New-York tribune., 1910-10-02
ALLAWAY'S REVIEW


buIlish and they who are bearish VIII
have contests now whose results should
indicate what is 10 be the early future %
the security market Some desultory
preliminary skirInishes have taken place
during the last week. without any ma
terial or signifying consequences: But
what's at hand is Of larger importance
1t may be assumed as certain that In
terests very strong have now come into
the market with the intention Of helping
quotations upward Reasons for their
plans and their proposed activity are not
openly discIosed-but they are not herd
10 find. II may be taken as sure that
stocks dislodged during recent months
have found resting places that can DO
permanent, IL permanence be necessary
but nothing is so attractive to those most
interested as that these resting places
shall be temporary. Financiers powerful
and alert are the Owners-the holders. at
Ieast-Of that mass Of securities orei-
narily classified in wall Street as foat-
ing supply They bought whenever &c
Gently there was a raid; they absorbed
what nervous people threw overheard;
they have been for months and months
accumulators. Their purchase price sv-
erage Is low. They are intent upon
profits. And while not IN combination,
perhaps. they do stand in firm co-ope-a
ton; and there Is no manner or doubt
that their view is virtually universal
that IN any broadening market they will
advantage largely AS there was noch1lS
phiIanthropic IN their buying at panic
times. so there IS no moral issue enforced
49, a
Those Wall Street interests which to-
day own stocks in largest volume are
cool, calculating business persons noth-
ing sentimental in their makeup what
soever. They bought when quotations
We're weak because they could afford =
and could wait for undoUbtable recov-
cries. Their adventure proves now prof
table. They have stocks in volums for
sale Naturally, they are industrious
advertisers OF the wares they want 70
market.
And in no small degree this summary
explains the origin and the earnestness
of much bull gospel now ardently pro
/ claimed. This campaigning has covered
several weeks To some extent il has
/ induced an outside buying disposition
But what seems sure from the inforna-
J ton point Of this review IS that-just d
| above declared-the test period Is now al
hand
| If at the beginning Of the coming week
We have activity and buoyancy. actual
public market participation, investors
and traders alike ought to be encouraged
to get into the market as large and con-
! tident buyers Proofs that on Monday
/ and Tuesday the tape can provide should
/ be better Information than all the tips
and points and professional counsel that
can be pressed upon public attention
! II is not easy TO reach intelligent con-
! clusiOn as to railway earnings. condi-
| tons and ignificanee-though in other
! business departments II becomes clear
/ that the situation Is better than a little
while back was apprehended- Crops are
[ better than expected-much better.
[ Commercial difficulties threatening in
August and through September seem 10
have been composed IndUstrially, the
record is getting upon the right side,
though 1t is idle 20 ignore the fact thai
[ labor is not as well employed as u was
/ last spring, that the big industrials have
materially diminished output, thai
manufacturing profits are likely 70 total
/ less for 1910 than since 1907. In some
/ particular Industrial quarters there are
/ indicated pinches Of disturbing sort.
| Yet in quarters where most adversely
! has been proclaimed there appears bet
I terment-as. for example, in the Malt
| CORPORATION in the copper trade and in
/ tremendously sold for the short account
/ by Wall Streets professional specu-
latorS- They have been counting conf
IDENTIFY upon some official announcement
I that would be diSCOncerring to Investors.
| Business reduced, prices uncertain and
| yielding, and even intimatiOns that the
| gigantic plant at Gary cannot be made
I productive. that important parts Of =
may even have 70 be abandOned-Suc1
arguments are promoted assiduousIy-
| and all anointed with the suggestion
that Steel Common dividends viii have
| lutely conclusive IT can be said that this
! representation is presentation.
! When the Steel dividend changes II will
be change to bigger yield
| There is new AnaIgamated Copper
pool. It has been organized to try 70
/ rescue the old pool. which for year
at least has been guilty of all manner
| of effrontery and foolishness. AmaIga-
mated as the premier blind pool Of the
Stock Exchange can thrive only upon
mystery. But il is fortunate that the
American copper market is not eT-
clusiveIy represented by this one trusr.
There are lower priced copper stocks
worth more than Amalgamated sells
for, and in that list one which should
give especially good account Of Itself
from a trade combination which may
during the present month be disclosed
Some indications show Of possible com
ing popularity for Western oil securities
-acCentuated by the action just taken
by John w Gates in listing his Texas
Company upon the New York Stock Ex-
change. II is a marvellous record which
Mr.. Gates's organization represents in
earnings and i'm dividends. Texas Oil
yields 9 per cent az the quotation Il
starts with upon the Stock Exchange.
and it is merely the most commonplace
Of anticipations to expect that the stock
viii have buoyancy, for L. per, cent ar
nuaI dividends and John Gates hooked
up together do certainly suggest pleas
ing probabilities.
With the exception Of Reading the
standard railroad stocks do not brisk up
much in the markets betterment- RStf-
road statisticians are at disadvantage
II is difficult 70 insist upon the legitf-
macy of current statements. showing
large increases in gross earnings turTted
into serious net decreases, and still &C
wise stockholders that current dIVidenGS
can be maintaiued-fOr in too many IN
stances the diminished net earnings show
deficits aeqiDSt such 1ividaud figures.