New-York tribune., 1909-02-15
FINANCIAL MARKETS
DULL DAYS IN STOCKS.
Prices Too High to attract ActiOe
Buying-Money Rates Firmer-
Foreign Conditions Improve.

regular changes without 8 decided tenoe!lcy III
either direction. Fluctuations in values gener-
aIlv represented the shifting of the professional
element from one side OF speculation 10 the otner
In efforts TO catch the extremely small pronts
that narrow and unimportant market Afforded
Commission houses were not identihec WITH Ihe
course Of business. far as operating for pubic
account was concerned, while the more I'M
portant Wall Street interests were not FACTORS
IN the dealings. the latter apparently being sat
isfied to keep the stocks they had but unWlillhg
10 add TO their holdings. Prices continue 10
rule at a level that is not attractive to outsld-
ers The so-called public is not buying because
II realizes that there is incentive in general
conditions affecting values, to load up WlIh loiis
stock at prevailing quotations Moreover II
appreciates the fact that there are number OF
uncertainties in the situation which may make
for lower figures in the course of the sprlos
months, and as a consequence 1t Is disposed 10
let the ordinary Wall Street trading eielneh'
have the market TO itself. pending the oeFelop
nent Of some factor that will make for a raulcal
change IN the movement of prices. STOCKS are
high but the public contrary to precedent Is
not at all interested. The public has learheu
many things in the last two years about specu-
latipn and in its present frame OF nina II uOTs
not intend TO buy when stocks are dear ana sell
u,ban they ara cheap much TO the disappoint-
ment of interests who accumulated large Ihes
last fall in the confident expectation OF an dc-
tive public buying movement IN January. 1heie
was no outside inquiry for shares in January
month And the chances are there VIII De no
transactions in volume for outside account untl
prices are readjusted to a lower level. Iheeouh
element maintains that the next active move
noent will start toward higher values from the
current range but unless holders Of idle money
can be convinced that conditions warrant the
development of bull activity at the present ao-
vanced quotations 1t is not likely that eApecta.
tions Of the advocates OF a rapidly rising market
viii be fulfilled.
prices fully measure the improvement that has
taken place in the industrial and financial sit
uation since the passing of the panic OF 4so''
Stocks have moved I'm advance OF business 10
an extent that has left room for further
legitimate improvement. a reflection OF Whlch
has been presented in the course OF speculation
so far in the current year. The general ousl-
ness of the country rests upon soma Ioui'ua
tiop Fundamental conditions are SOUND. Dut
the greater number Of industries are ii4INlits I1s
time waiting for the settlement of the tarir
question Consumers are buying for immediate
needs only, and consequence IN most lines
production is running ahead OF actual demahus'
though not to such a degree as estimated py
Deonle who can see no bright spots III the out
look Recent estimates in some quarters placed |
the stock of marketable copper in the country
as high as 4O0,OO00O0 pounds. while the official
by the Copper Producers Association
issued last Wednesday, made the total OF 'aI
kinds of copper on hand Of February l. +!
IA 44130O45 pounds There is a tendency al
present TO exaggerate the current seml-depres-
sion in business, just as there was tendency
last fall 10 overestinate the Increase IN actuaI !
trade throughout the nation, and the sooner a /
of ideas TO the basis OF fact IS |
brought about the better il will be for Nali |
Street and the country at large. Moderate gains !
are reported in railroad earnings over the poor /
exhibits made at this time year ago, put SUD
stantial decreases from the figures OF 1917 ana |
eO6 while the same thing may be said OF the |
volume of payments through clearing houses. |
Commercial agencies that receive reports from |
ali sections of the country find general conf !
dence in the future of business, but growing !
5ispositfon toward curtafment at the moment, !
reflection Of which is presented in the light de-
nand by merchants for money beyond that re-
luired for immediate needs The banks are
to buy high grade commercial paper. OF
which there is a great scarcity, and notWith-
standing the opinion of bankers that money VIII
De dearer in the course of the next few Snonths
borrowers are unwilling 70 take advantage OF
prevailing low rates TO make commitments Tor
future business engagements.
Money rates are firmer than they were TWO
weeks ago but lenders not placing large
amounts in business circles or on Stock Ex-
change loans. Financial operations in connection
with the issuance of new securities are helping
the banks TO some extent, while the active move
nent in the bond market also is factor in the
current money market. but the chief cause for
the harder tendency in quotations is found in
the return of government funds by q posltory
Institutions The national Treasur~ since the
the banks. OF this amount s25,000.000 was paid
over On or before February 1. while the rest,
representing the second call, is due on February
"a. Already payments are being m.-je on the
latter amount and with the completion of the
operation the Treasury will have for short
time comfortable working balance. the heavy
excess Of government expenditures over receipts
Drecluding the possibility Of the maintenance
Of this balance fer any length Of time unless
further Treasury financing should be exercised.
From IN
compelled to raise additional sums of money,
and as its holdings in national banks will not
warrant large Withdrawals from that source in
the future, 1t is evident that other will
have to be adopted to Offset the rapidly accumu-
atIng government deficit. And from now on
the position of the Treasury. therefore. will hold
= more important place in money market
siderations. 1t is encouraging to note slight !
increase in customs receipts. but there Will have /
to be an enormous gain in this respect TO make
good the failing off in internal revenue and the
arge ordinary and extraordinary expenditures.
the latter including the heavy payments on
Panama Canal account and the internal i'm
orovement work underway. The Secretary of !
the Treasury may make another issue of Pan
anna bonds put out one year 3 per cent GER
tificates not 10 exceed 100000, ,O00 as provided
for in the financial act of March. 1900, while II !
Is possible Congress may legislate in favor Of |
temporary taxation lines similar TO those
adopted in the time of the Spanish American
War
Financial conditions abroad have improved,
and more cheerful sentiment is noted in Lon
don circles, an indication of which is presented
in the course Of British consos, which sold last
week as high as S51t. for the first time since
November. 1908. For several months these is
sues. which are called the international barom-
eter, have reflected the uncertain political
ditions in Europe arising out OF the action Of
Austria in its annexation of Bosnia and Herze-
yovina, and their recovery, therefore is one of
promise and may be considered the best develop
nent since the finanaing of the Russian loan !