New-York tribune., 1876-04-10


organized bank with handsome percentage
of surplus upon its announced capital But
is this TO be the end of the matter ? Are not the
emincntly respectable gentlemen who accepted the
trust Of directors TO be held morally If not fnan
cialy, responsible for their neglect Of duty Our
local money market remains amply supplied with
loanablc funds but from some of the Beighbormg
cities reports Of more activity il not Of posi-
tive strUgency, particularly from philadelphia.
where il is alleged as reason that the failure IN
make the usual quarterly dividend by the Reading
Railroad has rendered its stock an unavailable
security with certain Trust Companies, whose
charters limit their loans TO securities that
pay dividends. And it seems not improbable
that to this cause may be asnbed a
portion Of the loss of S3,OO0,OOO from the legal.
tender average of this weeks bank statement.
although it was apparent that the week was COM
menced with q smaller of legal tenders in bank
than the reported average of the preceding week.
and that some $500 900 were Withdrawn during the
week for deposit with the Treasury with which to
permanently retire National bank circulation. TIE
sum of legal tenders now held by the Treasury fof
this purpose is about $4,000, 000 only to be paid
out again as the particular bank note cir.
culation that it is intended 10 pay and
cancel finds its way into the Treasury. This
sum should not be confused with that Of the ; Der
cent redemption fund.-" amounting to about
~ 10000, ,O00 that the banks count as on hand the
same as if held in their own vaults Government
bonds that were exceedingly dull and shade
lower early III the week, improved toward the close
both III demand and prices, the principal sellers
being the foreign bankers. State aud railroad
bonds have presented no feature of interest deal
ings having been limited and prices steady. God
got black eye early in the week IN a decline from
tO 1o5s hut rprOver,d tn n, MN
chases against imported Government bonds, finally
closing at 113. The downward movement was
assisted by the sales of long gold for account Of
tailed "bull.p
The speculation at the Stock Exchange has been
irregular and dull, some stocks showing material
depreciation for the week, while others have in
proved. Pacific Mail, under the developments that
have been made concerning its financial condition
and its prospects for the future has remained COM
paratiyely steady, owing to the continued covering
of shorts" that at least furnishes a temporary
market for the stock that is offered for sale. lis
fluctuations have been about as follows: 19l241S4
"a 1880 65sa 1S7 16a, being decline from first
TO last price of 3 per cent. The Company is,
however, apparently in a very bad way, aud
hear that ut a meeting to-day of the Executive Com
mittee pretty much all hope of rescuing the concern
from its financial difficulties was abandoned and
hands Of the Marshal here for unpaid taxes will be
likely to prevent the Company from running its
steamers at all. Western Union, after opening at
6Sls, and selling up to 90, thereby frightening
a majority of the shorts into covering, de-
clined 70 and closed at 67ls, leaving the
minds of speculative holders of the stock an in
preston of some impending development that would
he likely to cause lower prices IN the near future.
There may be perhaps sufficient ground for this
fear as we hear from very good authority that ele-
graphic rates are to he further reduced week.
STILL "on second thoughts" rs of the officers of
both the rival telegraph companies assert at
reductions in rates invariably tend TO increased
profits. 1t is difficult to see exactly how such a
measure should damage telegraph stocks. On the
contrary, judicious reductions should enable well.
managed telegraph companies 10 pay good dividends.
Erie was only moderately traded in for the greater
part OF the week although its price once got up to
2Ol, after having sold at 1885, The general quota
ton was 1875 20 1858 until to-day when 1t broke TO
II 3 under the pressure of stock mostly for long
count. 1t did not transpre whether not the spec
ulative members of the select committee OF directors
bad received private information from the Dundee
Committee, but the sources from which the supply
Of stock seemed TO come would indicate that ihey
had. Lake Shore has been affected By the contca,
dictory reports OF its business Tor the first
the current year. but the bulls have had rather
tine advantage, because successful in getting their
story into the daily papers, and accordingly the
stock closes at 60l2, after having sold from 1913
down to 80 and up to 81. The story of the "bIlls"
as published is rs follows: 1t is reported that the
net earnings of the Lake Shore and Michigan South.
ern for the past quarter show an increase If over
$1,000 compared with those for the corresponding
period last year," The equally untrustw0rthy story
Of the "beaTs y that has not been published
is TO the effect that the earnings Of
the road for the last three months
show loss compared with the same period of
1879, averaging 100000 per month. While one of
these ports is just lttlo trustworthy tho 9TH
er, because at present conducted the concern is
close corporation and official lisp is permitted TO
be heard, and also because the leaks that existed
one year ago have been efectually stopped the pre-
pouderance of evidence is in favor Of the "bcar"
port. First 1t not until under the present man
agcmcnt after the earnings had begun to steadily
decrease that the company declined to furnish
weekly reports of its gross receipts; second the
ceipts of Western products at New-YOrk have been
less this season than last: third, il was not
until March iS 1875 that the rates On
West bound freight were reduced from the 81
basis for iirst-cass 20 ~ cents while for this
the latter rate has been the highest and mostly
nominal AT that; and fourth the increased earnings
Shown by tho competing line formed By The Mchi-
gan Central and Canada Southern railroads iudi-
cate discrimination against the Lake shore.
However, spectators that pay their money will
take their choice. Panama has remained steady in
sales at l270l2O, although at one time Offered
down to l24 when 1t was announced that the usual
quarterly dividend for April would not be paid for
the reason, as assigned, that the Pacific Mail
Company owed 1t a greater On traffic account
than the amount required 10 pay the dividend.
which il was unable l. collect New-Jer-ey Central