New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1908-05-13
FINANCIAL AFFAIRS
STOCK T4LUES HEAT I.
Reali-ing Sales and Bear Pressure
Hurt Prices More Gold to 90
tO EurODc-NOney Easy.

Declining values in the leading securities ~
Yesterdays stock market were paSed more VI
technical conditions than on adverse news ue-
,-eIorrnenrs though traders advanced the poor
renort of the Erie for the March quarter the
RESUMPTION of plans for gold exports anu q
heavy falling off in shipments OF oollle9'io
products for the month Of April as auequ",o
arguments for a general selling movement
Speculative considerations based on the over
bought position Gf the market naturall9 sue
gested 10 the careful follower of prices the Wlo-
dom of assuming Il position on the SiloIt SUI
especially in such issues as Chesapeake q ONO,
G. PAIL Ontario & Western. Reading and
Union Pacific which recently have been NOV
ing under the influence Of aggressive DUH ma
nipulation. Realizing sales in these slochS anu
in various other parts of the list were e11ectNe
factors in helping the downward movement
and the fact that active distributive selling was
going on in the chief speculative faVorltes was
reflected in attempts to cover the safes ps tiie
Kidding ND of some of the cheap priced STOCKS
notably the Southern Railway shares On the
decline fair support developed, and in the case
of the conner stocks and American Smeltlng
marked resistance to bear pressure was re-
ported while in the early afternoon the ehlIe
market presented Improvement over the 1ore-
noon level the movement being encouraged py
the cessation of foreign selling, which was de-
cfdcdly heavy in The first two hours of trading
There was a material shrinkage in the volume
of business as compared with the total opera
lions of the preceding day, but leading commas
ions and predicted expansion in speculative ana
investment dealings, with higher prices ulti-
nately.
So far in the current week the local banks
have lost on their operations with the SUD
Treasury upward % $500 00C, the gain by the
government being due TO payments by inc ue-
positary institutions of funds recalled by the
Secretary OF the Treasury. In view of the large
reserve holdings Of the city banks this loss Is
insignificant, and il will not be reflected IN d
tightening Of money rates; indeed. there is niue
chance of higher price for money until the fall
4 demand in connection with the harvesting and
marketing Of the year's crops becomes urgent
| on MAY % the Treasury will withdraw from
depositary banks $35,O0O.OO0 more OF government
/ funds. This transaction will be as easily
! financed as were the Withdrawals of last Satur-
dav while in the event Of further calls from the
government upon The banks money market con-
ditions will not be adversely affected. Nor Will
! the resumption of gold exports upset the none
tarv situation. Sterling exchange strong
. Yesterday and SHIPMENTS of the metal to Paris
were foreshadowed by the course of the market
. which suggested an intermittent flow of gold to
Europe notwithstanding the likelihood of the
fiotation of American bond issues abroad. In
E connection with the position of the foreign ex-
/ change market il is interesting to record the
fact that In the month of April exports of do
mestic products from this country declined in
Va Inc 10 the amount OF $40 49,. 926, comparison
being made with the corresponding month d
: wear ago with the heaviest loss in the movement
/ of cotton which showed falling off in value
! 10 the extent of $15.9S3.6S9. Exports of bread
! stuffs declined $4,493S20 The demand for con-
/ SUMPTION abroad is much lighter than IL was q
| few months ago and ii reflects conditions which
! in many respects similar TO those prevailing
! in the United States.
! Though business conditions here ia
; yorable at the moment for merchants,
! facturers and transportation companies, it is
! encouraging to know the colsntryS finances are
| sound and that credit resources of the banks in
all the leading cities enormous. Great credit
facilities based 4 tremendous reserve power
will be important factor in restoring indus
trial prosperity. The railroads of the country
need money for Improvement purposes, and Their.
IS every reason II believe that within the cours.
/ OF the next few months their needs will be SUP
piled through the medium OF the bond market
! which is showing d rapidly increas sing power o.
absorption. resumption of extension and i'm.
provement operations by the Transportation
companies cannot be longer delayed and wher
il comes it ought TO prove powerful bull stiIn.
uant for the stock market. The public is no
in the market to any extent. but brokers repor
buying orders from people in various parts o
The country who believe that notwithsta ndine
the possibility of Irreeuarity and sharp reat.
tions from the current level securities bough
at the present range Of quotations will sell man,
poiuts higher a year hence. Ii is a good tim.
10 lock up stocks IN safe places and forge
the course of the ticker. Many small investor!
are doing this. a indicated by the increase il
the holdings of odd share lots in all the prom
! inent railroad and industrial concerns.