New-York tribune., 1909-02-03
FINANCIAL AFFAIRS
STOCK M4RKET HIGHER.
Short Covering Morement-Hed0y
Bond SaIes-Time Money Frmer.

on a volume Of transactions slightly under the
very moderate total OF Monday the stock mar
ket yesterday ruled strong during the session
and closed at general net price advances. al
though final figures were a trife lower than the
hest of the day. AS on Monday, there was little
or no commission house buying, and the upward
trend Of prices was due chiefly to covering by
shorts, and this demand supplemented by
more or less buying by traders. the market rose
easily in the absence of any selling pressure.
Foreign houses bought perhaps 10000 shares on
balance, largely representing covering Of short
contracts. There was news directly affecting
securities values and the market presented the
appearance of slowly righting itself from a
rather oversold condition, falling into dulness
in the afternoon. but holding its advance we'll
Brooklyn Rapid Transit the most prominent
issue in the early trading. advancing sharply on
a rumor that the directors would before the
close of the day declare the long expected initial
dividend Later the report was modified to
postpone the dividend meeting for few days,
but the stock closed only Il point under its
highest with a net gain OF more than a point.
hand is widely prevalent. The Erie stocks also
were features in the morning market, rising
a rumor that the Public Service Commission
would to-day give out a decision authorizing
the bond issue. The United States Steel stocks
displayed their customary strength the preferred
touching again its high level Of lis, reached on
January %. The principal net gains of the day
were in the speCialties, among them American
can preferred, American Malt preferred Corn
Products preferred, National Lead peferred,
Pressed Steel Car preferred and New York AIR
Brake. In the bond department the total sales
were almost twice as large on Monday, with
transactions in unusually extensive range OF
issues, at generally advancing prices. The Lon
don market frmer, and Improvement oc-
CURED also most of the Continental bourses.
Rates for time money hardened little yes
terday, but funds were in good supply. The call
money rate just before the close touched 21a per
cent for the first time since the latter part Of
December. That money rates are not likely to
be very high within the next few. months. how
ever. is indicated by the placing yesterday Of
another S10.OO0.000 issue of New York City rev.
bonds. maturing in November at 81 per
cent. AS with the two previous issues of like
amount sold within the last few weeks, most OF
these short term obligations will probably go to
foreign investors. The rata obtained by the
city compares with the SO. rate OF the issue sold
on January and 31z per cent for the issue dis
posed Of short time later TO the same bankers,
who have taken the bonds just issued.
Bank cearings in January, as reported by r
G. Dun & Co, reflect IN their much larger to-
tails compared with the figures for the same
month in 1908 the material improvement which
has taken place within the last year in the gen
eral situation the most noteworthy gains being
shown to have occurred in the West and in
many Of the smaller cities Of the East and
South. General business is still we'll under the
normal, but revival from a condition such as
that which existed in the country a year and
more ago is necessarily slow.