New-York tribune., 1909-04-29
FINANCIAL AFFAIRS
BULL DAY IN STOCKS,
Union Pacific and Reading Features
Money Market Easy.

Stock market values were strong throughout
the day on a moderately active volume or busi-
ness. the upward movement being helped oF
active operations for the account Of important
sDeculative interests and by covering of shorts
especially in Union Pacific, Reading, Rock
Island ST Paul, Wabash and United States
Steel. There some public buying put the
proportion of outside business was light, though
in the afternoon session commission houses re-
ceived anxious inquiries from customers regard
ing the advisability of buying at prevailing
prices. Houses that give advice were ouIllsh
in their replies The Street was faVorably I'M
pressed with the movements in St Paul ana the
Hartman issues on the theory that the market
WAS considered ripe for another upward move
bv the powerful financial interests in the Street
while the decided strength in the Gould group
also encouraged confidence in the theory OF
coming better quotations Renewed activity in
Wabash brought forth further rumOrs Of a deal
affecting the control Of the property; also
rumor that the company soon would retire its
short time notes out Of current assets. owing 10
improved financial conditions The Southwest
ern shares were conspicuously strong and un-
der the influence Of manipulation Wisconsin
Central jumped UP fast enough to discourage
trading by conservative operators in II. Con-
servative bulls opposed to dealings of this
character they attract attacks from aggres-
sive bears. but it is not likely the ideas of the
first named will receive any attention from the
element in the Street that believes in skypDck-
ETY. movements. Reading, which is 4 per cent
stock sold as high as 1868, and closed at a net
gain Of Pa points, manipulatOrs of the issue
finding excuse for the advance in the talk
Of immense hidden assets Many investors in
Reading would like to know why these so-Caled
hidden assets not used in part 10 place the
stock on ; per cent level In the course Of
the day United States Steel preferred crossed
l15 selling at its best price record, the char
acter of the buying bearing out the opinion of
market observers. who maintain that the stock
is of the best industrial investments in the
market.
The advance in the price of certain finished
steel products by q subsidiary Of the United
States Steel Corporation is encouraging de-
velopment OF the general industrial situation.
and ought to strengthen materially the conf
dence OF the business community in the belief
that II is a matter OF a relatively short time
only when the countrys mercantile activities
will be moving along normal lines. No artificial
methods being used TO stimulate business.
and while the bull movement in securities has
carried quotations in the greater number of
cases 10 a level that more than discounts the
improvement already recorded and that which
VIII be recorded in the immediate future il
should not be assumed, as 1t apparently is in
some quarters, that the upward movement i'll
stocks is not backed by legitimate business con-
sderations- There is danger, Of course, Of in
nation in the stock market. and il is qNite
probabl that further manipulation will be en-
ployed to attract public demand for securities
to be carried on borrowed money. but the wise
man need not concern himself with speculative
operations, for he may rest assured that any
collapse in prices in the near future will come
from over bull speculation rather than from Il
decline IN the actual worth of his investments
There always are possibilities Of the develop
ment OF factors OF sufficient Importance TO bring
about heavy selling movements, but in recent
years there have been few happenings that have
reduced the real value OF high grade American
stocks and bonds permanent income holdings
The record made by American railroads and in
dustrial corporations through the last year OF
acute business depression is d noteworthy one
and II is attracting greater interest in our Sc
curities on the part of European capital which
in the remainder OF the year doubtless will be-
come more heavily invested here unless foreign
policies should develop complications of a most
disturbing nature. OF this there appears little
probability. Since the first Of the year more
than s500.000. 600 of securities have been
issued, and they have found Il ready market
The proportion OF foreign takings has been
notably large. while the home demand on all
offerings has been exceedingly active, with the
promise OF continuing just as long as money
market conditions remain in their present ia
vorable position.
Notwithstanding the fact that rates for loan
accommodation exhibited firmer tendency last
week. with quotations trihe higher both for
cali and time funds. the market yesterday pre-
scented little indication OF Improvement in the
near future, the price for time money rehectins
tho impossbiity OF the banks in maintaining
the stand they assumed last week and at the
opening of the current week. Actual business
a rule is being done at bid prices while re-
Gently the banks held out for the asked quota