The Hattiesburg news. (Hattiesburg, Miss.) 1908-1917, 1909-06-14
The PUBLIC IS
NOT BUYING NOW
The End of Cheap Money is in Sight
and the Demand For Cash To Move
Crops May Be Embarrassing

NEW YORK, June 1.-THE stock
market continues under strong con-
troll Prices at times receded under
realizations, but the general under
tone remains firm. This is owing to
the rising tide of confidence. II II
be asked upon what this new conf
dence is based it must be answered
that it is due TO the general improve
ment in business, together with les
sened opposition towards corporations
which, with one or two notable eX' I
ceptons, are conducting themselves
with more regard for public welfare
and legal requirements than formerly
The iron trade continues to lead in
this respect. Heavy orders for all
kinds of steel products We're placed
in May, and the month of June prom
ises to be also very active month";
so far as regards the receipt of new
orders. The spectacular rise in steel
stocks is much more due to this rea-
son than to efforts for their listing
in Paris. The latter merely indicates
desire to provide world wide mar
ket for these securities, which are al
ready scattered all over Europe
Fully 80 per cent. of the United States
Steel Company's productive capacity
is now supposed to be employed; and
as the companys expenditures out OF
earnings for the Gary plant and other
| improvements have about reacheu
their elimination, the impression
gains that larger promotion OF
profits will hereafter be applicable to
dividends, hence the strength of the
common stock. The activity in South
ern Pacific was also a feature, prov
ing that the big men are still active
in the market and engaged in its sup
port. In fact all indications suggest
that our leading bankers are interest
ed in preventing any important re-
action from present high prices. The
big leaders are still well loaded with
stocks which they desire to distribute
and are consequently induced to carry
the market to as high a level as pos
sible. Thus far the public has shown
little disposition to aid these gentle
men in their philanthropical program,
| but remains in a skeptieal frame Of
mind and seems indisposed to invest
at the present high level. On the
other hand, few holders are inclined
to part with good stocks while general
conditions remain so favorable. Money
continues excessively cheap, and this,
of course, is a powerful element to-
wards the support of values; for even
at present prices many stocks afford
satisfactory returns when compared
with prevailing interest rates. 1t
must be borne in mind, too, that many
of our industlials owing to business
recovery are beginning to earn larger
profits, while the railroads also are
getting their full share of recovery
and securing considerably better net
results than year ago.
While the crop outlook is not all
that might be desired, it shows i'm
provement and presents nothing to
! occasion alarm 1t is quite possible,
| if not probable, that We shall have
as large a cotton crop this year ds
! last year, in spite of the agitation for
decreased acreage. AS there is good
profit in raising cotton at present
prices, and cotton is the most import
ant crop in the adjustment of our
foreign trade balance, the outlook in
this respect is entirely satisfactory.
Whatever shortage there may be IN
wheat will be more than compensat |
ed for by the large increase in corn |
acreage. If average conditions pre-
vail we should produce a record-break-
ing corn crop. As this crop exceeds
in value any other two crops COM
bined. and farmers are securing very
profitable prices for this cereal, 1t
Is reasonable TO hope for another prof
table harvest Wheat is, Of course
very profitable crop at present fig
res; though it is not without signifi-
ance that the present high price OF
our has so checked consumption as
, cause supplies to accumulate and
,rce price cutting among the mills.
he fruit crops are not in as good
,ndition as last year, and all crops
,mbined are officially stated to be