The Washington herald., 1909-06-07
STOCKS MOVE FAST
Security Market Passes Into
New Stage During Week.
MANY ISSUES ARE STRONG
Sensational Advance in the Price of
Southern Pacific and AtchisOn
Common, While a Degree OF
Strength Only Less Notable was
shown in other Leading shares.

New York. June 6.-Our security market
passed last week into a stage very differ-
ent from any which has been previously
Witnessed in the present year.
Up to this time since January 1 the
market has been relatively a quiet az
fair. governed, however. upon the whole
by an advancing tendency. The first week
Of the year marked the end OF that up
ward movement In prices which had its
origin in the result Of the Presidential
election. and the cause OF the succeeding
decline which reached its lowest point in
the last week OF February. was a realiza-
ton that business Improvement in the
country had been considerably overdis-
counted. and that in particular a read
justment OF prices in a downward direc-
ton for iron and steel products and other
manufacturing staples was necessary.
Then ensusd after a month OF hesita-
ton another period OF slow but sustained
advance in market valuations. accom-
panied with continual evidences Of I'm
provement in the country's business.
These evidences. so far as the iron and
steel trade is concerned, have become
very pronounced IN recent weeks. and
they have caused. as might have been
expected IN view Of the normal stock ex-
change effect Of the exceeding cheapness
Of money, a great advance in the quota
tions for the various iron and steel stocks
Market BrORdens.
In the last month. or during the four
weeks ended a week ago, the peculiar
feature OF the stock market was that al
though 1t held with much steadiness. the
advances in IL We're practically confined
10 a few special stocks. Of which the iron
and steel shares were the most promi-
nent But last week the market broad
enod IN an unmistakable way. The rise
was no longer confined 10 the iron and
steel stocks. but embraced the standard
railway issues. and. in fact. all the prln-
cipal stocks.
Sensational advances occurred IN the
price Of the Southern Pacific and Atchison
common stocks. while a degree OF
strength only less notable was shown IN
most OF the other leading railway and
industrial shares. II was a question much
discussed in the financial districts whether
all this was or was not attended with
any large increase In the aount OF pub
lic' buying CT stocks. and the weight OF
opinion seemed rather 10 incline 10 the
idea that, while q considerable degree Of
public interest had undoubtedly been ex-
cited. the greater quantity OF buying was
still for the account OF the large profess
siOnal spectators and capitalists or the
higher sort.
There were many observers who assert
ed that the market for railway shares had
for several weeks been held IN check by
a continual. although by no means
urgent. liquidation OF holdings proceeding
from some quarter Of the Union Pacific.
Southern Pacific. and other railway
stocks, and that. with this liquidation
removed. the market for these stocks was
open 10 what may be called a delayed
rise The supposed source OF this liQuida-
ton was frequently mentioned. whether
or not incorrectly. IN Wall street talk.
but one thing was obvious as the week
wore on. that the selling OF stocks re-
ferTed 10 had ceased.
This left the market free 10 assume g
phase which has long been maturing. IN
which a general buying OF stocks was
carried on in an open and unresuaIned
way. attended with violent advances in
many directions and with scenes OF no
little stock exchange excitement
Batch of Earnings.
The great batch Of increases in railway
gross and net earnings for the month Of
April that was reported last week would
seem TO be a sufficient testimony OF the
way in which business in the country is
picking up; and these were corroborated
by the statistics showing that bank clear
ings for the month Of May added an
other to the already large number OF new
high records in business affairs now be-
ing currently noted.
A stinening tendency in prices continues
70 manifest itself in all iron and steel
materials. while raw copper metal seems
20 be nearly in sight OF the I4-cent level
A decrease Of between 100000 and Ia
100000 pounds in the amount Of copper in
producers hands is expected in the re-
port OF stocks due 70 be made public
this week. It should, however, be borne
in mind as qualifying in a certain degree
these encouraging manifestations regard
ing both the copper and steel industries
that the month OF May not infreQuently
marks the elimination OF the spring buy
ing movement in such lines and that
thereafter for couple OF months sum
mer dUllness or relative dullness often
prevails.
Such announcements as those referring
to the arrangements between the Hill
and Hartman interests in the Northwest
regarding the common use OF railway
lines in certain territories are Of decidedly
beneficial character. and there appears TO
be no doubt that some sort Of a general
peace agreement has been made between
these two great railway factions. al
though Of course nothing ike Warfare
has existed between them for a long time