The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1909-10-29
WALL STREET NEWS
Stock Market Continues On
It's Vigorous Rise.
SITUATION INDUCES OPTIMISM
Railroad Earnings Increase Heavily.
Fast Expansion of Industry Fore
HistOry-NO Notable Stringency Elk
pected-U. 5. Steel Advances.

New York. oct. 2S.-The stock market
again rose to-day, and with as much Wig
or as it did yesterday. because Of a wide
spread impression that a general change
for the better has occurred in the hnan-
eial situation.
II Is. or course, the financial situation
proper that has been the sole factor in
tho security market throughout the pres
ent month, or ever since the Bank OF
England began. week by week, TO make
advances in its discount rate.
The existing condition and future pros
poets of actual business In the country
was never more calculated to induce op-
tmism than 1t is at the present moment.
IL Is trustworthy stated that orders for
new business on the books OF the Steel
corporation, large as they were last
month, have IN three weeks of October
thus far been 50 per cent greater than
they were in the corresponding period
thirty days ago.
Railroad Earnings Increase.
The earnings OF the railroad companies
continue TO increase heavily. The re-
punishment Of depleted stocks Of all
kinds Of merchandise is going on through
out the land without a break, and the
farmers and planters, made rich as a re-
suit OF the seasons harvest, are proving
customers Of mercantile and manufactur-
ing establishments in a degree seldom
witnessed.
So fast is the expansion OF industry
now ioming up there is every indication
that the coming year will be far and
away the greatest business year n the
countrys history.
In Wall street therefore. the sole
problem presenting Itself IS the question
or financing this business. and. so far
as the present is concerned. OF fnauciD,
Il IN the ensuing two months. when. as
Is realized, demands FOR the use OF
money are for especial reasons rather
more acute than at other periods OF the
year.
IL is clear enough under such clrcum-
stances, indications that the reason re-
lerred 10 Will pass without any notable
sulngency Will be greeted by an advanc-
ing security market and the strong cur
/ rent or the present market through the
week has been unquestiouably caused
by a renewal OF confidence that tine
money situation in the remainder OF the
year Will not become as troublesome
The Bank OF England to-day did not
raise its discount rate although It re-
ported a lowered condition OF reserve.
| The drop here IS no more than is usual al
this time and the bank S condition in and
/ Of itself makes a fair comparison with
I those similar dates IN previous years
Ratio OF Reserves High.
The ratio Of the banks reserves IS. IN
fact, above the average OF this time Tor
nine years back. Call money rates here
were renewed during the morning at {
per cent, and IN the afternoon money
lent freely at 81 per cent
Time money, too, was again easier Rnd
the banks In their transactions with the
subtreasury so far this week report no
great loss. Whether or not to-day
market, as many observers declared, was
Of wholly professional sort. its strength
was no less undeniabla.
Buying was especially heavy OF the
United States Steel common stock. and
pushed up the price Of the issue more
than a point, The railway equipment
stocks were particular features. and
reason for this was manifest enough in
the enormous orders now being placed
by tho railroad companies for new cars
and similar supplies. Notable strength
was displayed by the Amalgamated Cop
per and American Smelling and Refining
shares.