Omaha daily bee., 1883-01-05

in coal speculation by the purchase of
the socalled ClCarfeld coal field, If
he returns safely from his projected
trip to Cuba and Mexico, the world
will probably hear of his purchasing
several more competing roads and In
cressing the perils of railroad travel
ling by their stiugy management
His position in the market has been
we'll illustrated by livestock Exchange
cynic, who said that the most profit
able venture just nov wo1ld be to
open a beer garden next door to Van.
derbilt's new residence. Ho would
have to buy it up. Then another es.
Enlistment Of the same kind should
be opened next door, and he would
have to buy that again. When he
whole block was bought up, the opera
ton could be repeated on the opposite
side of the street, and the process thus
worked up I'D libitum.
The ever. railroadiug was one OF the
most alarming financial features OF
the year. The amount Of capital di-
verted from legitimate trade for the
purpose Of constructing railroads lie
almost fabulous. 1t Is estimated that
over 1000 miles of track were laid
during the past year-most of it with
out any necessity. Taking the actual
cost OF the construction at Sl2 OOC
per mile, we find that u sum of $780,
O00, 900 has been actually thrown
away; and, keeping in view that the
capitalization of all such speculative
constructions is usually made at from
four to FIVE times the actual cost, we
obtain the appalling figure of over
$500, 900, 600 taken out OF the com
munity, with no chance of that amount
becoming remunerative for q genera
ton to come.
This overconstruction has, of course,
to be stopped, and with 1t must come
further depression of the already
heavily-depressed iron industry. The
closing Of iron mills must necessarily
affect the goal trade, and this must af.
feet the so-oalled coal roads. Jersey
Central and Reading are already seri'
ously feeling the consequences of the
new condition of affairs, and Delaware,
LAokawanna and Western, which has
60 heavily increased It's obligations by
the guarantee of interest on its West.
ern extension, is 10 showing q dis
position to cut rates for the purpose Of
making the two ends meet. LAST
weeks heavy drop In N. Y. Central
and Burlington and Quincy is another
symptom OF the present state of affairs.
In one word, the Wall street pros.
poets for 1888 are far from being en-.
couraging. Even Mr.. Jay Gould dses
does not seem to talk bullieh. In
any case, the other day q gentleman
who expects to have some spare money
ON hand out of the January disburse.
ment s, went to see Jay Gould's right
hand man, Mr.. Washington Conner,
and consulted him in regard to the
best investment use to be made of it,
"We can suggest nothing" was the
answer. "We don't care to have any,
thing to do with the market. All tn,
interests we have are at present con
oentrated in law suits. If you car
pick out one that suits you, let mt
know. l will ask Mr.. Gould to sci
you u big slice of it as you want"
Yet the "boys" do not seem to bt
much discouraged by this state of af
fairs, if we are to judge from the mum
Der of icy firms about to be estab
lished, and the willingness with which
$4,000 Is paid for a seat in the hoarf
as 500 as a seat is offered for sale
A very strong concern opens its door
tomorrow at New York and Bostor
simultane The firm of Lc.fBon
Douglas & Co. obtains additions
strength from the copartnership o
"Charley" Johnes, one of the mos
dsahing and daring of the young spec
u~lators. He gained considerable In
f~luence recently as a free.lance Room
trader, but is apparently aiming no,
at a more solid basis of operation.
RIc1In