Evening star. [volume] (Washington, D.C.) 1854-1972, 1900-06-26
Higher Prices Partly Due to Covering
of Shorts.
BANKS BUY RAILROAD SHARES
Expected Political Action Begins to
Show Its Effect.
GENERAL MARKET REPORTS


Special Dispatch to The Evening Star.
NEW YORK, June 26.-The rally in prices
which startsd at yesterdays low level was
continued this morning with good results.
London sent over a higher range OF prices,
and foreign houses had some orders in this
market, principally in the Pacific shares
Baltimore and Ohio and Atchison.
Traders covered freely in the local market
and some of the larger banking interests
bought moderately in anticipation OF rur-
Their Improvement The buying by the lat
ter interests was exclusively in the civil
dend-paying railway issues.
The willingness to buy on the part OF such
houses, coupled with lower prices in the
wheat market, forced change OF front on
the part of the room.
Brooklyn Rapid Transit was bought IN
round amounts by the recent selling pool.
and the street was filled with advice as 10
the danger Of further sales around present
nrices The Consolidated Exchange pool in
these shares, while quoted as believing them
worth little more than when they were
originally exploited. has suddenly become
convinced that yesterdays low level was
dangerous and Is now closiiis Jul 40 'o-~
This recovery helped along rallies in Rock
Island and Peoples Gas for the usual op-
vious reasons.
both accounts than at any time OF recent
date, but the purchases against previous
sales were decidedly superior TO the he"
demand in the long account
The Vanderbilt roads submitted reports OF
earnings which go to prove that prosperity
has not abandoned the territory through
which they operate. SURPRISES are increased
and the net result in every instance reas-
surfing. At. ,~uo,,,,
At present prices the stocks in this group
should make new friends among the con-
ON ,ir,o Nav
Central, for the quarter ending June ~ re-
ports a surplus, after dividends, OF $42s,oOo,
making a total surplus for the year OF
81 $50 900, against S1,710.0D in 1879. Lake
Shore for six months reports a surplus OF
81 "a, 9O2, against s299,622 last year. Mich
ipan Central, for the same period, reports
a surplus of $24S,OOo, against S224'ooO TOT
the previous year, and Canada southern
adds $4,000 to its surplus
The system which has Deen gatnereo
around Pennsylvania is relied upon to make
a good showing, and trunk iine STOCKS
should find good market on all declines.
The Improvement today had not the surface
indications OF sustained advance. and sen
timent is mostly of the sort which believes
in a rally rather than in any funuamentai
change in the cautious attitude o! the pup
lie pending settlement OIL the pois'e'i eoii-
test.
A rumor that Congress was to be con
vened in extra session as the result of the
crisis in China caused some appfehehsio'ls
in speculative circles.
The market has been sensitive to the
rumors from the east in greater degree
than is shown by the changes on the tape.
Many owners of long stock have realized
that further complications in that quarter
might disturb both the local and the for
eign markets to such an extent as to force
a sharp decline in prices without regard
for values.
The expected trust utterances In the
Kansas City platform are beginning to be
discounted in the market for the industrial
shares, all of which are heavy and without
nositiye support The short interest may
he forced to cover even more literally than
it did yesterday and today. but the move
ment against that interest is the one
plausible excuse for Immediately higher
prices To restore prices by such pro-
cess would end in the creation of new
selling in which liquidation would be pro-
nounced.