New-York tribune., 1900-01-12
sEx dividend.
BONDS.
THE DAYS OPERATIONS IN STOCKS.

The stock market was dull and irregular,
activity being confined to Sugar Refining stock,
Brooklyn Rapid Transit. and few other active
speculative issues. Outside of extreme weak
ness in Sugar stock and the local traction issues
there were few important price changes, and ;
a rule the railroad stocks exhibited firmness
that offered pleasant contrast to the declining
industrials and traction issues The decline in
Sugar Refining stock may foreshadow a sus-
pension of dividends but the movement Of Its
price bears a strong resemblance to the manip-
ulation that has long been the controlling in
1uence in this issue. The decline in Sugar has
furnished the bear element opportunity to
hammer the whole list, and in Brooklyn Rapid
Transit especial efforts making to put the
price below 60. The bear element is persistent
and INSCRIPTIONS: it is also pernicious in it's
activity, and its plans opposed to the best
interests of the business community. All the
news of the day favored an advance in stocks,
but it was offset by the manipulation in the
speculative specialties. The developments af-
fecting the monetary situation were especially
encouraging local money supplies showing fur
ther substantial additions, and international
monetary conditions rejecting a material i'm
provement through the reduction in discount
rates by the Banks of England and France.
Railroad earnings received yesterday for the
first week in January were uniformly good.
were not disposed to see anything encouraging
in The railway returns, because il is the bear
policy to shut ones eyes to the good features
In the situation, and to attempt to blind in
vestors regarding the real significance Of cur
rent transportation receipts. The Chicago, Mil
svaukee and st. Paul company showed for the
first week a gain in gross earnings 0f 81 ,464
over the same time last year. The fact that st.
Paul and other companies are showing a smaller
NJ
or in the corresponding time Of 1890, as COM
pared with 1898, reflects, according to bear
literature falling off in the railroad business.
As a matter of fact, it reflects nothing Of the
sort When last years figures, compared with
the figures OF the year before. are carefully ex-
snined the conclusion is forced that the rail-
roads of the country are doing wonderfully
large business Comparisons are now made with
record breaking periods year ago, and it is
almost surprising that the roads are able to
show any increase at all. Take St Paul for in
stance: In the first week of January last year
gross earnings were S6S102S against S504, 126
in 1898 an increase Of S176,902. This was
record breaking week. yet in the same week this
year gross earnings were $6SS, ,492, an increase
of s7.4e4 over 1899. From July 1. st. Pauls
gross earnings have increased So, ,263, ,4S6 over
the same time year ago.
The promised changes in rate schedules ought
to offset the increase in the cost of materials
as an influence net earnings, but if
they fail to do the increase in operating
penses will not plunge railroads into bankruptcy.
No one expects extravagant dividends, and only
the poorly informed trader is buying stocks on
the theory that the splendid financial cond-
ton of railroad and industrial companies will
induce directors to pay out all their surplus to
stockholders. Good dividends are being earned
and paid. and substantial amounts over and
above all dividends are being set aside for
periods when earnings may fall under dividend
requirements. Advances in dividends where
justified will be made, and many stocks not in
the dividend class will be placed there this
year. Louisville and Nashville's earnings justi-
fed an increase in the dividend, and the
ings of big Four warranted the return of the
company's common stock TO the dividend col
unn This is the sensible dividend age not the
age OF extravaganza. The fact that companies
are not distributing all Of their surplus is a
bull card, for il insures the maintenance of
dividends in periods of business depression.
Bear organs. however see nothing save chaos
ahead.