New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1898-09-11
Giuanriai.
The Financial World.

The way the Street was fooled about IN. g,
Louis dividend of the cleverest tricL.
ever played upon Wall Street II was one q,
the very rare occasions on which the tape was
made to lie, and to do 1t SO well as 10 decevs
even the elect. The scheme was worked on tina
shrewd assumption that people recollectne tho
circumstances attending the increase Of m.
dividend last year. would infer that this year
would repeat that experience Then 1t VIII hs
remembered. preceding the increase from 4 %
per cent the tape showed such continuous nur.
chases Of the stock as could only no exr,.,..
on theory that rate of per cent was cor,,nr
All the while Vice-Presdent Bond and othor.
were publicly arguing that no increase shovld
or would be made. But It ceme. az the tan.
said II would
This time there was doubt about what wor,A
be done until one fine day recently. st. PAM
which usually moves slowly, shot I'd three nor
cent. from between 104 and los, around which
figures IT had been hanging for some time: and
afterward moved I'D more sedately until las,
week 1t was ia. OF course the Street rad
this as meaning another increase II seemed
dead sure. The only question was what the in
crease would be. The stock went off a little
and there were rumors Of no increase But on
Thursday morning. as IL to dissipate all doubt.
a broker recognized one doing business for
Mr.. Morgan came into the Board and began
buying st. Paul right and left His purchase,
aggregated 10000 shares
This started perfect furore to buy the stock
everyone being sure the dividend would be 3
per cent. Enormous amounts Of stock from
some mysterious source were supplied on the
rise, but the price touched 1l5. When the diyi-
dend was announced shortly after O'clock q,
per cent and no extra, there was a wild rush to
sell any and every thing. The whole market col.
lapsed, ST. Paul tumbled to ll0l.. and a beaut..
full confusion reigned There was only one
mans name mentioned as the author of it all
1t was asked. with apparent surprise, why the
whole market should be so affected over a single
company's dividend? Simply this: the bull
speculation Of late has become distinctive in
character that IT has been called Morgan
market; and as everybody knew that Mr. Nor
gan had the say In s.. Paul. the conclusion was
jumped 10 at once that he was out OF stocks
and having unloaded was prepared 10 see lower
prices and help make them.
The holiness and skill with which the game
was played excites ones admiration II st,rs UP
recollectons Of the brisk times when Gould and
W K Vanderbilt Field and Sage. Keene and
Woerishoffer ard the lesser lights. were all in
their prime; fighting each other tooth and nail.
each other; and one had to lock out for soma
startling move every day in the week, Wal
Street has been quite humdrum place since the
death Of so many Of those giants. Mr. Keene "a
the only active survivor But taking this g..
Paul business with some other significant things.
it begins to dawn upon that the man az the
corner is Could over again. with an infusion II
woerishoffer Hereafter tho Street viii be a
little more on the watch for him.
The mos, frequent question asked since Thurs.
day is how the thing will affect the MARKET
Well. how would a man ba affected who had
been Unexpectedly hit in the stomach with =
brick? II would al least take him some time
10 straighten out and get his breath again That
is apparently the condition Of the market a.
least in the railroad department The industrial
end Of II has no lack Of vitality. Judging by the
way Tobacco acted YESTERDAY number ~
people thought it was q short sale IN the
general slump Thursday afternoon but with the
stock up ten points or on them yesterday,
they had different ideas about it.
Apart from the question OF MIR. Morgans posi-
ton. how far he is out OF stocks: how much or
how little he is in favor OF lower market, IL at
all: there is the money question. This causes
some ANXIETY The bank statement YESTERDAY
was n bad one. bringing the surplus reserve
close down TO tho - per cent dead line. Higher
rates for call money may naturally be looked
for. on the other hand. the statement is the
worst We shall get. in the judgment Of some
operators Time money is abundant az per
cent; and /; Is argued that in short while
the bank reserves will be filling up again.
through gold imports and otherwise.
Perhaps it was just as we'll the market had
a setback al this time. II there is any other
conservative stroke coming (of course tbs
action of tho ST. Paul Board is conservative,
with the same manipulative accomplishments
the market will get another Mr. Keene. who
was IN high spirits yesterday, thought the back
bone OF the bear raid was broken. This was
the way he expressed it, Perhaps he had in
mind the backbone or the bears on Tobacco.
but he did not say so. II is a little difficult 70
see what there is to bull ST. Paul on, as 5 per
cent stock. from 10; and 1t looks as II the other
railroad stocks would have 70 take a short rest
The industrials, however afford a wide field f1
speculation. The dividends they pay make
many Of them cheap enough going prices
and some which do not now pay dividends, and
sell accordingly will soon be moved up TO the
dividend list
The general bull situation OF the country Is
not. OF course. changed by the St Paul incident.
and after all no one is badly hurt by that, for
there is a good market for the stock al present
prices We shall have bull times this fiscal
year. just as good as have been anticipated
But the market may have 10 quiet down for a
while; and meantime, the sooner people can get
their bonds from the Treasury Department the
better they will be satisfied
CUTHBERT MILLS.