New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1900-06-03
financial.
The Financial World.

The existence OF short interest In the marke.
much larger than had been supposed has been
disclosed by the events of the week. The buy
ing for this account became quite sharp as the
week progressed: and with fair amount OF pur-
chasing for long account also. is responsible
for an advance of prices which. at the close OF
last week, seemed very unlikely to occur. This
sort of buying. however. does not in itself make
a broad market though 1t is often the precursor
of one. So far. the volume Of business has been
comparatively small. and the commission houses
have had no great share of it. The really active
work started after the holiday on Thursday
morning; when London and the Continent came
in as buyers on the unexpectedly favorable news
from South Africa. Although some OF this
proved TO be premature. the foreign markets
held firmly the advances they had made; and
thereby contributed sustain our own The
news that was really authentic, OF the
capture of johannesburg with the mines 10
more injured than would come from months
Of neglect. Also Of the abandonment cs
Pretoria by the Transvaal Government which
was evidently caused by the movement OF Gen.
French's column 10 the north Of Johannesburg
where he remained in the position indicated for
him by Lord Roberts according to yesterdays
dispatches.
There is large contingent of New-York pro-
fessionals In London and Paris at this time all
active operators; and the greater number OF
them were on the short side of the market when
they went abroad. The probability is that they
started to buy with some vigor on seeing how
the European markets responded to the war
news knowing very we'll that the market OF this
side must also be stimulated. There were &C.
casional very feverish movements IN several OF
the international stocks: movements which are
usually interpreted in the Street indicating
somewhat hasty covering of shorts
Sugar and Burlington were the two stocks
which started the improvement or the market
They led the way. 1t was expected that if there
to be upward movement at ALL these
stocks would start it. After running up to 12O
Sugar reacted. evidently realizing with the
announcement OF the combination of the indie
pendent refineries In a new company On the
surface. the situation of the sugar trade remains
as before. save that there are now only two
companies and the Arbuckles: instead Of several
companies. The new National Company may be
run opponent Of Mr.. Havemeyer. But
the Street believes otherwise: and in this
new arrangement, way by which practical
union of interests Is effected. without making
an open and formal union by consolidation,
which would inevitably renew the howl about
octopuses and trusts. A combination Of the In
dependent ref1neries was once proposed against
the Havemeyer interests; and the late Governor
fused. however not desiring to get into such
quarrel that sort Of thing would start. II is
improbable that any at this time has taken
up fight that the Governor declined TO mix in;
and it may therefore be inferred that the
combination has been made to work with and
not against Mr.. Havemeyer. For speculative
purposes-and one can scarcely imagine this I'M
portant point has been overlooked.-it is very
much better to have two sugar companies than
ana hoo h.,
worked by keeping up the idea OF antagonists
when it is desired to put stocks down. and OF
harmonious agreements when they are to be-
put up. Meantime, there is some little anxiety
as what the next dividend Sugar is to be-
On Wednesday the dividend on Atchison pre-
ferred will be declared As stated last week.
there is the highest authority for asserting that
1t will be at the rate of 5 per cent The pre-
linlinary report for the year will show that this
has been earned. and so liberal a surplus over
that the company could stand a considerable
reduction from present earnings and still pay
. per cent. The price of the stock is working
up. and possibly may get a little setback on
realizations when the dividend is declared II ls
not. however. likely 10 go back much The big
holders Of AtchisOn. who have held it since tho
reorganization. have apparently worked on the
principle of keeping the stock steady in its up
ward progress There time last year
when Mr. Keene went into IL with a dash and
made one of his characteristics whirIs In the
stock; but he did not stay with it long; and
when he sold out. most of his stock was boughr
by the insiders AS TO the dividend on Northern
Pacific. it is rumored now that 1t will not BE-
increased, A director of the company recently
said: II don't believe there will be any In
crease this time. but the stock will go UP Just
the same
There apparently a very considerable
short interest in the B. & o. stocks. which
probably is by no means all covered vet, al
though a rise of five or six points in the COM
mon has been very rapidly made. Much Of the
buying came from London as also did soma
buying of Pennsylvania, which caused that usu-
ally very steady stock to jump back and forth
on the tape in unusually lively way The
superstition is that rather urgent orders to cover
shorts. both in B. & O. and Pennsylvania, found
comparatively little stock offering. New York
Central also improved a couple of points
more. Perhaps later in the year we may see
a movement in the long dormant Erie stocks
The road is doing we'll. and will be able TO show
figures justifying an advance
1t is difficult TO get at the true inwardness''
Of the persistent buying of Burlington. There IS
quite palpably an accumulation Of stock going.
on by some big interest; but what interest
this is. there is much doubt about AT various
times We have had il that the stock is being
purchased in the interest of the Pennsylvania
Company: then that the Union Pacific people
are acquiring II: then that the RockefelIers are
buying. One thing seems TO be agreed-that
whoever Is doing the buying, the purpose OF IL
is TO give some interest a voice in the councils
or the company which it does not now hava
Burlington is good stock anyhow. and mod
~ had