The times., 1899-08-14

There are reasons for believing that the
coming week will witness much the same
tendency in speculation. The industrial
securities have not been advanced so rapid
ly as standard railway stocks up to the
present time this year The Iron and Steel
Trusts. the Leather Trust, the Sugar Trust,
and commercial corporations in general
have been as prosperous as the railways
Their balance sheets would probably show
far greater earnings comparatively. For
reasons that are familiar TO all, however,
the public has been ayerse to investing
in this class of securities. better under
standing of the industrial situation seems
likely in the near future to result in dis
eliminating but much more liberal specu-
lation in them. 1t is not TO be supposed
that industrial securities. will ever sell at
nearly the same relative prices as railway
stocks, but while the country is prosper
GUS and while the outlook is for ever in
creasing prosperity many conservative
people contend that the difference in price
should not be so great it is at present.
The standard railway issues at their pres
| ent market prices pay from less than 3 TO
about per cent on the investment The
preferred industrials pay Z per cent, or
on the average double the rate of the rail-
ways The common stocks of the indus
| trial concerns, even those which pay diyi
! dends and seem likely to do so for long
time in the future, are selling at much
lower proportionate price than the prefer
red stocks.
Several matters are likely to make cer-
tain of the industrials particularly promi-
nent during the coming week. The Ameri-
can Steel and Wire securities are among
these President Gates, of this company,
will today make application to the stock
exchange to have its securities taken from
| the unlisted department of the exchange
and placed upon the regular list. This is
considered move in the right direction,
| and 1t cannot be doubted that it will result
| in greater confidence in these securities.
Mr.. Gates states that the company has no
accounts or bills payable, and has a good
| cash surplus on hand. The business of
the company is SO good that it is behind
on it's orders. The only trouble it has now
is in obtaining raw material. Fortunately
it owns It's own coke and oil supply. The
outlook for the iron and steel trade, Mr..
| Gates says, is unprecedented His COM
pany has orders a year ahead now, and
these are increasing. He believes the year
1900 will prove a phenomenal one in the
history of the iron business. Mr.. Gates
declares that he has been misrepresented
as regards the matter of the dividend on
the stock of the company He. says he never
told anyone that the company would pay
a dividend last June, as he has been repre-
sented as saying. He did say that the
company had earned dividend, but that
he was not in favor of paying one until
later, as he preferred to place the COM
pany in a strong position before begin
ming the distribution of profits.
The directors of the Colorado Fuel and
Iron Company will, it is expected, at their
meeting in Denver today take some action
concerning the unpaid cumulative diyi-
dend on the preferred stock. 1t is init
mated that there will be cash distrlbu-
! tion ordered Of per cent on the preferred
as a semi-annua payment for the current
six months just what action will be TAX
| en- for providing for the unpaid cumulated
| amount now long overdue has not been
stated. though it is understood that plans
have been prepared and await only the ap-
proyal of the shareholders.
The extent of the dealings in the Sc
curities of the Leather Trust on Friday
and Saturday OF last week is most sug-
. | gestive On Friday 1922 shares of the
common and 49, 155 of the preferred chang
ed hands while on Saturday the total o
transactions in the common was only
6.636 shares and in the preferred only 95I
shares. The public is never quite 81
variable in its preferences. The cliqu,
was not at work on Saturday. Many peo,
pie do not consider the Leather securities
so promising speculation as some of th'
other industrials.
The rapid increases in railway earning
continue from week 10 week, and there Il
excellent reason 10 believe that the RECORD
; will be kept up despite the fact that th
: year just passed was one OF the greatest
IL not the greatest, in the history OF tn
/ country. The Financial Chronicle" com
J putes the gross earnings OF seventy-fiV
roads for the fourth week of July, 1888
at Sl1, ,9sl, ,s24. an tnaH-asa of s1.6Ql, 1851, o