The Birmingham age-herald., 1911-05-21
Stock Market Has Shown
 Great Strength
MANY ARE CAUTIOUS
Think It Will Take Several Months to Get a Thorough Readjust- ment-The Outlook for
 Good Crops
BY RALPH EMERSON

been the one pig tnlng Tn the stoc market during the past week. The rt suit has been a more active mark than has been seen for some time wit a general advance in prices.
 Since the close of the stock mark, last Monday, railroad and industri; shares have advanced from to points, with a number of stocks sellin on Thursday at the highest price of u year. New high records for the yes were made this week by Westinghous Copper General Electri Union Pacific and Atchison.
 Compared with the low prices for u year, most of which were made in Eel ruary, at this weeks every level Intel national Harvester shares shows gai of 19% points, General Electric 165 Union Pacific Is. Atchison 13. Norther Pacific 12 Steel, Reading and Nesting house 10 points, and Pennsylvania Pennsylvania was the only stock make it's low record for the year las Monday.
 A wholly impartial witness of tn public's reception of last Monday news-the familiar Man from Mars, fo tnstance-would have found some diff culty in peicing together his impres sions. If acquainted with the oldes traditions of our race, he would possi bly, have assumed that the Standar Oil had been placed as a burnt offer ing on the public altar, and that every one thereafter believed the angry go to he appeased.
 Something of the perplexity of tn Man from Mars has been reflected the weeks casual comment on the stoc markets action, after Monday after noon's action. Not so with the stoc exchange. The value of a catchin phrase was never more convincingl demonstrated than by this weeks in mense popularity of the. explanatie that the court has written 'reasons bleness' into the antitrust law" No Wall street is Nnot free from eel tain amiable weakness of human ns ture, which consists in saying tf things which it does not exactly UT derstand and in saying them with th greater confidence because it believe that no one will ask it what they meal There is etiquette in matters of tn sort, which excludes as bad form th insistence, in the midst of a friendl on clear explanation such mysterious phrases.
 Difference of Opinion
 There are those who assert with gre; indefniteness that the opinion, by usir such phrases as determined by the ligl of reason and right to contract, whe not unduly or improperly exercised hs somehow or other reversed all previol decisions. But there are others who b. lieye that these declarations place in sin ple language what had been previously il timated, in general terms in the earli' supreme court judgments under the a' of 1890, and with great definiteness in sue as Justice Brewers Norther Securities opinion of 1904, the circu decision of 1909 against the StanC ard oil and Attorney General Wicke sham's brief in the Tobacco case hearin in April, 1911.
 One striking fact in connection with. tn decision and its effect on the market the faculty of Wall street to anticipat and to discount great events. Hence tn advance on the days succeeding ar but looking back at the pos tion of a week ago, the wonderful thin is that stock exchange prices, while a was still in doubt should have held s resolutely at a level which on the averae was little below the very top of the yea Financial comment referred to this as tn markets preparedness for whatever tn supreme court might do. But it mear more than this-it was a reflection also C the conviction finally reached anon shrewd Wall street operators that thes ir tegrity of values and the security of pror erty rights would not and could not upset by any verdict of the court.
 In a large degree therefore, tn market had really discounted Monday decision and the rise that occurre thereafter may be ascribed to the buy ing in of short contracts and to pun chasesi by the rank and file of outsid specula tors who had not been able { perceive how strong the previously e1 isting market conditions really wer By reason of the elimination of tn short interest and the entrance upo the scene of a host of petty trader whose idea is boom immediatel ahead, the position is far less soli than it was. With it's usual tendenc toward rushing to extremes, the spet ulative community has enthusiasticall proclaimed that the supreme court hs J f1,, A |. mess, that the long standing difficu ties in the situation have been relieve and there is nothing for Wall stre, prices to do but start in to anticipa' another great period of industrial e, pansion. . ..
 That such a view may be product, of risk and danger ought to be pel fectly apparent to sober reasoning.
 Fundamentals Improving
 However, as has been frequently sut gested, fundamental factors are in proving rapidly in some directions ar slowly in others, where the gains fro month to month and from one quart' of the year to another quarter are qui To thoroughly readjust u economics of the country to a bas sound enough to carry us along witt out money or labor troubles for two ( three years will require six or eigl mon Is more to slow business.
 War with Mexico, or, at worst, 1T has been relieved as a di turbing possibility by the offer of Pre- ident Diaz to resign and to establish cordial enente" with Madero. This si uation was at one time very disturbin to banking interests here and in Et rope. The possibilities of peace haN made them. more disposed to reope financial plans.
 The influences most potent for trat are the large supplies of none lo.. traa. nd lao na n O