders now recognize the wisdom OF
moderation. and are likely to allow
the market to have AT least a temper.
airy rest from the hot pace which had
| been sustained without Il break for
| several weeks.
Very able manipulation both here
and through London carried the mar
ket to its present level The men be
hind this movement included the
strongest and ablest capitalists in the
country A year ago they stepped in.
TO he breach and arrested panic by
heavy purchases OF stocks, many of
which they did not want but We're
Obliged to absorb. The great bulk of
these stocks, they have been cOm-
PEELED tocarry longer than expected
for while they showed a handsome
profit TO holders the market was MOI
in condition to reabsorb them Dur
ing the last two months, however
large quantities of these stocks have
been quietly distributed, and liquida
ton OF this sort by heavy holders was
conspicuous Immediately before ami
after the election. That event GER
tainly enabled these operators to ma
terially tighten their load and uu
less all signs fail such operations are
still incomplete, large blocks of
stocks still being for sale whenever
the, market is ready. Skillful mani |
bulotion has so far made these un.
loading movements successful and |
stocks have been steadily flowing |
from strong into weaker hands. The |
tel. ~ tlnl Ia loo
bought with much freedom but the
and semi-professional Cd,
the latter a large and rapidly |
class, have been free pur.
Of the late activity and advance must
be attributed. 1t is not impossible for
he rise TO be carried still higher, es
Decially in view OF the improving
'ections; but a prudent recognition
Of the fact just noted suggests the
of much caution in buying
stocks at this high level and a recoS-
lition of the fact that the most pru-
lent course is to take a good profit
when offered. Europe does not show
much confidence in our advance. and
seems disposed TO return our high
lrieed stocks. a feature that will h.
,ome more pronounced If the rise
continues.
Monetary conditions are generally
Credit is much sounder
han for several years. and funds are ]
eadily obtainetd by all good borrow.
RS. Interest rates may become some
What irmer towards the close of the
ear, especially as the mercantile de-
nand enlarges, but money is likely
o remain abundant and cheap for
months TO come. These considerations
ire reflected IN the bond market.
which shows steady Improvement |
lore than 100000. 600 in new issues
ave been announced this week
-arge sums OF money are awaiting I'm.
estment, as demonstrated By the
with which all desirable
ssues are taken up. several notice.
lble examples occurred during the
at few weeks. During the remain
er Of the year and probably during
be first six months OF 1909 there Will
~ considerable issues Of new secur.
ties. The records show that OWE
u .500. 000 900 in new issues have been
made thus far this year. which is con-
iderably ahead Of last wears record.
lthough allowance must be made fort
ssues intended merely for refundiugI
Nevertheless our railroads
lave been annually absorbing about
u .000 600 coo Of new capital. and this
ate sill unquestionably be- acceie-
TED during the next few m-nths in
rider 10 finance improvements anI
xtensiOns that cannot longer BE- fe-
aged. Apparently The money market
: quite able 10 meet such demands
ssumiHg they vii be- judiciOusiy dis
ributed. and the effect upon certain
ines % industry viii certainly hc g.
orable. 4 better demand for iron
.uilding materials. and labor is az
esdy in prospect. al 81 which o.
violence Of the various ways in which
cooperative Influences are actively
{ work.