New-York tribune., 1911-03-20
FINANCIAL MARKET
Big Interests Opposed to Down.
ward Movement in Stocks.


unusually firm in recent days, notNith-
standing the fact that the ordinary
spcculator Is bearishly inclined. Big in
tcrcsts are behind the market and they
apparently do not intend to permit any
thing in the nature Of downward
movement in the immediate future, for
tho good reason that they see ahead
financial and business prosperity as
consequence Of the large supply or
money in the country that must seek in
vestment and Of our growing strength
in the international money market the
latter being due TO increasing exports OF
merchandise from the United States and
purchases for foreign account OF hlsh
grade American securities. Tho fact
that stocks did not tumble upon the an
ncuncement that the Supreme Court nad
urheld the stitutionality Of the cor
rorstion tax law should encourage the
expectation that decisions against the
American Tobacco Company and tho
STANDARD oil Company likewise VIII not
bo followed by disturbance In wall
Street. while II also should serve 70 dis
courage any uneasiness that may eKlst
over the future Of money and business
There arc row six cas- pending in the
Supreme Court that Wall Street rs await
ing with interest, but not with fear on
the part Of The substantial banking in
terests. The American Tobacco and
Standard OIL decisions come first in i'm
portance. with the Union Pacific merger
and the Minnesota rate case following
while the oklahoma and Missouri rate
cases also are anxiously locked for Al
though decisions in these suits favorable
10 the government are not expected 70
ne ACCOMPANIED by more tan temporary
declines in stock market prices, II is not
likely that there will be any material
expa nsion in speculation until after all
uncertainty over the outcome Of the lti-
CATION has been removed The securities
~ the Standard oil Company and the
American Tobacco Company reflect lit
tie interest among holders over the pos
sihility that the corporations may he de-
clared outlaws. The American Tobacco
Company in its recent report presented
earnings available for the common stock
Of a little more than c. per cent. and
Owners OF the Companys securities know
quite well that the supreme Court can
IN no vav upset the earning power of
tho concern. And Standard OILS large
PAYMENTS 10 stockholders will not cease
even If the company IS forced to roor-
ganize on different basis.
The decision Of the supreme Court In
apnrovinc tho corporation tax law
doubtless will no an important factor IN
determining Tho amount of Panama
bonds soon 70 be issued. and II is quite
rrchalIe. i'm Wow of the fact that th"
coruoration taxes collected last year will
not have to no refundod. while income
from this source will increase with the
Industrial Growth of the country, the
forthcoming Offering of government Sc
ClritioS will hc much less than recently
oxpected. unless tho Secretary of the
Treasury should take advantage Of cur
rent money market conditions 10 re-
doom, tho - of tho loan of 1905 now out
standing. and in other ways reduce the
nui,ljc debt Money rates continue easy
and conditions governing foreign OK
change are developing more in favor of
the local sterling exchange market The
ccmpletc statement of the Country's for
eign trade for the month Of February
shows that exports Of merchandise IN
that time were larger than i'm any CORE
snondirg month in the history Of our
,xport trade. and that imports, though
heavier In any preceding February with
the exception of that month In l%l' ana
1910. were in value S5i go 1s3. making
the excess of exports over imports since
Julv 10 the amount Of S4lS,1f3.l1
cornpared with an excess Of exports In
The same time i'm the year before Of
S1s1 933.22j0
At this time last year the trade bal
ance Was tending against this country.
and the excess Of exports then reported
was entirely wiped out 10y tho end Of
August Of that year. The change started
with September. and the excess Of cx-
,orts in the six months ended Februarv
- was larger than in any correspond
ING period on record From current IN
I creations the excess for the fiscal year
,,iu exceed SSN0NOO CD0. and as II is
estimated that our obligations To t1-
rome run a, about the rate Of SIF',Hoo- =
nnn a wear VIC viii have n mighty COM
Portable credit balance 10 draw on Wh'n
vc need It. II is worth noting that OF
The total exports Of merchandise IN the
last eight months. amounting in value
to 81 ~. .S795l7. cotton alone supplied
SOL 1.21l.453 Shipments Of cotton
amounted in that time 70 G692Gl1 bales.
against 4.S79 SO bales in tho same re-
riod In the preceding year. the average
export price since the beginning of the
cotton year being ~ cents. against II
cents in the corresponding time in the
preceding season. The Importance or
our strengthened position in foreign
trade i'm figuring on tho chances for vast
financial and business expansion cannot
/ 90 ovcrostimatcd
TndorIving conditions arc strong and
sentiment IN business circles is cheerful.
3 The demand FOR bonds is excellent,
though not as heavy as reported carly IN
/ The wear. while the general Investment
situation is most promising, with in
4 creased foreign interest reported in our
/ leading issues \ reflection r the prog
ross our securities arc making in the
/ foreign markets * found in th" admit
! lance of the stock of the Philadelphia
[ COMPANY which operates many street