The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1848-02-07
COMMERCIAL AFFAIRS.
MONEY MARKET.

COMM ERClAL AFFAIKS.
MONEY MARKET.
Sunday, Feb. &c r. M.
During the past week market has been quite
active prices most of the fanoes have improved
fraction. state securities have not advanced so much
the fances; an some Of them, such as government
skies and Ohio aud Kentucky skies, rule very low.
The advance in the fAnciss has not been great
when take into consideration the low points many OF
them reached and with all the activity in the arket
prices do range than from three to five per
cent above the lowest level This does not amount to
much when look at the of the improvement,
and tn, real value Of some those stocks which
still considered fancies compared with prices ruling
1t would be difficult task to at The top
of table Stocks and show that every in the
list-with two exceptions was really worth at
least what they selling for. Government 6s
should 60 below par; and Ohio 6s Kentucky 6s
good United States SIS, and are worth equally
much. The fancy railroad stocks are worth more
than they selling for, and all Of them pay good
dividends upon their market value The Long Island Is
selling for about twenty FIVE per cent OF It's value
which reduces the aggregate capital stock to about i've
hundred thousand dollars this with the debt makes an
aggregate cost Of about million Of dollars the ints
rest which would be, at seven per cent, seventy
thousand dollars to the present net income OF
the road This therefore, Is per cent stock at
the present price, which is the par actual value.
The Harlem is selling at Ave per cent less than 6fty
per of par value but for tho purpose Of cacu
lation We put it down fifty per cent. This reduces
the aggregate capital stock to about eleven hundred
thousand dsars which with the debt, makes the sggre
gate cost about millions Of dollars. The annual in
terest on this ut per cent would be hundred
and fifty thousand dollars equal to the net earnings
Of the road for the year. showing this to be seven
per stock at fifty per cent which is the par value
The Norwich and Worcester is selling for little more
than third Of the par value Of the stock, which
duces the capital stock to about i've hundred thousand
dollars which, with the debt makes the aggregate cost
about hundred thousand dollar the annual
interest which, at per cent would be one hun
dred and nineteen thousand dolars-equa 10 the net
earnings the road du,ng the past 1t s there
fore clear stocks present prices in rsa
ty per cent Investments They are In faot more
than per cent stocks have calculated An In
terest per the debts when they general
y draw only per cent making the stock part of the
capital higher per cent investment.
At the present price Of Sonington and Its present
rate of dividends 1t Is nearly . ten per cent stock,
with . margin Of fifty per cent the par value,
for an improvement. Mohawk is worth much more
than it Is selling for it must ultimately be large
dividend paying stock As for Reading 1t is pretty
difficult to tell what 1t IT, what 1t ultimately will be
worth. It is an immense concern and Is well managed
far its trao il concerned and 1t may eventually
bscome permanent dividend paying security Its d.
vdexds 30 far have been In stock, movement which
We cannot bat condemn calculated to embarrass
and involve the company with increased liabilities In the
shape STOCK without relieving the Of the
direct indebtedness Of the It has immense
business command which it increase In proper
ton to its facilities for conducting The sshuykil
Canal is its only rival and may prove dangerous one
Int ofo RAPIDLY that
every communication with the mining region will find
full employment at rsmunsrating rates As public work
the Reading Railroad Is entitled to support, and a
useful s beyond the injury of spectators
Every Of coal Is interested In sustaining thh
road has saved to the poorer classes millions OF
dollars Sincs its construction the consumers OF coal
have saved than the aggregate cost Of this road
while the stockholders have struggled along for years
without remuneration and almost without the hope Of
gain It Is stated that the bus ness this road has
reached its maximum that loaded with coal passes
any point on the road every fifteen minutes, and that
they be increased account Of the danger of
collision, the annual expenses under that head al
ready amounting to q large sum; Of this We are not
cspabe Of judging but If such is the fact 1t does
not follow that the road cannot be made profitable Its
present income is Sufficient, with proper nsgement
to quidate It's Indebtedness, and ultimately pay cash
dividends.
The Erie Railroad Is worth more than 1t Is selling for
The pressure upon the money market has affected the
price Of this well as Of every other stock The pay
ment of interest the stock has not prevented
to such extent to raise the invest
men to about eight per cent stock while the CON-
solidated stock upon which interest has been
paid selling within twelve per cent Of the scrip stock
We do not understand how It is that these two stocks
range each other, drawing six per cent in
teres and the other drawing none but presume that
the resolution Of the board Of directors to pay interest
the consolidated stock when the road completed
to Binghsmton, Is the of the advance to point
the scrip stock. In few years these two stocks
will be rated the same in the Market and will command
better prices than those current,
AS regards the other fancis cannot give the hold
much encouragement. They may ultimately be
worth something and they may b. worth nething the
probability Is that most of them worth nothing They
very well for speculation and give the small opera
tors O chance to each other. Railroads in this
country matter where they located must ultimate
y be profitable Investments have so much faith In
them that do not heststea noment In pfedicting
success beyond the most sanguine expectations OF
their stockhoder aHd all who have conf dencs enough
purchase aud hold at prsssnt prices will reap rich
reward for the outlay. We have shown that most Of
those stocks now considered fsncss In fact
per cent investments and the margin for an improve
meut In market value greater than the margin for
M provemsnt in earnings, and probable dividends II
theso roads their present unfinished state
per cent dividends upon their present market value there
Ia 40 doubt but that they will before the lapse Of many
years pay corresponding dividends upon the par value
We have already such things in many Of the rail-
road, paying large dividends The New Jersey the
Western Worcester and Others instances Of this
and thsss are yet many sssIlsyIy situated, wblOb Si
realize similar sssulls.
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