The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1855-06-16
FINANCIAL AND COMMERCIAL.


THURSDAY, June 10 IS +. III.
The upward movement in prices was not 80 strong
and vigorous to-day, but full as much activity pre-
vailed. At the FIRST board, Virginia 6's advanced
per cent; Missouri 6's, l; New York Central
Railroad 20; Erie Railroad 9; Michga An Central Ii;
Cleveland aud Toledo Railroad, /. Iuinsis Central
Railroad declined per cent; Michigan Southern
Railroad, i; Reading Railroad, /, but recovered be
fore the close; Cleveland, Columbus and Cincinnati
Railroad, /. We have NO change to report in rail.
road bonds. The transaction were to some extent
at yesterdays prices. Bank stocks comns and high
prices. The daily eales only sum up few shares;
railroad stocks attract the greatest attention. and
many Of them the greatest prices. There Is more
margin for speculation in railroad shares than in
anything else on the market. They fuctuate so
much in intrinsi, and current value that the bro
ksrs find wide field for operations. So many things
are likely to occur any moment to affect the char
acter and value Of particular railroad stocks, that
they viii always be more or less the football Of
spectators. In tines Of prosperity, competitor
lines Of road are continually coming forward, and
In times Of prosation, when capital for tho construo-
ton Of new foads csa.cct he obtained, the produc-
tveness Of those In operation ia largely reduced.
We have no d,ubs but that in less than elk months
the market viii be filed with new railroad projects,
all striving for the ways and means to aid them In
opening some shorter and cheaper route between
points already sufficiently provided with travelling
and transportation facilities. We must xpsct these
things and be prepared 10 check at once every at
tempt to got up another railroad fever. There arc
railroads enough In tho country to answer all
purposes for the next ten years. Let those which
are partly finished be completed, and those which
are completed DO perfected. Let those which arc
In debt-and there are very few net so-economise
mott only In expenditures but In dividends, until
their finances are In q manageable shape, and we
shall be free from such colspses In this important
INTEREST," have been realized within tho past three
or four years. Most Of the roads now In operation
are doing large and profitable business, but the
best Of them only earn moderate divide nds on
their capital. Tho market value Of the stock
may be temporarily inflated by the declara
ton Of large dividends, but where they
are not earned, 1t cannot be long dis
guised, and It's reaction is sure to be ruiaous to
all concerned. regular moderate rate Of Hvid md
one that win eavein its treasury at the end ofevsry
six months something In the shape Of sinking
fund for the liquidation Of indebtedness, at its
current value in the end DO more satisfactory
TO permanent stockholders and DO better policy for
t0e company AUVvc bu smu65J ~ oAouV w sh0
aim Of railroad managers 10 avoid as much as posi-
bic the declaration OF stock dividends, particularly
when cssh dividends have been paid to satsfae-
tory amount. A stock dividend, under some cir
cumstansss, might be justiasble but only when it
wasimposaible to make dividend many other shsp 20
should IL be continued. No railroad company pay
ing four or Eve per cent dividend, in csh semi
annually has right 10 pay an additional dividend
in stock II the road IL entirely completed In every
department, and is wholly out Of debt, then the
aggregate net earnings should be divided in cash
II road Is In debt, or not completed, every dollar
after paying fair dividend, should be up 3ropriatsd
to the construction or liquidation account. To the
permsnent stakeholder this ID the best policy The
peculator s Of course, anxious to get all he oan In
the shortest possible time and 10 therefore opposed
70 such careful management.
Simeon Draper SOLD at auction after the a3j,urn-
ment Of the beard this morning, the following
stock
440 shares Broadway Bank stock. .116x 11s
2S DO Indianapolis and Cincinnati RI. ....... 8oe.
At the second board an increased amount Of bus.
ness WAS transacted. All the Leading railroad stocks
were in demand and the iales were principally =.
prices current In the morning. Cleveland ard To.
ledo railroad advanced per cent, Erie railroad
dsclired per cent.