Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1912-05-07
Unusual Resistance This
Week to Depression In.
fluenCe Shows Strength
Heavy Output Of Securities
Was Striking Feature
During April
BY Henry CIews

NEW YORK, May Especial to
the Tribune.-The belief that the
stock market had been under power
full control was further confirmed
this week by an unusual resistance
to depressing influences. In few
cases prices yielded to unfavorable
news which precipitated more or less
realizing, particularly towards the
close of the week, but the general
undertone of the market remained
strong aid values showed a rallying
tendency upon the least encourage
ment. The conditions for and against
the market can be briefly summarized
as below:
More hopeful business situation.
Very satisfac4 ory foreign trade.
Record breaking steel production.
Increasing railroad earnings
Larger bank clearings.
Rise in surplus reserves
'Eariy adjournment Of Congress.
Against.
. Increased profit taking.
Political uncertainties.
Labor troubles.
Heavy new security issues.
Late crop start.
Tendency to await conventions.
Between these two eets of condi-
tons there is a wide range of choice.
We have already had an advance OF
10 to Is points chiefly n the indus
trials which are generally showing
satisfactory returns The railroad
section of the market has not yet
been able to make equally good ex-
hibts. but traffic conditions are i'm
proving, as shown by gross earnings
for the second week of April, which
reported an increase of over 10 per
cent over the same time last year.
That general business is on larger
scale is confirmed by bank clearings.
During the last week Of April the re-
turns at principal cities were II per
cent ahead of last year. Deducting
any increase in such figures arising
from higher prices and speculative
activity, it is evident that the vol
ume of trade is showing an encour-
aging gain over year ago. More
over, such improvement is we'll dis
tributed; all sections of the country
showing an increase in clearings ov-
er last year, particularly in the New
England, Middle and Middle Western
states. The increase in the bank re-
serves which last week reported a
surplus of ST. 100000, against a slight
deficit at the end Of March, is also a
source of satisfaction, the gain being
largely the result Of considerable
contraction in loans.
Heavy Output in April.
A rather striking feature has been
the heavy output of securities during
April, amounting to over $26O,000,-
900. Of this sum 100000, 900 repre-
sented railroad issues and over $780,
100000 Industrial corporations; bonds
and notes also forming the larger
portion of the requirements in each |
case. The April total was the largest !
on record for that month During
the first four months of the current |
year the total issues have been over |
s1,026, 100000, compared with $780,
100000 in 1911 and $4,000. 900 in |
1910. OF course portion of these |
issues was intended for refunding |
purposes Nevertheless, it is evident |
that the amount of new capital issues !
has recently been exceedingly heavy.
That they have been so readily alb
sorbed in spite of so many unfavora-
BILE conditions, is excellent evidence
Of sound financial conditions. Thus
far there have been no indications
Of oversupplying the market, and the
distribution of these issues has UNI
had much to do with the
support accorded the market by
strong banking interests. The in
vestment of such large amounts OF
new capital means decided stimu
ant tn many industries nartjcu1ar1y