New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1888-12-04
CLOSING PRICES OF CALIFORNIA STOCKS.
San Francisco. Dec. 3, 1888.
LAKE SHORES QUARTERLY REPORT.

The report to the NewYork State Railroad
Commissioners of the Lake Shore and Michigan
Southern Railway Company for it's quarter ended
September 80, is not at all satisfactory The gross
earnings show decline of 81 20, POO from the same
period. Of 1887, the operating expenses an IN
crease of $3.50 900. and the net earnings loss
of $500, 900 from the same quarter of oS7. But
the surplus earnings for the quarter are equal
10 / go per cent and for the nine months, after
allowing for the sinking fund requirements, are
equal to 4.O2 per cent. The company is paying
only per cent dividends per annum, and the stock
is selling that basis.
TIE SHORT INTEREST INCREASED ON THE
WHOLE.
The stock market to-day, so far as it is repre-
sented by the recorded transactions, was active.
The sales are reported as AIS, $40 shares but un-
fortunately for regular commission BROKERS the re-
ported transactions were largely made up by
matched orders In such a scrmmage as there
was to-day there was possibility for a scalplng
trader to get in and by the exercise of superatve
Judgment profit; but the ordinary specu-
lator who assumes to have an opinion OF erect
from cause had smaller chance than he Will
find over the green cloth which the law interdlcts
The bears were not slow IN recognizing the adj
vantage given them by the report of the Interstate
Commerce Commission, which practically calls the
average railroad manager permanent candidate
far State prison. The bears bet their pile that
that report would scare the average holder OF
stock into selling out at any price.
> True il is that the Interstate Commerce Com
missoneIe' report put the situation Delole STOCK
and bond holders Of railroads IN stronger llshr
IMAM IL ever before was authOrltatlVely presented
I he report assumes that the law was passed only
in the interest of the pubic and that IL carries
The assumption that the stockholders In railways
need no protection from their own chosen trustees.
But in plain language 1t does assert that the
tl..t.. tfp.Gf ltn l4nty
be given 10 the Commission TO protect the stock
holders in railways in other common carriers
from the speculative purposes of managers. At
the moment the report II II bfdHu SlIhlulduO "
" bear operations. 49,
But there IS another side TO the question which
the interstate Commerce Commission has 80 plainly
nrintcd The movements started some three
months ago on the part OF stockholders, TO COM
bine for the protection OF their rights, Will re-
ceiye from the Interstate Commerce Commission re-
port IA great stmulant, which, possibly, may
more than offset the advantages which the " bears
think they have received from It's positive AS
scrtion that the railroads of the country are man,
aged in the interest of private spectators instead
oi for the interest of the owners. II IT Is In be
assumed that matters are TO 20 on indefinitely III
the way they have been going for the last year,
il is not question OF the value OF stocks, but OF
the value of first mortgage bonds OF any railway
in the country. We aware that the case
is stated strongly but the highest authority IN
the country bears us out IN making Tn: PROPOSE
ton. Presidents directors ana freight agents OF
railroads are ms much trustees OF other peoples
properties are the officers of Il National bank
1t is promising indication that this idea is rapidly
growing, and that the report OF the Interstate
Commerce Commission has fertllzed II.
We have outlined the causes which were the
chief factors in to-ddys stock ma kct Buying
was practically stopped. The transact onS which
are reported AT 4l9,523 shares were chiefly ma1e
up of matched orders. OF course in the decline
more or less of the holdings of contracts were
shaken out. but there Is no evidence OF the opening
of boxes and sales OF real certificates. On the
other hand, barring the transactions resulting from
matched orders, the buying seemed TO TO be of a
quality better than the selling. The morn ng's
stock loan market fairly developed the character
of Saturdays dealings, in large new demand to
borrow all the active stocks. The market opened
sharply lower than Saturdays closing l2urcS and
the decline with >lnall fluctuations cont nucd TIL
within the last half hour
The Southwestern stocks were conspicuous IN
the decline but all stocks suffered; even Western
Union stock, which is not part of the railway
system, and which for the current quarter next
week will make remarkably favorable exhibit.
SoNlc disappointmcnt was expressed at the quar-
tcrIy report of Lake Shore, and yet il shows earn
ings AT the rate of per cent per annum, while
il is paying only per cent dividends But
everything that came and published WIS of a
bcarishr character and there was no on to say
nay to any proposition that sid, OF the &C cunt
The fact that stocks are not held on speculation
furnishes the reason why there was not first
class panic in securities. After making lib raj
allowance for the transactions which were not the
result of matched ord r., II looks 10 us If the
" short interest had been materially inc ase1 by
the days operations. Al tn" close there some
thing of n rally from the lowest prices, but il
of an insignificant character, and the market
closed unsettled.
TREASURY PURCHASES
The Treasury purchased 1000 41-2 pr cent
bonds at 1903 The rejected offers mcnded per
at los Is, and 100000 az 10S IA. The local
market was dull at quotations as follows: