The times. [volume] (Washington [D.C.]) 1897-1901, 1901-03-18

Pro-pcrity i'm the NOrthwest-The
struggle in Mexican Central.
NEW YORK. March 1.-THE stock mar
ket continues to confound the pessimist.
Tho eigr7s Of p reaction which were mani
Tested about two weeks ago and which
Encouraged the bear forces TO activity
have disappeared. The bull movement
has again developed and many new rec
ords i'm the low-priced shares have been
made. There seems to be no abatement
OF the public interest in stocks. while the
strong interests are committed apparent
Iy to their support Nothing more than
recession of a few points is now to be
expected in the near future
There are many reasons aside from the
strong economical position of the major
rv of low-priced stocks and the general
prosperity which exists throughout the
country. which is reflected constantly in
tho heavy earnings of the railroads and
The thrift of the Industrial corporations
ahy there is not much probability of the
bears being able to successfully raid the
market Chief among these is the fact
that the success Of the great steel combl-
nation depends almost entirely upon the
continued ease of money and the tran
nnillty and confidence in the financial
world. Even with these assured some
people express doubt as TO whether the
syndicate will be able to carry out its
enormous scheme. The syndicate people
have found much lack of cooperation
among the minority stockholders, and un-
less they are able to amend the laws Of
New Jersey to an extent that will almost
wipe out those guarantees Of protection
10 minority interests which have made
the State of New Jersey the fayorite
home for corporations. they will have
difficulty in carrying out their plans TO
successful contamination. There are some
ugly stories in Wall Street as to the limits
TO which some OF the projectors OF the
deal are willing to go in order to get the
necessary aid from the New Jersey State
Government
The prosperity of the Northwestern
roads continues 10 increase, and the
stockholders are reaping rich benefits
from their uneXampled thrift. A high
authority has broadly intimated that If
present conditions continue it is not IN
likely that there win be a stin further in
crease in the st. Paul dividend next fall.
Both classes Of stockholders are favora-
bic to the placing Of the common stock
permanently on per cent basis for the
reason that when this allowance has been
made TO the common stockholders the pre-
ferred and common stocks share equally
upon ali surplus remaining.
The only discOrdant note that has been
heard in the Northwest are the predic-
tions Of great falling off in the grain
tonnage of this spring the result of
the damage to the spring wheat crop by
last seasons drought. These stories are
now said 20 he greatly eXaggerate ted.
Another Northwestern road is about TO
cut a very Juicy melon. as wall Street
describes the stock distributions OF the
GAY The circular announcing the terms
Of the Great Northern stock distribution
Is expected momentarily, and It is said
that each holder of 100 shares of the old
stock is TO receive twenty-five shares Of
the new, issued at 50. This is much worc
liberal than Wall Street has expected. II
has been generally believed that the new
stock would he sold at par TO the stock
holders.
The struggle for control Of the Mexi-
can Central Railroad between Boston and
New York interests was one Of the inter
esting features Of the past week in Wall
Street. The securities OF this road have
made new records. and the buying has
been distributed among the most promi-
neat commission houses OF the street
There has been increasing dfssa tisfaction
oH the part OF large holders of these Sc
CuritieS with the management over the
failure Of the latter to show the results
that should accrue from the large in
crease in gross earnings and the material
improvements that have been made to the
property.
Inc increase Of 100000 in gross earn
ings since 1886 has not been reflected in
g corresponding increase in net earnings.
and the management is severely criticised
Tor it's failure TO reduce the cost Of opera
tioH 10 a rea sDnahle percentage. II IS
justly claimed that obsolete methods are
stin in force. and that the present man
agement appears unable TO realize the
necessity Of operating the property ny
scientific methods,
1t is understood that at least two new
directors VIII be elected 10 represent the
New York holders. and il is probable that
an effort viii be made TO remove the
Headquarters Of the company to New
York This would not only result IN a
material saving, but as this is now the
principal market for the securities, u
would facilitate the transfer Of the stock
aud bonds and establish broader and
more active market for the same.
The management viii also be called
upou TO explain the disposition OF the
earnings ia = more satisfactory manner
than 81 has hitherto done.