New-York tribune., 1912-01-29
FINANCIAL MARKET
Bears Pound Stocks Without Big
ResuIts-Money Remains Easy.

/ forts of bear traders to bring about ma
tarialIv lower range Of quotations meet
with little success. Notwithstanding the
nronosed tariff tinkering by the states
mon" who now control the lower branch
Of orr national legislature, the radical
suggestions by the Commissioners ot
| Corporations regarding the United
States Steel Corporation, the request
| for the dissolution OF the American
Telephone and Telegraph Company and
! the continuous pounding OF the market
/ nv professional traders, quotations nave
refused 10 go down on the average more
| than / point since January l, the aver
age for the leading railroad shares at
tho close of the last week standing at
115 so compared with 1850 at the be-
ginning of the year. The industrial issues
make almost as good showing. Inc
stock market has been hammered Dy
hear operators for more than year.
and 1t evidently has now become I'M
mune to such attacks and mas dls-
counted everything bad in the SITUATION
# is quite apparent that investors are
not selling. II also is apparent Ihd'
while there is no active speculative nuS-
ing traders who have long stocks are
| not disposed TO liquidate their accounts
| at prevailing prices. Stocks are III
strong hands. Recessions are quickly
! followed by recoveTies, and In the opih-
! ion of many experienced Wall street
men aggressive selling for snort account
will lead to a squeeze of the pears'
barring, of course, the development Vi
real trouble in money and business.
Tho market for bonds is improving
and while there is nothing in the nature
of heavy public inquiry for mortgage
;ssues institutions are active buyers as
they can secure high grade investments
10 Weld better price than can pe oo-
tanned by lending their funds III the
money market. New issues are r'au'''
| obsorbed. The chances are tnat dI ho
! ,,,,,o,o nariod corporations will take ad-
vantage of the ease in money 10 hi'''Io
| their needs through the sale OIL JULIUS
and short term notes, and there aPpe"i'
to be no doubt in the banking com
nunity that securities of this sort VIII
H., ouicllv taken. New securities put
out so far in the present year nave Hol
gone a-begging. Although II Is "o'
reasonable to look for marked eNpah-
sion in general business In the ear
s,oe,os of q Presidential campaign. 1t is
,,,ortb noting that the captains OF IN
a,,.tr,, are not worrying over the future'
and that i'm spite of tariff agitation ana
efforts of politicians to curry 1aVor Will
their constituents by attacking the coui-
tr,,,s great corporations conservative
ir,nrovement is reported in most lines OF
.,.ode "Big business" evidently mas
made up it's mind to ignore poI'ucs'
we'll known Wall Street firm quoteu
nresident Of a large corporation iaS'
weak as saving that big business mas
baen on the grill so long that II Is ge'-
ting used TO il and is now ready to go
| ahead irrespective Of the efforts OF
coterie of politicians to inJure Vesten
rights.
| The larger financial interests are doing
nothing TO encourage an active DUH spec
ulation in the stock market, but thelr
control of the market evidently Is such
as to preclude the possibility OF long
decline under existing conditions. Bank
ers wish to preserve stability IN the
securities markets in order To strengthen
confidence on the part of the investment
public and to put through legitimate
financial operations, the success OF whlch
in large measure depends upon strong
undertOne in market values and easy
money. Underlying conditions are
sound. and the accumulation Of money
at the chief financial centres in this
country insures the sinews for business
expansion on large scale when the time
becomes ripe for such a movement. The
country is in a strong position in rela-
tion to its supply of money, its export
trade and its wealth as represented by
farming operations in the last year. and
| from all known indications there is moth
ing in the outlook that should bring any
comfort TO the confirmed pessimist.
| Fortunately, there are few real pessi-
mists in the United States. Certain men
in Wall Street are pessimists for market
reasons but their ideas carry no weight
with the public at large. People who
buy for cash representative stocks dealt
! in on the Stock Exchange and in the
outside market will not go to the poor
house.
There was no change in local loan
quotations last week and no indication OF
frmer figures in the immediate future.
New York bankers made further ad-
vances to foreign borrowers, but little
business was reported for home account,
while in foreign exchange there were no
developments that tended to discourage
the belief that gold will not be shipped
from this centre to London in the course
of the next few weeks. At the moment
tine supply of bills in the exchange mar
ket is light, and this fact. in connection
with the disparity between money rates
here and abroad, naturally points to an
| outward movement of the yellow metal
Money goes to the point where it can be
most profitably employed, and "A flow Of
gold from New York to foreign ports
under present conditions will not mean
that this country has become a debtor
nation. 1t is estimated in well informed
quarters that New York has placed more
than SlOOO0OOOO in loans abroad in the
last six months. In the twelve months
ended December 81 our foreign trade
showed an excess of exports of merchan-
disc from the United States over imports
to the value of more than S559, 900, 900, a
| total never before eXcended with The nx-