New-York tribune., 1909-01-04
FINANCIAL MARKETS
4CTTTE WEEK N STOCKS.
Highest Prices Of Year Made Last
Ueek-Money Ends Year Easy.
THE WEEK IN WALL STREET.

THE WEEK IN WALL STREET.
The last week Of the year saw prices for Sc
curities at the highest level Of the calendar
period with indications of further Improvement
in 1903 The general position of the market
reflects that stocks in strong hands and that
there are many holders who maintaining
active bull accounts in the expectation Of being
able t. reap handsome profits on a January rise
rs q rule stocks are strong in the first month ot
the wear I'm this month large amount 81
money returns to this centre from the INTERIOR
insuring easy rates for funds. while there always
is a heavy investment demand for stocks ana
bonds as d consequence of the enormous pay
r7ents in interest and dividends Money market
conditions are extremely favorable at the open
ing Of the current year. and even If there were
not to be q large return movement Of currency
from ut-of-town points the prospect for easy
quotations still would he bright irrespective OF
federal Treasury requirements. which soon will
become urgent and call for new financing by the
government. There is a large supply OF avail
able money at this centre which will be In
creased TO a material extent in the course OF the
next few weeks. and result of this situation
in monetary circles most stock market observers
feel safe in predicting active upward specula-
ton accompanied by a good investment demand
for mortgage issues and for stocks in which me
return makes fair income for the buyer II Is
encouraging to note the difference IN sentiment
in financial circles at present, as compared with
that of a year ago. when there was so nuCh
gloom and dependency IN the Street that 10
MANY minds the possibility of recovery from
the effects of the panic appeared almost out OF
the question Since that time, however the
country has shown its wonderful recuperatiVe
forces at work Most favorable results have been
accomplished. and sentiment that year as"
was depressed is effervesCent with hope
and courage over the future.
business is not yet on normal basis. but It
rapidly is moving in that direction In the last
week Of the last year bank cleariugs and rail
road earnings showed comfortable gains over
rhe returns of the time in 1907. stocks were
strong and in demand from the highest class Of
traders g seasonabl quiet prevailed in merCan-
tile circles outside Of those directly affected by
the holiday trade with a general belief on the
nart of merchants and manufacturers IN the de
,elopment of greater activity in the current
month especially in iron and steel while eX-
treu7e confidence was expressed In money ana
business quarters in marked gain in all de
partrnents of the nations industrial activities in
the coming twelve months. Confidence in bust
ness among business men means the return OF
prosperity The stock market showed last week
a strong power of absorption. especially in the
Hartman shares the Hill issues, st Paul New
York Central. Reading, Brooklyn Rapid Transit
and some of the Gould securities in the railroad
list and in American Sugar Refining ana the
United States Steel stocks among the indus
trials Pennsylvania touched new high record
for the year. the character of the operations sug-
cesting the possibility of the development of an
ald-fashtoned bull speculation in this issue
based on tIle expectation Of improving earnings
on ordinary account and on the Increased roy
enue that will come from the extraordinary eX-
r,anditures 1Ipon the property in connection with
the building of the tunnels under the North and
East rivers and the terminal in this cIty. when
gradually is nearing completion Both the Penn
svlvania and the New York Central issues are
gaining in intrinsic worth. New York Central
viii be materially helped II Nj Hartman goes
into the company's beard Of directors The
9or7panv needs the influence Of the Hartman
personality. Union Pacific and southern Pacific
will sell higher, according TO current indications.
because Of their intrinsic merit and because the
raonIe behind the issues waIit better prices and
have the financial resources to support a further
hull speculation in the stocks. These companies
are on strong financial basis and il Is not AT all
improbable that Southern Pacific common will
Re placed on a more advanced dividend plane in
the current year.
Last weeks preparations for the financing of
the January disbursements were not accom-
panied hv disturbance IN the money market
Call funds did not go above 311 per cent, as
against . per cent in the corresponding time in
tho preceding year while in the time depart
merit a level Of y to per cent quoted.
against 70 i per cent in the last week of 1907.
There is \ feeling of profound confidence IN III"
hanks and among their depositors over the sit
uation Of the money market and the prospects
for the present wear, The fact that the govern
rnenr soon Will he compelled 10 withdraw federal
deposits or else put out another Issue of Panama
bonds and the possibility Of additional exports
Of gold do not exercise ? depressing influence
in money circles. as il is known that the posi-
tion OF the financial institutions is strong
that general demands and extraordinary de
nands can be met without the development oT
trouble It is realized however. that the time
viii come when. unless in the mean while there
has been q real reform Of our currency. there
viii he 4 recurrence Of adverse conditions in the
money market. The money paid into the Treas
ury either on Panama Canal account or from the
Withdrawal Of government deposits from ma
tional banks will not exert more than a passing
effect upon money rates s such funds will soon
reappaar in the channels OF trade result Of
the nation = heavy expense account. In view Of
the increasing national deficit and the prospects
Of 4 revision of the tariff a. lower basis. the
suggestion made in the recent circular Of the
National city Bank that the government should
make q large proportion Of its expenditures
through an increase in the public debt is Of un
usual interest Compared with Other leading
nations. the public debt Of the United States is
small and If II should deCid" TO increase it's
bonded indebtedness with its securities
attractive investment plane II would undoubted-
Il receive popular support In France the pub
lie is q heavy holder Of the nations debt. which
Is enormous. the return Ia the investor *
moderately attractive. Will" the character of
the security is OF the best.
Bank cleariugs last week showed . gain of IS
reT cent for all cities < compared with the
same time in 1907. while railroads reporting for
the three weeks OF December presented an in
crease OF per cent in gross compared with the
corresponding period in the preceding year and
railroad traffic was heavy. Commercial failures
301. against 3S3 in 1907.
BANK EXCHANGES: SALES RECORDED