The sun. [volume] (New York [N.Y.]) 1833-1916, 1897-10-08

THURSDAY, Oct. z.
An old.time fuctuation in Chicago Gas that
appeared to be due chiefly to manipulation with
the view Of establishing lower prices overshad-
owed all other movements in to-day's stock mar
ket. The dealings in the certificates were a
third of the total transactions, and after sustain
ing a maximum loss of more than 8 points.
they closed 4 y cent. lower than yesterday.
The ostensible reason for the selling was the
announcement from Chicago. which was virtu-
ally confirmed here. that q banking house of
this city which is identified with the promotion,
management and financiering Of gas plants in a
number of other cities has acquired control
of the Universal Gaslight and the Mutual Fuel
companies of Chicago. Both concerns have been
in existence for some time, but have not as yet
secured a large amount Of business. Tho Uni.
versal Company has facilities for manufactur-
ing about 1000, 900 feet Of gas a day. but has only
a few miles of mains. 1t 10 understood that tho
original purpose of the enterprise was to manu-.
facture gas and sell 1t to companies having dis
t~ributing conduits. 1t has 81, 500. 900 of stock
outstanding upon which 1t does not pay divi-
bends. The Mutual Company has an equal
amount OF stock outstanding upon which 1t has
paid 8 y cent. per annum. Its business consists
In making and distributing artificial fuel gas
In the Hyde Park district Of Chicago In compe-
tition with natural gas supplied by the Chicago
gas companies. Both enterprises have. according
TO all accounts. been in the markot for some time.
and have repeatedly been offered to the capital.
lists who control tho Chicago gas companies.
They were started by local capitalists, and the
fact that they have been willing to dispose of
them would seem to indicate that they do not re-
gard their investment as a particularly desirable
one. For some time past the two concerns have
been operated practically in harmony with tho
Chicago gas companies, and, according to an
interview with the representative of the
Eastern purchasers. 1t Is the purpose of the new
owners to maintain those relations. 1t obviously
is not to the advantage Of tho minority interest
in the gas business in Chicago to engage in q
rate war.
In the circumstances 1t 10 difficult TO discover
In the transfers Of the two properties mentioned
a substantial reason for to-day's movements In
Chicago Gas certificates, hence the unusual &C.
tivity and wide fluctuations must be attributed
chiefly to manipulation. Chicago spectators
have boen selling tho certificates for a week
past. presumably on the theory that the
enlistment Of Eastern capital In the two smaller
companies would be followed by the adoption OF
an aggressive policy. Their sales were supple.
mented to-day by heavy selling of the certificates
| by brokers who frequently act for operators
who are known to hold bearish views regard
ing the property. There was q moderate
amount OF good buying OF Chicago Gas. but II
was not sufficiently extensive to turn the course
of the market for 1t. The break in that stock
affected tho entire list to the extent that II
checked speculation and caused some selling
that left the majority Of stocks slight
ly lower than at the close yesterday
Considering the part that Chicago Gas played In
the recent advance OF prices and the sharpness
of to-day's decline. it must be conceded that the
remainder OF tho list made a remarkably good
showing. In only half a dozen other stocks did
the transactions exceed 10000 shares. and
ono of these was that football speculation,
Bay State Gas of Delaware. st. Paul. which wal
second In respect TO activity, was exceptionally
arm throughout, and 80 were Northern Pacific
! preferred. Chicago. Burlington and Quincy,