The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1909-06-14

New York, June 1.-THE stock mar
ket continues under strong control.
Prices at times receded under realiza-
tons, but the general undertone re-
mains firm. This is owing to the ris-
ing tide of confidence. II it be asked
upon what this new confidence is bas-
ed, it must be answered that It is due
to the general improvement In busi-
ness. together with lessened opposition
towards corporations, which, with one
or two notable exceptions, are conduct
Ing themselves with more regard for
public welfare and legal requirements
than formerly. The iron trade contin-
ues to lead In this respect. Heavy or
ders for all kinds of steel products
were placed in May. and the month of
June promises to be also. q very active
month, SO far as regards the receipt of
new orders. The spectacular rise IN
Steel stocks Is much more due to this
reason that to efforts for their listing
in Paris. The latter merely indicates
desire to provide q world wide mar
ket for these securities, which are al
ready scattered all over Europe Fully
80 per cent. of the United States Steel
Company's productive capacity is now
supposed to be employed; and as the
company's expenditures out Of earnings
for the Gary plant and other improve
ments have about reached their cul-
mination, the impression gains that a
larger proportion Of profits will here
after be applicable to dividends. hence
the strength Of the common stock. The
activity in Southern Pacific was also
a feature, proving that the big men are
still active in the market and engaged
In its support In fact. all indications
suggest that cur leading bankers are
interested in preventing any important
reaction from present high prices.
The big leaders are still well loaded
with stocks which they desire to dis
tribute, and are consequently induced
to carry the market to as high q level
as possible. Thus far the public has
shown little disposition to aid these
gentlemen in their philanthropical pro-
granme, but remains In Q sakeptical
frame OF mind and seems indtsposed TO
invest at the present high level On
the other hand, few holders are inclin-
ed to part with good stocks while gen.
eral conditions remain 30 favorable.
Money continues excessively cheap. and
this. Of course, is q powerful element
towards the support OF values; for even
at present prices many stocaD afford
satisfactory returns when compared
with prevailing interest rates. 1t must
be borne in mind, too, that many OF
our industrials owing to business re-
covery are beginning to earn larger
profits, while the railroads also are
getting their full share OF recovery and
securing considerably better net results
than year ago.
While the crop outlook Is not all
that might be desired. 1t shows Inn
provement and presents nothing to
occasion alarm It is quite possible, II
not probable, that we shall have as
large a cotton crop this year as last
year. in spite OF the agitation for de-
creased acreage. AZ there Is good pro-
at in raising cotton at present prices.
and cotton In the most important crop
In the adjustment Of our foreign trade
balance. the outlook in this respect Is
entirely satisfactory. Whatever short
age there may be in wheat will be
more than compensated for by the
large increase in corn acreage. II av-
erage conditions prevail we should pro-
duce q record-breaking corn crop. AZ
this crop exceeds In value any other
two crops combined. and farmers are
securing very profitable prices for this
cereal. It ID reasonable to hope for an
other profitable harvest Wheat II. Of
course, . very profitable crop 1t pres
emit figures; though II ID not without
dgnincance that the present high price
of -four has 90 checked consumption -
to cause supplies to accumulate and
force price cutting among the mills
The fruit crops are not in ~ good con-
dition = la4 year. and al crops COM
bined arc of6cdally sisted to be
points below last year. but 8 points
above tho year before With our in
dustrial and agricultural situations
[bush IN sucA promising ooadition, Il Il