New-York tribune., 1909-03-01
HONEY AND BUSINESS.

material decline has taken place in stock
values in the last fortnight and prices are now
moving toward a level which invites investment
purchases to return a satisfactory income yield
Heavy speculative liquidation and aggressive
professional attacks upon the market in the
week just closed carried the general level of
quotations TO the lowest point reported since
last November, and incidentally strengthened
the technical situation by the establishment Of
q large short account which was reflected in a
better range Of figures in the final operations
The readjustment Of prices 10 a lower level was
entirely in lire with conditions governing spec
ulation, and did not represent selling by in
vestors any depreciation in the actual worth
of American railway and industrial securities
despite the warnings of bear interests that de-
moraIization in the metal trades foreshadowed
acute disturbance in all lines of business. The
leading active railroad shares ended the week at
an average price Of 1868. against HIS in the
week before, and the chief industrial issues at
sI.OS, loss Of LOG. There was no noteworthy
falling off in the inquiry for first class railway
mortgage bonds.
Money continues in light demand, and not
withstanding the large return by the banks OF
government funds, loan rates remain at easy
figures with however, indications OF better
price for accommodation at no remote period
Clearing House reserves we'll under the
totals or q month ago, as q consequence or ma
tional Treasury requirements and exports of
gold to South America, and further govern
ment financing must be done early in the new
administration while all indications suggest an
increase in the mercantile inquiry that will aug
ment TO material degree the business OF local
lenders, frmer quotations seem in view. Com
merciaI paper offerings are somewhat heavier
than recently reported. and the best names find
ready sale at from S1z to ~ per cent. according
to the date OF maturity. Call money did not
go above "a per cent in the last week with the
highest for time loans on mixed Stock Exchange
collateral for twelve months 4 per cent and
2% to per cent for ninety days. Foreign
change has advanced under the influence OF
heavy selling OF American securities for Euro
pean account but conditions at London and
Paris supply no inducement for gold shipments
from here the Bank of France having plethora
Of the metal, while the Bank cf England is
satisfying its needs from the weekly receipts of
South African gold and imports from Egypt and
the Continent.
Hoped for buoyancy in general trade condi-
tions is lacking but fair volume Of business
is reported, reflection Of which is fou-,f in
larger railroad earnings and expanding bank
clearings, the latter showing gain for the last
week of more than 20 per cent over the same
time a year ago. Weakness i'll the metal
kets has not encouraged heavy buying opera
tions, though the course of prices which are
moving in response to natural laws, insures
eventually the resumption of active demand
from consumers who have been waiting for lower
quotations and for the elimination of the un-
certainty over the character of the changes In
the tariff readjustment. The open market prin-
ciple in finished steel products has resulted in
marked reductions except for rails but rumors
prevail that a price basis of S25 a ton will soon
be established. Pig iron is dull at lower figures
also copper, for which the only demand at the
moment comes from foreign consumers. The
supply of surplus copper is rapidly increasing,
and il is estimated that It will require months
OF active buying to overtake production. Cop
ner trade interests nevertheless are not dis
reported in the coal market, and large buyers
are not making contracts, believing lower prices
will develop. Curtailment in the coke industry
is under way.
Irreguiarity marks the drygoods market some
lines showing extreme activity. while in others
a hand -to-1Ilouth movement is reported. In cot
goods the inquiry is confined largely to fall
requirements. though for nearby delivery the
request is fair. The general position OF the
trade is sound and sellers looking forward
to a better demand In the near future as con-
sequence OF dwndng stocks in merchants
hands. The greater conservatism exhibited by
buyers is explained by the unsettlement in other
markets. which has had 81 pathetic effect