The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-10-28
NORTHERN PACIFIC ROW
STILL CAUSES DISTURBANCE IN THE
SEA OF SPECULATION.
Trouble Seems to Be as Far from a
ditiOns Continue Unsatisfactory.


the appearance Of the bank statement on
the tape The unexpected increase in the
cash reserves of the banks of S1,5s2.9OO
prompted the bears to cover their short
lines and rally the market generally to
above last nights figures, although the
net changes generally will be seen to be
insignificant. There was positive indie
pendent strength in Missouri Pacific which
advanced il pa above last night There
was no news to explain the movement, and
the sympathetic effect on allied stocks was
slight. Peoples Gas made good recovery
from recent weakness. St. Paul was active
and huctuating, and received the full bene-
fit OF the late covering movement ANAL
gamated Copper was heavy throughout,
with news OF the shutting down of the
cOmpanys mines, and in the late dealings
the stock broke 21s under last night, inter
rupting the recovery elsewhere and making
the close irregular. The source of the re-
ceipt of cash by the banks is a mystery, as
known movements of money indicated a
loss OF upwards of S2,5O0,OOO for the week.
The loan item reflected the continuance or
reborrowing by debtors who are paying off
/ foreign loans.
/ early in the week the stock market de-
velOped a degree OF activity and strength
/ later. The buying, which was responsible
\ for this advance, was large and concen-
/ trated in its source and congested I'm few
stocks, shifting from day TO day from one
group to another. The movement was
/ initiated in the Chicago < Northwestern
stocks, shifting into the Vanderbilts gen
! orally, then into St Paul, Union and
/ Southern Pacific and then into the coalers.
/ The industrials and specialties have moved
| independently, as is usual in periods or II
| regularity in the general market. A notable
| feature of the market was the evident pre-
dominating professional character OF the
operations. Commission houses which usu-
| ally operate on orders from the general
! speculative public nave been consPlcu89usily
in the background during the week. Brok-
! erage houses usually employed by the great
| financial interests in the street have exc
cuted large orders on both sides of the mar
| ket, leaving the uniformed public confused
as to whether those interests are committed
! to the long short side.
| Doubt and uncertainty, in fact, are still
| the prevailing sentiments in speculative
| circles. Some of the buying has been at
| tributed to progress toward settlement
| of the Northern Pacific controversy. If
! insiders have bought stocks for that reason
| it is on information of which the public is
| kept in ignorance. The actual develop
| ments show a condition of that contro-
| versy so far from settlement as to promise
| prolonged period of negotiation, even
| with the best intentions for final peace OF
| the parties i'm interest. That negotiations
| are in actual progress is clear, but it is
| also clear that these negotiations are now
| first undertaken on subject which w all
| street assumed was definitely settled when
| Mr.. Morgan announced the members he
| has chosen to balance the Northern Pacific
| board of directors. The various statements
| given out authority of President Hill,
| of the Great Northern, and of the Harri-
man-Kuhn-Loeb interests clearly show di-
vergent views and the holding TO them
| with determination.
The Hill interests have insisted on their
! contention that Northern Pacific preferred
is to be retired in accordance with the
| power vested in the company under the
| reorganization plan. The effect of this
would be to GUST the Hartman Loeb
interests from their control. which Is
through preferred stock holdings, and leave
the Morgan-Hill majority of the common
stock in control of the company. The
Union Pacific party is equally insistent that
their control of the disputed property is
not to be relinquished. The recent buying
of Northern Pacific preferred is supposed
to be by this party. 1t is admitted that
numerous legal and technical obstacles ex-
list to the adjustment of ownership of
railroad company by competing or parallel
| lines.
Importance is attached to the money dis
turbance in foreign markets as bearing or
the large foreign credits which have been
used to carry the large holdings of North
| ern Pacific ever since the lookup in May
Repayments of these credits have con-
tinued to sustain the foreign exchange
market this week as for some time past
The course of the loan account of New
York banks shows that this burden is
shifted upon domestic credit institutions
| waiting on the Northern Pacific settlement
for relief The usual fall inflow of gold &c
this country is thereby interrupted, except
as the Australian remittances can be sub
| stituted. The calling home of French cred
its seems to be for the purpose of meeting
| heavy losses incurred by French capital by
| OVerlnNeStment In Russian lnduStrlalS. The
long process of liquidation in Germany also
continues, following the collapse from
speculative imitation. The maturity of obi
cations at the years end in those two
countries and Great Britain's continued ne
ceSsitieS for the conduct of military affair:
in South Africa indicate strained period
at that time. which is likely to be reflected
over the whole financial world. AS to i'm
| mediate money conditions in New York
the government surplus is making renewed
demands on the market now that the gov
| bonds re0pmDtlOnS
Railroad bonds have been in improved
demand at advancing prices. United State:
refunding twos declined u and old tours II
The threes advanced "A above last week
| closing dull.
Following are Saturdays share sales anC
the recorded price changes: