The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1854-06-20
FINANCIAL AND COMMERCIAL.
MON EY lark e II.

MONDAY, June 1916 +. NJ
The depression in fancy stocks still continues and it
has become very serious matter with holders Of the
leading railroad securities. When stocks were pretty
well inflated decline Of tive and three per cent not
matter of much consequence but that prices have
fallen far below the lowest points dreamed of any fur
Their decline is likely to be attended with serious results
The market value of Erie and New York Central Railroad
stocks is still high but there others the list low
enough to purchase. They all may 60 lower. The
chances that they viii and it may, therefore, be
good policy for those who contemplate buying to wait
time longer. AS regards selling that is another and
more important matter Buyers wait for opportuni-
ties to in and If they do not appear to meet their
views nothing is lost but not with sellers rather
those who have desire to realize Their object is of
course to get all they can, aud upon falling market it
is exceedingly difficult to tell when to do The posi-
on of such stocks New York Central and Erie is such
that very little hope of any improvement be
ably entertained The immense amount of capital stock
Of each, the present and rapidly increasing
indebtedness enough to alarm holders and deter any
one from purchasing. The New York Central Railroad
Company has capital stock Of twenty three millions
of dollars. It has recently failed in some of its
financial negotiations the probability is that the next
will be the mortgaging Of its entire property for
the security and benefit Of certain capitalists who viii
not loan the company money upon any other terms.
The wants of these gigantic railroad companies have no
end. The Central Company require Immediately five
millions of dollars for expenditures construction &C
count, and when that is gone they will want as much
Eric Railroad IL In the condition. These
roads have already cost upwards of thrtyave millions
dollars each and the outlay for construction is still
going on. In less than five years the cost Of each will
exceed forty millions Of dollars. Before that time ar
rives competition will be ten times greater than Ia now
and the running expenses largely enhanced Railroads
are poor investments in all parts Of the country. Most
Of the roads in Ohio and other Western States, which
have years past been declaring and paying ave. six
and per cent semi annually, have been compelled
to pay this year in stock instead Of cash. Stock
dividends have been the order Of the day this
year, and next they will, in many instances, stop
altogether. From cash dividends to stock dividends
is only gradual letting down but 1t Is a
warning which shrewd stockholders will take ad-
vantage Of At the East find of the roads put
ting the rate of fare upon the ground that the past
reduced rates have not been remuneratng With
two exceptions the market was all down to-day. Cum
berland and Nicaragua firm at quotations current
Saturday. Canton Company fell off per cent; New
York Central bonds, North Carolina Copper vi Ceve-
land, Columbus Cincinnati Railroad, II; New York
Central Railroad ii Reading Railroad Il Erie Railroad
TX; Harlem Railroad, u; Hudson Railroad, ~ Eric
RAILROAD came out IN large lots AT tne uoPeo' "
appears that with stocks generally the lower
the anxious holders are to SELL Very few have
enough to buy falling market, but outsiders
generally sell when prices have touched abont the lowest
points The MARKET therefore, at this moment Is IN
most unfortunate statepeny of sellers and no buyers
For days rast considerable business has been done in
Wall street. In the way Of changing investments Par
ties holding fancy stocks, highly inflated, have sold
largely and placed the proceeds in stocks which are
wayyep,ably DEPRECATED. We know Of sales Of Nsv