The Washington herald., 1911-05-21
WALL STREET NEWS.
Rich Investors Prepare to
Take Up Trust Stocks.
MARKET BRINGS OPTIMISM
ReactiOnary Tendency Disappears.
Spectators Make Proft-maktng
Sales-Commisston Houses Hold
Few Stocks-Recesslon Is Awaited.
Iron and Steel Improves.

New York, May 20.-Only a moderate
amount of interest was displayed in to-
days stock exchange session. Dealings
were in fair volume, but the only fea-
ture Of the transactions was a disap-
pearance of whatever reactionary tend
ency was noticeable yesterday. Some
slight weakness at the opening soon gave
place to a recovering movement, which
resulted in q rather uniform showing Of
fractional net gains at the close.
The announcement during the morning
that the State banking department had
closed a small savings and loan tnstitu-
tion attracted only passing notice. Other
financial news was of routine sort
OF course, from a mere speculative
point of view the most important ques-
ton of interest at the present time Is
that relating to the extent that the up
rush In the market that naturally started
after the news Of the great decision Of
the Supreme Court in the Standard OIL
case will actually carry itself.
II the buying Of stocks that has been
latterly witnessed has been merely specu-
lative-that is to say, either for the
account of market operators who have
bought only with the idea of making a
quick profit or for the account of other
spectators who were "short''-a consid-
erable reaction in prices ought TO be
witnessed at almost any time.
On the other hand, the highly favorable
piece of news referred to found Wall
street commission houses bare of stocks
to a degree rarely known in their history,
and also found a great number Of rich
investors waiting with money idle in the
banks 20 buy stocks as soon as the anti
trust question was settled; and although
an enormous amount Of profit-taking in
the market has already occurred. prices
are still little below the years highest
point
Buyers Are Waiting.
1t is a matter of common observation,
too. that Wall street is full Of people Just
now who are anxious to buy stocks upon
any reasonable recession. 1t sometimes
happens under such circumstances that
nothing more than a trifling recession oc-
ours. OF course, the fundamental cause
for a sustained advance In the stock mar
ket at this time must be a genuine i'm
provement In general business
1t appears to be the case that from the
first of the month up to last Monday, the
day when the Supreme Court decision
was announced. matters in the iron and
steei traoe picked up quite little ana
the prevalence all over the country of
warmer weather during the week must
have been helpful to every form of re-
tail trade.
Taking a broader view of the situation,
optimism as to the prospects of the state
Of business is certainly justified. 1t is
known that stocks of merchandise every
where are light; that the railroad COM
panieS that havv-s sSrn Practically boy-
cotr1Hg cerrar. lines of business bv re-
flIssng TO place onders. mus., wTrIiru a
short time. change this policy,
and. moreover, whatever extraneous mo-
tive might have existed in anxiety as 10
the upshot of the antitrust cases in the
Supreme Court has now disappeared
The outlook for the crops is as good as
ever, If not actually better than it was
a week ago. The troubles in Mexico
seem at an end and it is doubtful if fears
of tariff agitation in Congress are really
bothering anybody.