New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-06-13
FINANCIAL MARKET
Money Rates Easier and Securi-
ties Prices Higher.

question, was due to covering of short
contracts, actual cash buying of securi-
ties being relatively light despite the at
tractive investment yield shown by the
chief issues at the low points made in
Mondays operations. A certain amount
Of stock has gone into investors hands
as consequence of recent declines, but
the proportion of such transactions TO
the total dealings recorded has been
small. while there has been nothing IN
the character of the trading to suggest
the beginning of a sustained speculative
movement for higher prices. Neverthe-
less. stocks al a rule are in strong hands,
though it is conceded by the leading IN
terests in the Street that the prospects
of a big bull market at present are UNI
promising At the moment the supply
of liquid capital in the country does not
appear to be large enough to warrant
the expecta ton of a heavy demand for
securities. and the fact that the general
market has failed to maintain the actiV-
jty reported in the first half of the last
week. together with the bearish sent-
ment noted in professional quarters, ap-
parently foreshadows another lean period
for commission houses.
General conditions affecting the actual
worth of stocks and bonds are sound, but
financial interests find enough uncertain
" over the future Of railroad rates and
the outcome of the present mixed polit-
ical situation TO encourage the greatest
caution on their part in the matter OF
new undertakings. Doubtless this con-
sentative attitude will strengthen the
chances Of expansion in the securities
markets later in the season, especially II
the years harvests give the yield indi-
Gated by prevailing conditions on the
farms. The June report of the Depart
ment of Agriculture makes a most en-
uraging forecast for the farmers.
showing an indicated yield of all kinds
of grain, except corn, of about 2,11S,963,-
600 bushels, of which winter and spring
wheat should supply more than 1885,
000, 900 bushels, a gain Of about 8000O,00o
bushels over the average for q ten-year
period. Grain prices are now on a COM
mercial basis, and unless misfortune
overtakes the crops before harvest time
quota tons should continue TO rule at
level attractive to foreign consumers.
And the same thing may be said Of cot
ton. The need of large crops which can
be sold at figures that will bring the
European buyer into this market is &C
centuated by the report of the country's
domestic exports for the last eleven
months, showing a falling off to the
value of S4S,9o0.305 from the same time
in the preceding year, and decline of
S152. oS7.145 from. the corresponding Pc
riod in 1908 OF the latter loss s7S,273,1S2
was supplied by breadstuffs.
Railroad men have ceased their i'm
prudent talk about commercial disaster,
recently inspired by the action Of the
administration in opposing an advance
in freight rates pending the enactment
of the railroad bill, and, with the excep-
ton of Mr.. Ripley, of the Atchison, they
apparently have become. convinced that
the politicians are not engaged in a war
fare to upset the transportation bust
ness which is the countrys greatest in
dustry II there is anything in the rail-
road bill that may tend to injure the
railway companies the Supreme Court
will remedy the defect in the measure.
And If the railroads are entitled to
charge higher rates for the transporta-
ton Of merchandise the Interstate Com
merce Commission, which is composed
of reasonable and intelligent men who
hold office to protect the interests Of
both the carriers and the shippers, will.
with the new authority vested in it by
the railroad bill, grant a reasonable
change in freight schedules Threats to
cancel orders for new equipment and
supplies by the railroads and to stop i'm
proyement work along their lines have
not upset the industrial situation in this
country, and from the current returns of
railroad gross earnings there appears to
be little prospect of an important reduc-
ton in the volume of traffic in the near
future, though the liberal policy Of the
companies in expenditures, including in
creased wages, is reflected in smaller net
country moves into a long period of ex-
IRENE depression in its industries there
will be. however. no general reduction in
dividends.
Money is working easier here and in
London, and in banking circles it is be-
lieved that the local and British money
market will be inactive for the next two
months at least. London bankers are
not looking forward to any important
borrowing in Lombard Street by Wall
Street in the shape of finance bills.
which last year was so heavy and which
led to the drastic action by the Bank of
England in advancing its minimum rate
of discount TO = per cent in the autumn.
The decision of the governors Of the
British institution last week to cut the
rate to j per cent, after reduction in
the preceding week from ! to 81 per
cent. doubtless was based in part on the
stock market situation here, as we'll a
upon the banks own improved position
In the foreign exchange market a some
what higher level Of rates is looked for
before the end of the current month in
response to the demand for remittance
against interest and dividend disburse-
ments on American securities held
abroad. but there is nothing in the out
look governing the market that sug-
gests further gold exports from New