Omaha daily bee., 1909-03-02
NEW YORK. STOCKS BONDS
Values Rise Because Of Extensive
Covering of Short Contracts.
READING LEADS THE ADVANCE
Firm Tone Extends 10 General Rail-
road Lists--Metals Rally Under
Leadership of United
states steel.

NEW YORK. March l-Extensive cover
ing Of short contracts was the accepted
cause Tor much OF the strength In the
stock market today. This was notably the
case in Reading. in which there has come
TO be a continuing speculation based on
assumptions Of the forthcoming decision Of
the supreme court in the coal roads case.
As Monday is decision day with that court.
the bears bought heavily of Reading be-
fore the court convened. To reduce their
very extensive short lines in the stock.
The result was a five point rise in Reading,
bringing II TO within two points OF the
level from which last Tuesdays
lo-point downward plunge was made. the
buying of this stock was not Ccompanled
by any alleged Information that the su-
preme court would decide in favor OF the
railroads. The speculative covering Of
had convened and it became known that
no decision in the case would be handed
down today.
While the rise In Reading constituted
an important sympathetic influence on the
whole list, the finn tone was extended be-
yond the reaction in Reading There Was
no important selling Of stocks at any time
10 serve as an obstacle TO raising the
prices, making the buying tina much more
effective. An effective factor In sustaining
the market was the strength of the copper
group. This was due TO the ~insistent re-
ports in circulation Of some large sales Of
refined copper for export which had been
effected and assertions that specifications
now in hand promised early sales OF yet
larger amounts for forward delivery. These
sales, it was also alleged, were being closed
al prices above those Of recent sales. Cop
per quotations at the metal exchange and
In London were advanced. That the report
regarding the copper trade Development
were anonymous, and the parties to the
alleged transactions unnamed, threw some
suspicion about the stories, but they proved
efficacious in prompting large buying OF
the stocks concerned in that trade. The
effect was beneficial on all the metal
stocks, United States Steel Included. Moth
ing was learned of any definite develop
ments in the steel trade to change the
conditions of price cutting and still lag
gard demand from consumers in that trade.
The rise in United States Steel was en-
couraged by the news from Washington
that the senate would take no action on
the instigation OF the circumstances con-
nected with the merger OF the Tennessee
Coal and Iron company with the United
States Steel corporation.
| The announcement that the advances IN
tra-nsoontinental freight rates, which went
into effect on January l. were to be re-
scinded in part, seemed TO be viewed with
contentment, although the prospect OF
these advances was a long, effective factor
in lifting prices Of stocks. The early re-
turns of railroad net earnings for January,
OF which but a few have been received,
gave satisfactory comparisons. The Har-
riman Pacifics were sustained by the belief
that their January earnings would be re-
ported tomorrow. Foreign influence was
propitous to the market, the q~uieting po-
litical outlook joining with the easing
money markets TO bring this about. m
ouv own money market the cal loan III
vision was sensibly affected by last weeks
heavy cash Withdrawals, by the monthly
settlement requirements and presumably
by the subscriptions TO the Argentine loan,
The 50, 80, OOO allotment to the United States
was offered and over-Subscribed before
noon. 1t is now apparent that the placing
OF this loan here has affected the large
outgo of gold from New York to Buenof
Ayres. The strong tone of the market was
impaired before the end of the day by real
izing sales and by subsistence of demand.
Bonds were irregular. Total sales, pa
value. 1884. United States bonds were
unchanged on call.
Number OF sales and leading quotations
on stocks were.