Further, there is the enormous output of "litera ture," booklets, circulars and letters from brokers and investment bankers, nearly all of whom maintain so-called "statistical" departments. The mass of facts, rumors, information, "tips," advice, "write-ups" and miscellaneous printed matter concerning stocks and commodities traded in on the exchanges is beyond all belief and calculation. In his "Work of Wall Street," S. S. Pratt declared that one-fifth of every thing published relates to business, and it may be added that most of it has some bearing upon the move ment of prices on the exchanges. One estimate places the commercial and financial articles and reports in the daily, weekly and monthly press at the annual equivalent of 275,000,000 medium sized books.
9. Reading the financial page.—Ability to read the financial page depends entirely upon one's knowl edge of business and financial subjects. It is not a subject in itself. It is no closed book, no secret, to one who has pursued the Modern Business Course. Aside from certain technical aspects which are ex plained in this Text and in those on Investment, Cor poration Finance and Banking, knowledge of the vari ous branches of business itself is needed. The stock and produce exchanges are delicate barometers which instead of reflecting atmospheric conditions are in fluenced by conditions in the business world.
Without attempting therefore to analyze all the news on the financial pages it may be well only to dissect a portion of the daily stock and bond tables.
The table shows the form in which the New York Times prints these quotations. After giving the total sales of 'stocks for the day, for the same day the year before and two years before, for the year to date and for the year to date two years ago, a table is given of which a few entries follow: Now it is apparent that 12,000 shares of American Beet Sugar, common, were sold. The first or open ing price which was also the highest of the day. At some time the stock fell to but when the market closed the last sale was made at 861A, which is evidently points below the figure at which it closed the day before, the difference being known as "net change." Evidently none of the preferred stock of the same company was sold because it is not quoted. There is only one other' point to note about these selected quotations. In the case of American Can and American Can preferred it will be seen that no "net change" took place, the closing prices being the same as those of the day be fore.
We will now take a selected portion of the sales of the bond table.
Here the method of quotation is entirely different. It will be seen that $1,000 of Armour & Co. 41/, per cent bonds were sold at 93% per cent, $3,000 at 93% per cent and $1,000 at per cent. Also $5,000 Atchison, Topeka & Santa Fe general 4 per cent bonds at per cent, $1,000 at 92% per cent, $5,000 at per cent and $4,000 of the adjustment 4 per cent stamped bonds of the same company at per cent.