The Providence news. (Providence [R.I.]) 1891-1906, 1896-03-06
FINANCIAL NEWS
The Stock Market Opened Ir-
regular This Morning.
A Large Sugar Stockholder Makes Some
Predictions.
Freciai TO Tho News.


NEW YORK, March 6.-The weakness Of
the market during yesterday afternoon
appeared to be partly on Washington sell
ling, stimulated by the Allen reolution
on Cuban recognition. Rumors on this
subject took several forms and were ac-
companied by sales by two houses with
close Washington connections. Traders
thought the market was full Of stocks
and they hammered herever they thought
there were selling orders. Probably half
of the active traders thought the market
would have gone of EASILY on rad news.
London was a small seller during the
day, especially at the close. There appear
ed to be considerable business in chang
ing st. Paul into Chicago, Burlington a.
Quincy. Baltimore u Ohio went down
on unfavorable rumors.
American Tobacco rose on covering and
relapsed on selling supposed to be for
long account. There was nothing in the
days operations tn indicate tnat Ii was
other than trading market, good
chiefly for short turns.
The strength shown by Missouri Pacific
was In line with that observed during
the last ten days. Instead of efforts to
sell, there are now orders to buy and a
disposition to advance the price.
Probabilities favor belief that insid-
ers are taking an interest on the long
side OF the stock for the first time since
last summer.
Chicago, Burlington & Quincy has a
which practically $50, 900, 600 is repre-
sented by assets which can be made avail
able in case of necessity. Another way
of looking at 1t is that Chicago, Burling-
ton & Quincy has invested its profit and
loss surplus of income account and re-
mov9l fund in the control OF 1900 miles of
road. For some time past 1t has teen
considered certain that Chicago, Burling-
ton a. Quincy would be in the market
either as borrower OF money or ss a sell
Ter of securities. No one would complain
IL c. b. IL q. sold bonds which repre-
sented it's surplus. People who are b IL
ish on G. b. q. O.. and more especially
tion for the stock is based on a vague be-
lief that there is something wrong some
where. They claim that as long as q. b.
d q. is not borrowing large amount
OF money on floating debt, and as long
as Ii has an available surplus in the sense
that 1t represents earnings OF the past,
there is no trouble with the road and
that the stock should sell hi CHER.
The sugar dividend will be declared be-
fore next Wednesday. A large holder Of
the stock says: "The street has educated
itself to the idea that 11S is top price for
buBdT. DCehusc iH tDc ihsb ycdN VI
two that price has marked the culmina-
tion of important bull movements but
they ignore the fact that co 1dition affect
ing Sugar have changed. The attack in
the courts has been met end either con-
quered or surmounted, as in the case Of
the transfer OF the corporation from New
York and New Jersey. Congressional leg
islation has not been inimical to sugar
interests. The company has proven its
ability to earn and has paid regnla rly
per cent quarterly on the common stock.
1t has accumulated during it's life time
near SO, 600, coo surplus, of which n little
less than half is now invested in raw
sugar. You hear a good deal about the
poor business of the Sugar company in
February, but the Sugar company make $
most of its money in two periods, late
spring and carly fall There is nothing
unfavorable to Sugar in sight and this
could not have been said at any time pre-
vjous to this year. In ordinary times and
under ordinary conditions Sugar would
sell above Standard Oil stock