Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1892-08-09
NO LOSS OF STRENGTH.
Local Stocks Still Continue to Move
Steadily Upward.
P.&B. AND P. V. SHOW WEAKNESS,
But Nearly All the Others Rule Stronger on
. Higher Range
A FEW BIG GAINS ESTABLISHED.

E1" 11u uhiNC GolADnioh1p'
MONDAY, Aug. g.
The only place where there was any weak
ness to-day was in Wall street. There values
declined all along the line, with intimations
that some of the big bears had taken hold
of the market. The chances are, however,
that the reaction was a natural one. Prices
had risen without any reaction for some
time, partly through manipulation, 1t is
true, and the best authorities, while writ
ing in bullish strain, admitted the proba-
bilitv of reaction on realizing sales, if
from no other cause. Now that 1t has ar
rived it will. when it has spent
its force, undoubtedly leave q bet.
tinuance of the upward turn. General con.
ditions are bullish, and they are bound to as.
sert themselves. On the Chicago Board Of
prices in all % the nits w were m sharply advanced.
On the local stock board the bull tone lost
none of its strength over Sunday. The vol
ume OF trading was not large, but the in
Quiry was forceful, and some good gains were
established. Tho character of the inquiry
also maintained its standing, and the en-
couraging feature Of strong demand for
bonds was still conspicuous.
Course Of the Msrket.
The items which figured in the trading on
Change were Central Traction, Philadelphia
Company, Duquesne Traction stock and
bonds. 2. & B. Traction stock and bonds,
Westinghouse Electric and p, A. & M. Trac-
tion. Besides these. there was a sharp de-
mand for Peoples Pipeage, Citizens Trac-
tion and Westinghouse Airbrake, with con-
siderable call for Switch and Sig,
nal; Plesssnt Valley Valley Gsniyu Railway ras and
tion sold at 80. closing at 1871 bid. Du-
quesne Traction sold at 2sT. closing at 2S14
@29A. Citizens Traction was bid up to u
same price; P. A. & N. Traction sold at ~
and closed at ~ bid, and all were strongest
at the close. Pleasant Valley Railway and
B. Tacs,on were not quite 50 strong gas as
at 259ss, closing at s51s@251z, and the latter
sold at 261s, and was offered at the
close at the same price. against a
burg Traction was unchanged. In the gas
group Philadelphia Company sold at 20@20H
on change and 2O1S@20A on the street and
seb was bid dup up to % ~, Without % eIioiting any
offers to sell; 26 WAS bid for Bridgewater,
CHARTERS was offered at 12N, and Wheeling
@ one OF the h;cb on sne sI ss
up to 12s@I30 without selling. Westinghouse
Electric new common sold at 2sN, closing at
Dnquesne Traction 5s at lOoss The only
other noteworthy features were slight ad-
vances in junction Railroad and New York
and Cleveland Gas Coal.
Duquense Traction.
The Philadelphia Stakeholder furnishes the
July earnings Of the PIttsburg-Duquesne
combine by days, the total being ST, ,666 and
the Fourth Of July receipts being given as
$7,73s. The figures for the month are some
what below expectations. but they are
probably official, as the &ockho'der has shown
q nf n n ra-
garding the combine that are enjoyed by
few outsiders. They may be taken, there
fore, as line on the dividend prospects of
the 4, Duagense ~ Sc end The above total
daily average OF SSH in round
numbers. But this average was swollen by
the Fourth 1da Of July traffic, which was more
of the month. 1t must be remembered also
that the combines receipts are largest in
the summer months in consequence of the
land parks. An estimate OF ssos. 600 per an
or Per asS is
for 30 per cent, we have $401, 500 applicable to
interest and dividend purposes, to say
and the Pit.sburg's $4,000; Under the
items OF the consolidation the in
terest on sl,5oo,oOo bonds-the Pittsburg's
entire issue and half of Duquesne's-or $75,- |
600. comes out Of the $40l, 500 first, leaving |
1926, 500. Then of this sum the Duquesne
gets 42h per cent, or $l3S, 1872 So Out OF this |
of It's bond issue over that of the Pittsburg |
($75O OOO), which requires $37 SEQ leaving $I0l-
262 sc applicable to dividend purposes on a |
capitalization of s. 900 900, or a slight frac-
tion better than per cent. 1t is question. !
able II the combines receipts will average |
81, 200 per day and it is quite probable that |
the roads cannot yet be operated for 80 per |
cent of their gross earnings. For all that the |
stock is strong. the buying Is of An excellent |
character and the price looks like going |
higher. 1t is said MIR. Magees friends are |
buying and, if such is the case, they prob |
ably know what they are doing. The roads |
are growing ones particularly the Duquesne, |
and their receipts will increase as the years |
roll by; but, as compared with the increase |
of the past year. the increase in the years to |
come will be slight. To some people the |
stock Of the Duquesne looks high at current |
who think the immediate future has not |
been sufficiently discounted or else there is |
something favorable to come out that is at |
present known only to favored few.
Westinghouse and General Electric.
The possible prospects of the absorption
of the Westinghouse Company by the Gen.
eral Electric Company, says the Boston
among electrical men. 1t seems
to be the general opinion that ultimately
the Pittsburg company will come into the
combination, but when the consolidation
Will Ia ke place 1s, Oh course, only q matter
of conjecture. The General Electric people |
disclaim any desire to have the Westing-
house part of the combination and the lat
ter will not consent to a consolidation on
the basis of the present market value of
their stock. They believe that their busi-
ness is worth great deal more
money, and are determined to demon
strate that fact to the country and
the combination. There can be no
doubt that negotiations have existed be-
tween the companies and that such were
broken of, because of the inability of the
negotiants to come to an agreement regard
ing the basis OF exchange. The Treasurer
of the Westinghouse Company has lately
been East and his statements and the
figures which he had to show were highly
interesting. He says that both companies
have cut prices but that his company is not
doing it at present, it having such a large
amount of business.
There are, however, factors to be con-
sidered which will not UNLIKELY operate to
defer any consolidation of these two COM
panies for some time to come The chief !
factor is that the General Electric Company |
now knows pretty much what to expect
in the way of competition from the esting-
house, and it infinitely prefers to have West
as its only important competitor,
than to have host of little fellows to fight,
which, it is thought, would result. should
Westinghouse 20 into the combination. As
matters now stand, the opinion is generally