Omaha daily bee., 1909-05-24
SPECTATORS ARE CAREFUL
High Level of Prices Tends to Make
Them Cautious.
MARKET NOT NOW VULNERABLE
Accident or fright Might Easily
Bring a Tumble II the Market
Was Top Heavy or Essen
TALLY Weak,

NEW YORK, May 23.-Prices of stocks
| fluctuated quite widely last week, but
| their course often shifted, rising one day
and falling the next with a tendency to
return to a fixed level. In a few of the
most conspicuous securities there was q
striking advance and this served to pre-
serve a semblance Of general strength in
the market. That the high level to which
prices have attained induces some caution
In speculation is expressed by many finan-
cial authorities and oven In the tone OF
advices from commission houses to their
client those advising purchases not infre.
quently coupling the advice with the addi-
tion ION any considerable reaction" The
professional traders-h have been watchful
for reaction. ~ VI.
Given this somewhat suspicious attitude
| towards the market and its resistance Ia
unfavorable factors was doubly impressive
in reviving confidence, II was felt that
! If the market had been top-heavy or vul-
nerable, as was feared, It must have sue
cumbed to accident or fright The small
effect produced by the sudden death on
Wednesday morning of H. H. Rogers made
a special impression on speculative senti-
ment as proving the resistance Of the mar
ket.
Actual conditions bearing on values
moved towards their enhancement. Trade
and Industrial advices pointed quite gen.
orally and conclusively to the rising tide
of the betterment at work
Steel Trade the Key.
Steel trade conditions were accepted
freely as the key to the situation. Events
there pointed convincingly to the res;ora-
ton in progress. Special significance was
given to the decision OF the independent
steel manufacturers to restore wages. 1t
was inferred from this point that the re-
ductlon of wages by the United States
Steel corporation, which was supposed to
be in contemplation, would be avoided The
incident was accepted although as proof
that the steel production was yielding good
profits in spite of the drastic cut in prices
put IN force to bring about the present re-
vival OF demand. The growth OF that de-
mand for all grades OF the product was
reported to be unabated The weeks spec
uation converged largely on the United
States Steel shares in conformity with the
Importance attached to steel trade develop
ments. The rise in the price of United
States Steei shares to above so was re-
garded as an event. The fulfillment of pre-
dictions for this price, at one time re-
garded as reckless, brought some appre-
henslon that a cut in the campaign might
have been reached
In the New York money market an easy
tone has followed the hardening which
came in response to the first demand from
reviving trade. The easier tone is due,
in some part 10 supplies secured by bank
ers loans in foreign markets. These loans
accompanying, as they do, withdrawal Of
gold from New York present an anomaly
Foreigners have been steady sellers of
American securities, prompted by the high
level of prices. The enormous volume Of
this countrys imports of merchandise and
the falling off in exports OF breadstuffs