The Washington times., 1912-04-07

NEW YORK, April Upon a some
Wnat diminished scale OF activity, stocks
We're distinctly irregular during wall
Streets business week. While to many
persons this was regarded as evidence
that the market Is developing into
Two sided affair, there was nothing
which Indicated that the movement had
passed beyond the control of the manip-
ulative party with which It originated.
This does not imply that there has been
no enlargement of outside buying, for
such Is not the case, but the public has
heId aloof for. a long time, and 1t is
coming back slowly and timidly. 1t
needs encouragement, or, at least, some
persons think so, and there are those
In the financial district who are trying
10 make things look as attractive as
possible, with this end In view.
That there is still guiding hand,
or, more probably, several guiding
hands, was clearly enough indicated by
many of the market performances of
the interval. There has been, for in
stance, nothing in the nature of a gen.
eral reaction since the upbidding Of
prices began, and nothing of the kind
developed during the week, though
many experienced traders and expert
observers believe that the market would
be safer IL 1t had one. However, on any
signs OF wavering concentrated buying
mas appeared, usually in one or two is
sues, or a variation has been worked in
to the program by stimulating pool and
clique work in the low-grade issues, one
afer another of which has been taken In
hand and advanced. AS a result, the
generaf>list has shown no outward sign
of weakness, and though irregular,
prices rallied easily during the week
and closed today at substantial ad-
vances.
Various Market Maneuvers.
Virtually, the entire trading of the
interval was made up of a series Of
maneuvers OF the above character
Upon one occasion all interest and all
buying centered upon the copper stocks:
upon another, attention was devoted
exclusively to United States Steel COM
mon, and in Thursdays market nearly
one-third of the entire transac actions
were made up Of that issue alone. Be-
tween times came the pool and clique
buying of specialties OF both the rail-
way and industrial list Shares OF high
ly problematical value, even stocks Of
bankrupt properties, were taken in
hand, made active, and advanced. In
numerous instances there was no pre-
tense OF news; no rumor or gossip to
explain these movements. The activity
and the improvement was due wholly
to professional buying, and usually
ceased when the professionals moved
on TO another issue.
or course movements Of this kind
keep interest alive, and as Wall Street
Is bending all its energies to win the
public back they bid fair to continue
for time longer, but l doubt II ever
before, at least In this generation, the
machinery Of manipulative market
has been so openly exposed to view as
at present. One has been able to see
and study the entire process of start
ing 1t in motion: the firing of the boil
ers to get up steam; the fabrication Of
the bearings TO insure smooth running.
and the first slow movements OF the
pistons and wheels; now apparently
one sees, in this concentrated profess
sional buying and in the pool and
clique movements, what amounts to
piication' of a forced draught to keep
the fame alive. If not at all times
convincing this spectacle assuredly has
been impressive and no one can say
that 1t will not be crowned with COM
plete success.
Peculiar Money Conditions.
That there has been some enlarge
ment of outside buying cannot be
doubted, but that It has not as yet been
as large as one might infer from the
stock market sessions aggregating total
recorded transactions OF 800, 900. 900,
and 1000 900 shares is indicated by the
action of the money market. The re-
covering movement has continued for
more than a month and many stocks
have advanced 10 to II points and more,
but this has been unattended by any
hardening Of time money. and according
to representative collateral loan brok-
ers of the city there has been very
little increase in the borrowing demand
for such funds. What is even more
peculiar, however, is that until the
present week there has been no ma
terial firming-up in call money and
such as has taken place is inconsider-
able.
Naturally this feature attracted a
great deal of attention this week In
consequence of the deficit of $21l. 900 re-
ported in the bank reserves last Satur-
day. This is the second occurrence of
the kind since the panic of 1907, while
to find another reserve deficiency in
the New York banks in March, one
has to go back to 1883. Now, of course,
there may be some satisfactory ex-
planation for this, and presumably
there is. for no one displays uneasiness
about depleted reserves now, whereas
in the past such a banking condition
as was reported last Saturday would
have broken the stock prices to 10
points and resulted in a 10 to 25 per
cent call money rate. But call money
ruled at pa per cent on Monday last and
per cent day money was quoted at
3k to 31z per cent and the latter rate
was maintained throughout the entire
week.
Day to day funds to be sure did touch
5 per cent for an instant on Thursday,
but the ruling rate that day was but
3lz per cent, which under the circum-
stances was very low, for owing to
Good Friday and to the fact that there
Is no call money market on a Saturday
all loans made Thursday carried over
until Monday. But 1t is apparent from
the foregoing that either the weekly
bank statement Is not an accurate
measure of the condition of the Clearing
house banks, or that the stock market
Is of a character that gets along with
out borrowing much money 1t Is not
possible OF course with active public
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