Evening star. [volume] (Washington, D.C.) 1854-1972, 1900-06-01
Marked Improvement in Several of
the Railway Stocks,
AMERICAN SUGAR NEGLECTED
Turn for the Better Expected in
Iron and Steel.
GENERAL MARKET REPORTS


|
NEW YORK, June 1.-The scarcity of
stocks and good demand for some of the
| higher class Investment issues forced prices
up in all parts of the railroad list this
| morning. The steady absorption of Bur
lington attracted attention early in the day,
and later commission houses became buy
ers Of such deserving issues as had been
neglected in the Improvement Atchison
| preferred was well bought. as the result of
| more positive assurances as to next We'd
| nesday's dividend action. The statements
| Tor ten months show conclusively an abi-
ity TO increase the rate, and it is now
thought the full per cent to which the
stock is entitled will begin at the coming
meeting. Union Pacific came in for some
attention after its recent neglect. and the
| rumors relative to this company's interest
in Burlington contributed literally to the
Improvement.
Ihe short Interest was nervous through
| out the day and the failure to dislodge long
stock made advances an easy task for the
several POOLS
Sentiment is decidedly improved and the
| midsummer period is no longer put down
as an Improbable season which prudent
operators should avoid. There are indica-
lions that at least a moderate amount of
todays purchases were made in the hope
OF profit during this hitherto tabooed
swing long In either direction, the advance
will be interrupted and confidence will
Waver. but barring substantial liquidation
the tendency will be in the right direction
The situation in South Africa has chang
ed more beneficially than surface indica-
tons would suggest.
The presidential campaign, with all its
uncertainties, will be quite enough of
deterrent to provide against without having
the Transvaal war to harass foreign hold
erS of American securities.
Locally, the advice to sell all rallies
has fallen into diSuSe and for the time be-
ing traders are looking to the long ac-
count for profits and covering short
sales on the theory that they were prema-
turely made.
American Sugar was, in a sense, ne
elected this morning, the pool leaving the
price to shift for itself and devoting atten-
ton to the active railway issues The next
dividend on the property will make the
stock sensitive to some degree and will
| mean much. since 1t will be taken to re-
fleet inside opinion as to the value of re-
cent trade arrangements
No increase in the rate Is expected and it
will be remembered that the 6 per cent
basis was accompanied by an official state
ment that it could not endure without i'm
provement in trade conditions. To have the
Sugar dividend still further cut would
handicap the present recovery in prices and
probably spoil all opportunity for higher
market at this time.
The declarat ton of the usual dividend on
Steel and Wire preferred and the recon-
mendation for the payment of the second
installment of the per cent on the COM
mon disposes of some skeptcism on the
latter point.
The iron trade is now about at a point
from which some new business is likely to
spring, but competition is almost certain
to arise between now and fall. Should the
new companies organize at a proper valu-
alton of plant and refrain from over-capi-
talization, some of last years productions
might be forced into reorganization. This
fear and the certain parade of antitrust
measures. coupled with recent evidences of
manipulation are likely to be potent fac
tors in restricting new business in the
steel shares.