New-York tribune., 1901-04-08
THE WEEK IL WALL STREET.

Stock market trading in the short Stock Ex-
change week was marked by many sensational
movements in values. by new high record prices.
nv an enormous volume of business. and by in
creased bull enthusiasm among public specu-
lators Efforts of the bear element 10 depress
quotations were fiat failures. The force Of COM
mission house buying was more powerful than
ever before recorded, especially in the fancy
priced railroad shares which made astonishing
progress toward a higher level The substantial
character Of the weeks dealings was reflected in
the demand for the standard investment securi-
ties. such as Northwestern Burlington. Penn
sylvania New-YorlI Central. Great Northern.
St Paul. Delaware and Hudson. Rock Island and
J,ackawanna. There is very little Lackawanna
stock on the market and the same may be said
of Great Northern and Northwestern. Before
many months go by there viii be only small
supply Of Burlington, Delaware and Hudson and
other high priced issues for speculative pur-
poses. These stocks passing into places
from which they viii not return. and as a con-
sequence the cheaper priced securities will take
their position as speculative favorites. This ten
dencv has already appeared in the Pacific is
sues Louisville and Nashville, Atchison Issues
and other shares of this class. that have made
enormous gains in real and market value in the
last five months. Louisville and Nashville and
Atchison preferred are > per cent stocks, which
should cross 125 this year. while Union Pacific
common should do well.
The Burlington deal is being conducted on the
terms Of the sellers and Burlington stockholders
VIII therefore fare handsomely in the operation.
Rock Island stockholders have gilt edged Sc
curity bur AT the moment there is no authority
for the statement that immediate new benefits
are TO he enjoyed by Rock Islands owners.
Rock Island is in a position, however, that will
road deal. and this reason. together with the
known intrinsic worth of the property. makes
the stock an attractive issue TO hold either for
investment or speculation. The company's Feb
ruary statement Of earnings shows an increase
tn gross earnings of 3 per cent and an increase
in net earnings Of per cent, while surplus
shows an increase of IL per cent for the COM
pany's fiscal year. Rock Island will show at least
10 per cent earned on the stock. despite a gain
in operating expenses of over s., 600. 900. Della
ware and Hudson is said to be slated for 200
at which price il would return as a per cent
stock less than per cent Reports that lease
will be made TO the New York Central are not
verified. but IL is thought practically certain
that several directors viii resign in May. with
Vanderbilt interests as their SUCCESSORS. Cur
rent prospects do not favor a dividend guaran-
tee Of Delaware and Hudson by New-York Cen
week. particularly Erie and Reading issues
Conservative investment interests are buying
the securities named in the confident belief that
the future will deal generously with them Erie
common viii. it is predicted by Mr.. Hill. become
a dividend payer at no remote period. The Eries
prospects have been materially improved by the
developments Of the last few months
Pennsylvania stock was absorbed last week
by Interests which ought 10 know something
about the company's plans 1t may pay to
watch Pennsylvania stock and incidentally
New-YOrk, New-Haven and Hartford The
Southwestern stocks continue in good demand
and il is generally believed that developments
Of Importance 10 the railway situation in the
Southwest are pending. The election of George
J. Gould 10 the board of directors of the South
ern Pacific is a step in the concentration OF
control policy among the railroads in that part
Of the country. and the chances are that an an
nouncement Of some sort will be made before
the various securities sell much higher. Good
information suggests 30 for Texas Pacific and
interests closely identified with Southern Pacific
advise holding ii for a long pull.
The question now arises 10 the duration OF
the current level market and the prospects Of
higher prices for the high class investment
shares. Technical conditions may warrant
moderate setback. but conditions outside the
7NoCh EshcHdnBe are not IN favor or bear cam
psign.
Many careful operators are selling the high
priced railroad stocks. reinvesting their funds
IN the cheaper railway shares and attractive in
dustriai issues. The latter named class is en-
titled 10 better prices, and it now looks as IL
sound preferred industrials selling under mar
would not only reach par. but cross it.
Gold exports have begun in volume and for
eign banking houses predict a moderately heavy
movement AS an offset 10 losses on this ac-
count the banks will receive Treasury money
paid out for short term government bonds by
the Secretary of the Treasury for government
bond sinking fund purposes London is bor-
rowing gold in New-York 10 settle demands
from Paris. Paris is calling on its London
credits in order 10 pay for its heavy subscrip-
tions 10 the German imperial loan which has
been four times oversubscribed in France alone
The advances in shares last week were not
checked by money market considerations and
many violent gains were made in the face Of
gold export announcements. The extent Of the
weel1's movement suggests big margins in buy
ing az the current level Railroad earnings and
bank clesrings continue 10 show conditions of
industrial activity throughout the country.