New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1890-03-17
Total il Cos. % s,s.5s' sili'soa Inc *.ids's -
THE WEEK At TIE STOCK EXcHANIE.

Tie features of last wccl, were Of character
calculated 10 work material change in the >cii-
mcnt Of members of the Stock EXCHANGE hut
still, cODiiden", Is pant oi such slow growth
and for so long a time has the proic -sional frn-
'crniiy been welded To the idea that there never
again can l.e speculation IN stocks. that the
market in its prices only slightly reflected the
importance of the events. \ week ago We wrote
" II is sufficient 10 say. in addition 10 Ia" in
formation furnished by our general list. that.
despite probably one of the greatest efforts 10
break prices that ever was made. the market
generally closed higher than II did one week ago.
with the short interest IN II undonbtcdl, im-
creased. Nevertheless, outside, perhaps. Of Ihila
driphil and Reading. there Is not 'bull clique
10 take advantage 81 thr situation" The week
opened with an ACTIVE movement IN the Eca'iine
stock. which. iriorc the Gciivcry hour on Non
day. carried the price from . -i,Natnrday night
closing, 10 ]? 81 for cash stock. He movement
was in no sen.r a corner" or au attempt To- make
one II came simply from transfer II accounts
which ncccssiiatcd the calling in OF large
amount Of loan stock which had been loaned.
rs is the usual custom in the absence Of order,
the contrary. and did not reflect ia any manner
upon tie integrity Of the brokers who were do
ING their business in strict accordance with tlr
usual methods OF the Stock Exchange. Bat the
short" interest in the stock great that
Tie movement caused AN unusual disturbance.
dill develop. what This column has steadily main
iaincd short" interest far beyond the ideas
Of average traders. The general belief that the
movement was simply squeezing of the stock
induced large proportion Of the nccrssitaicd buy
cls OF cash stock on that day Immediately 20 re-
sell stock i'm the regular WY. and sell II three
days ai prices - 10 . per cent lower than the
figure. OF their cash purchases. that the short
interest in the stock was lmmatriialy reduced By
the operation. Consequently IT, price Of the
stool. settled ON TO - IS from which there was
a gradual rise 10 40 IS AT the close Monday
movement as is usual in such cases. srpposing il
70 be squeeze Of the shorts. was generally re-
gardcd as inimical 10 the general market and for
day or two lis influence was adverse 10 an i'm
prONcncut III prices.
But there were other controlling influences
which finally cXcrtcd - more permanent influence
upon the minds of intelligent operators The re-
port Of the Pennsylvania Railroad. to which large
space was given a week ago shows that with the
reduction i'm freight and passenger rates there is q
still greater prOl rcsslvc reduction in the cost Of
Transportation With all companies which are
managed upon business prince pies. All lis
lines east OF Ptisbr- and Lric, including tie
nit"d Railroads # NeW-.Icrsry. ia SO. received
90 OF ~ nll per i''lic per ton Tor freight les,
than in 1ss~. bat the reduction in cost MAS 9-iO
of IL mill, so that the increase IN pront was 30
Of q mill T.. ton per mile. On ihc same lines flc
receipts from passengers in $50 were lO-l 90 OF
mil less than ia ISIS. but a decrease of 10! 90
Of a mill in the cost gives an increase IN profits
Of G-l0O Of a mill per passenger per mile.
The estimated statement of the Ncw-lork Cen
tral and Hudson River Railroad for the quarter
10 end March -, showing surplus over Il divi-
dcnd OF ] per cent of 81 .3Bl. against large de
iiccncIcs for the corresponding quarter of ihc
preceding TWO years. was another revelation Of
The actual improved condition Of Eastern rail
way properties. For the six months of the com
pans 5 fiscal year It's earnings will have amounted
10 over IL per cent, which warrant, ilc con-
cueiOn that for It's year 10 end September 30 il.
net earnings will amount % nearly & per cent
upon It's stock. All of the Eastern Vanderbilt
lines responded 10 this statement iv such adj
vanccs as only recorded in investment mar
kcis I'm q speculative marl;ct the statement
would have created n boom. II is difficult 10
convince any one that there is q large outstand-
ing short" interest IN any of the Vanderbilt
stocks: nevertheless, il is true that compared with
the amount; Of the Goatine stocks the short 7
interest is large in all Of them. down even to
Chc~apcakc and Ohio common stock In the Van
derbilfs Lake Shore and Michigan Central were
conspicuous for the gains IN prices which were
Established There is little reason 10 doubt that
tine h;cher prices were made bv investment rather
than speculative purchases. Touching the extent
Of the snort interest IN the general market, we
ONLY wish 10 refer TO Tie fact that ten days ago
il was asserted most positively that there was no
short" interest 10 amount 10 anything in Phlla-
dcpha and Reading stock.
Concerning the Western situation. the ahsOrp-
ton 10y the Chicago. Burlington and Quincy Of
the Chicago. Burlington and Northern Railroad
by purchase Of majority Of It's stock was the
feature Of the week. The importance Of this
movement cannot be ovcrcStimatcd, although the
attempts to bclittle il are energetic We do not
propose 10 90 back of our record that the Burning
ten and Quincy all the time has been responsible
for every act Of Tatr-cutting which IN" subOrdi-
nate company has INDUCED in. The Burlington
and Northern never could have made rate for
passengers for freight between 81. Paul and
Chicago without the consent of the executive Off
GERS of the Burlington and Quincy Railroad. But
heretofore the Burlington and Quincy managers
have been able to attend railroad meetings and he
unsurpassed i'll their expressions of horror at the
action of the Burlington and Northern. Bccom-
ing the owner of the property puts end TO
that extreme farce Of the nineteenth century.
There is no room to doubt that the transfer Of