New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1899-11-05
fnantial.
The Financial World.

lonl statement came our. showing tho dis
apuoarance Of tho surplus reserve and
iftle more. vet il would seem that this must
ha,o beon made on rising averages or oiso Their,
f. some other causc AZ work. FOR money worked
oas,or az tho week progressed Il vas highest
Las, Monday at 80 per cent and il worked down
wards dav bv day until a e. per cent rate vac
touched Not moro than touched. however
Probably the average for The week would Do
about 10 per cent The mystery - lasf reek's
hark statemen- when every calculation that
tho SURPLUS reserve would DO decreased.
entirely unset stll remains unexplained. a va
rio,y NJ rumors about errors ~ statement arc
current but they are only rumors j. 81 noted
with some surprise AT Warrington an"nf fh'
money situation that The calls for prepayment
NJ interest on Government bonds under fI.
Treasury offer. arc quito insignificant Tho
officials there think tho pressure for money
here. which they wero led 90 believe was qn.t"
acute is not nearly go great as u seemed Tho
fact 49, you can get plenty n money on Tho light
collateral bat the banks want eoo1 rates for
and arc I'm a position - command Them
II should be noted that while fh" stock mar
ke, worked higher a. the week. went on. rforo7'
rates continued 70 lower and RIO bank siafo-
ment Yesterday showed tho loan .fon to 20
practicallv unchanged from tho week before
Nevertheless the surplus reserve. a7 above not-
cd was found to have been entgnIi wiped out
This IS a little odd
II was Immediately after tic statement APP
peared that the Street WAS treated % sensa-
ton I'm the sudden collapse and as sudden r"-
cover, I'm tho price Of Leather common. Ils
stock has been one ~ the prominent feature .r
the weeks speculation n was only short
while ago II was sluggish ~ 10 10 d. 1o'''r-
day Il opened AZ 10 It's Use sine" last MONDAY
was from -. on tho way up some very heavy
single transactions We're recorded in i'd s.ns'
block Of 10000 shaieS being sold on "n" "'' A.
sion. After opening a; 40 yesterday. r. declined
on an average amount ~ trading 10 ~ and "as
about that figure when as il hv some rrcoon-
certed movement r. was suddenly sold G'8n ~
small lots a point between sales 20 -. Here
larger lot was struck. and I'm p minute fh' stock
collapsed under heavy selling 70 - The nof'
sale was %. and then it bounded mp again - ai
AT which figure II closed on the way dow % ana
up. all Of which occupied only TO-" minutes
about $1,000 shares wore traded b. When %
was all over and tho traders had tine 20 draw
breath. every one vas wondering what T. all
meant
No one seemed 10 be able 20 give an rer.
neither has any one outside of a small group ~
rich men who have been persistently blfins M,
stock been able 10 explain what there IS ln fhe
been willing to pay FOR 81. Untf this now deal
started in #. only the other day. Leather COM
mon seemed to be one Of the most hopeless
things on the list. II was so apparently hope
less that an enormous short interest las been
made In f. at various stages on the way u1,
and the selling n IS stated has been mainly hy
rcople more or less connected with the COM
panv Some names are mentioned ~ people
who have been badly punished who on former
occasions gave the bulls on Leather preferred
more than one bad quarter ~ an hour Another
interesting thing about this speculation IS tna'
tho preferred stock after rising 20 -, cropped
off TO 50 while the common was having us
sharpest rise. And what is more. the preterred
stock acts in such way as TO indicate liquhs-
ton.
It is evident. whatever the scheme may De-
that some well matured plan Is being carried
out in respect to the Leather Company; and IN
due time this will most likely be indicated By
some radical changes I'm the very numerous
hoard Of directors II may be remembered that
in August last attention was drawn IN TINS
column to some very large purchases or me
Leather stocks. and the statement was maze
that If certain plan then projected Neh'
through. these stocks would no longer be me
tornbstones on the market they had been lney
are very lively tombstones now.
The trouble with the American Malt Company
was disclosed in the announcement that an issu'
~ debenture bonds would be made % PROVIDE
working capital il is understood that cnaNs-
IN the personnel 81 the MANAGEMENT was mace
condition ~ the underwriting Of the bonds IRIS
company is the first to disclose what pto'a''.
will prove 70 be the case with Tot few other
consolidations--that while Il is easy 20 put
number Of concerns together. it IS nor So easy
70 find mon capable Of running them when cone
soidated with debenture bonds ahead of ne
stock and with conditions such as made iA''
issue necessary. the dividend on the proi'rr'i
would seem 10 be in some doubt That Is inai-
Gated b., the price il has fallen TO-
r. would seem that II company could n''
make money in these times. or me tines ''
have had since tho Malt company was formed
II never could OF course. however. hal man
agemont would spoil anything Any "'''n'y
managed concern ought 10 do we'll now hiS-
ness is AZ full food j. IS difficult - g. o'i'''
executed in any line The earnings ~ me rf'-
roads continue almost phenomenal = ta'.
reports an increase in gross FOR the 4th "o'N %.
October Of 5000 which comes on thu top ''
an increase last year Of $4,000 This must Do
done on general merchandise business because
grain receipts fell off The Southern Pacih'
also makes big showing. and the speculation
in the stock is very lively IN consequence. \
small dividend on Il Is already talked az "'
among the probabilities OF the near iutuie' lN
two weeks the directors Of the Missouri Pacinc
meet TO consider the dividend question and X
is asserted by one that something Will certainly
have to be paid. or there will be a revolt among
the stockholders.
While the railroads are making big gross
earnings it is certain that they will have 90 DO
something 10 raise rates otherwise they VIII
have only an apparent prosperity Everything
they buy has enormously increased in cost II
they get no more for the work they d. than