The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1856-08-14

Al noVe,sper, iasf yeaT, Wnen many OF the above
named dividend payiEg stocks were three months
n. uer dividend day than at present, We find they
ruIe>' in the market from three to seven per cen,
below current rates. In November last there was
not near so much stock the market a. at present
The operaa ions in Wall street since that tine have
brought out good deal Of stock, and 1t is all ia the
hands OF the brokers. The operations of the fsll
months this year will without doubt largely incres We
the supply, and teHd materially to permanent de-
crease in market value. Very low prices would nm
donbtedy bring in purchasers for certain Stocks but
the Inducements must be very great to attract new
buyers. There ia such an active demand for capital
tor regular business purposes that no outside of
Wsil street has the means or the time to engage in
stock specu!ations. Nearly the whole of the
enormous transactions at the Board OF Brokers re
ported today, were between the members for their
OVID account. There is no outside demand, and the
WopaDAty OF there being any Is very poor. Until
captai accumulaes in the banks the credit OF the
commercial Classes until business becomes 30 dill
that there Is no employment for money in the legti
mate channels OF trade-unt,l outsiders for the want
OF something better to do enter the street as specu
lators, Tor the purpose OF maxim their idle capital
earn somethine-until prices get low enough to fe-
oucc Tie risk OF buying 70 ordinary business ope
ration there be no help for present holders
absorption that will reduce the immense load OF
stocks pressing npon the market. More than one.
half OF the largest operators in Wall street are bears
are large sellers of stocks. The number of holders
s therefore sntracted, and that makes the burden
still more dlcu to carry. So long as the bank ex
pansi,n continued, and money was abundant-so
Long as it was easy to hypothecaie stocks at mode
rate margins-it was not difficult to carry them, or
keep up prices; but the times have changed,
and there is still greater change yet to come.
A tight money marke. must scatter stocks
like chat. No one wants to, and no one can, hold
them. No one will lend on them, and those VIII
have stocks coming in On maturing line contracts
have TO let them go out at any sacrifice. In such
times the bulls bleed at every PORE and the deple
ton frequently uses many Of them up. In such
times the bears reap their harvest. While Wall
street is in pane, they remain calm as summers
morning, unaDecied by the wreck and ruin going on
abou. them and regardless Of the desperation and
despair depicted in the faces of their opponents.
Sellers OF stocks act upon fixed belief in the utter
rottenness of railroad stocks generally. They be.
eve that in most Of these works the progress of de-
cay and depreciation is going at rate that must
at no distant day, make them unproductige and that
as investments they will he utterly worthless.
With Encouragement, competition, decay, depre-
citation, dishonesty, damages, and dozen
more causes al operating at all times, with
more or less force and effect it is not strange tina
the market value of the stock s gradually settling
down. II is well known that railroad companies
have gone on for years paying regular semi-annual
dividends without earning more than one-haf the
annual payments Such things have been shown
nd nv nd kpo IN az
they have not been officially exposed. The history
Of New Engin railroads is enough TO des roy con
fdence in such investments and those who do not
take warning in time will lose the bulk OF tne in
vestments in that class of securities. There are,
We are happy to say, grand exceptions to the rule;
for good sound, productive railroads are the excep-
tons; bat they are so few and far between that it
requires the incest discrimination to determine-to
separa'e the wheat fiom the chaff-to tell whether
the dividends paid are real or bogus The doubt and
denger attending this class Of stocks delee many
f4V..4 t..vis~, .l~-- -. 49, r@i~~.
At the second board there was a very active
market Prices, however, receded, and at the close
the tendency downward was decided. Erie fell off
per cent; Chicago and Rock Island, A; reading,
1; Canton Company, !. We hear of good many
outside orders to SELL aud parties who last year at
at this time large holders and large buyers Of
stocks, are now sellers on time for lower prices
This shows that the maustay to the market il gone,
and that there is nothing left but the internal power
Of the street TO sustain prices One operator sold at
the second board to-day leo, shares Of Erie Rail-
road stock, principally at seller thirty days. This
stock is supposed to be portion Of that purchased
some time since on foreign account, at prices con-
siderably above those now current All the big
houses are unloading, and the stock win soon be
distributed among the weakest spectators.
Money was in very active demand in Wall street
to-day. The supply was comparatively more limited
than it has been for months Some Of the strongest
houses were Ia the market as borrowers. The sub
treasury collected in the first three days 81 079 $685.
and paid out $3.50, 1885, showing gain in that time
Of sG92 905. The remaining three days will not be
so large, but the total gain for the week, over dis
bursements, will not be much under one million Of
dollars.
The Manhattan Life Insurance Co. have declared
a semi-annual dividend Of six per cent
The earnings Of the Ellie Ra lroai Company for the
month Of July 1855, amounted To-. ......Stsl5 $50 81
same month in ls65...,,,....,,.,.,,,. 312,0I7 80
increase wits ~
The Assistant Treasurer reports to-day, as fol-
lows:
Paid TO Treasury account. s&l5I6s 81