The Washington times., 1912-05-19

irregular and showed some hesitation
during the week, but IL cannot be
said that the market as n whole dis
played signs of any fundamental or
structural weakness. Prices, to be sure,
sold Off rather sharply on Thursday, on
which occasion much was heard of
liquidation and distributive selling, but
the list developed rallying tendencies
even before the close of that day and
the recovery made still further progress
In the ffnal sessions. According TO the
trading element. securities, throughout
the entire interval, acted very much
more as IL they wanted to go up than
come down, and the entire reactionary
performance could have been explained
as satisfactorily upon the theory OF a
bear raid as upon that of liquidation
and distribution.
Assuming that the latter diagnosis is
correct, however. II does not imply
fundamental weakness necessarily, for
1t is apparent. II the market has
reached a point where distribution Is
possible, that II has reached a point
also, where buying Is In evidence, while
the rallying tendencies would seem to
indicate that the absorbing power was
Of considerable volume. In view of the
highly problematical value of some of
the securities recently made active. one
might have looked for even more OF a
break than occurred. for the stocks
which Wall Street has used for lead
ers Of late. have not been such as COM
mend themselves highly to brokers Of
discretion and experience.
Wall Street Revising Opinions.
At the same time, however, the
market is not viewed with distrust
everywhere, and in fact It may be said
that the great technical strength which
II has displayed. receives appreciative
recognition and commands increasing
respect. No matter how suspicious and
skeptical a broker may be of market
of specialties, he cannot forever ignore
movement which displays great pow
ers of resistance when subjected to
severe tests In consequence, one finds
at the present time an ever increasing
| number of Wall Street men who have
been entirely out of sympathy with the
| recent performances, who are casting
| about for theories and explanations In
an effort to determine wherein they
| were wrong in their calculations, and
/ seeking to ascertain. also. IL new Sfac-
tors and new forces have so changed
|
| vision Of their opinions.
| That Wall Street made woeful mis-
calculation Of the present political situa-
| ton Is now clearly apparent to every
office boy in the financial district. That
, these mi,calculations, in SO far as they
bear upon the popularity Of Colonel
Roosevelt throughout the country, have
continued over many years, must be
equally apparent to any one VINO notes
how State delegation after State dele
CATION selected for the Chicago conven-
ton Is won for the former President.
Naturally. this suggests the thought
that Wall Street may have misjudged
many other things In addition to the
political situation. as. for instance. the
trust prosecutions and the fear of tariff
revision, which the financial district
has regarded for q long while as re-
/ pressing market factors.
Signs of Forward Movement.
II 1t could be demonstrated satisfac-
torily, for instance. that the various
things which affrighted Wall Street.
such as the possibility of a change OF
the ton. the antitrust spirit
and tarinf agitation. have not In the
slightest affrighted the country, might
not an explanation be found for the
1 security market movements which have
been so puzzling to operators and to
stock market commentators? The
theory seems neither unreasonable no
far-fetched, for the country and its in.
dustry are showing the unmistakable
signs of a forward movement. Every
| trade index. bank clearances, railwas
gross earnings. the price of basic met
ais. building operations, and the for
eign trade statement. points in thai
direction. and this despite the presen2t
in the situation or the imminent posi-
bility Of every factor that the Stree
held to be disturbing and feared. Clearl,
these things are not disturbing th'
merchant or. If so. the fear finds prac
tically no reflection in his business.
In nothing is Wall Streets changed
attitude on the subject Of politics NOR,
strikingly illustrated than in its recep
tion of the accumulatlng evidence o
Colonel Roosevelt's strength and popu
larity. To one familiar with recen
financial history, It seems well-nigh in
credible, that Wall Street, which at
tributed all the financial disturbance o
1907 to President Roosevelt, calling It tn
Roosevelt panic" which started in I,
make a bull market, for Joy, wheI
Mr.. Roosevelt went out of office
which turned Democratic almost to
man In 1910, in order ito eliminate
Roosevelt" by voting against a, candi
date for governor in New York simpl
because ne had Mr.. Roosevelt's support
and which. finally. again eliminated
Mr. Roosevelt because he spoke In favo
of a recall Of corrupt judges in Febru
ary last, should now be coming ou
strongly in favor of Colonel Roosevelt
denomination.
Roosevelt a Bull Argument.
Attention was directed to the increas
ing popularity OF Mr. Roosevelt In til
financial district in this column a wee
ago. During the present interval sue
sentiment has made further progres.
and 1t is no longer exceptional 1
brokers offices to hear men telling eac
other that Colonel Roosevelt is tn
man Wall Street would like and ougl
to have as President and similarly yo
encounter an ever-increaslng numbe
OF speculators who attribute both I'll
Improvement in general business an
the strength OF stocks to the growiiI
sentiment, that Mr.. Roosevelt will M
only be nominated, but that he will {
elected. When one looks deeper int
this matter II Is not strange that III
financial district should revise its opiI
ion of Colonel Roosevelts candidac,
| 10, after ita nolifiCal anoatapy In q asgt.'