The Washington times., 1901-08-20
Government Bonds.

terday reflected the disappointment of
few small people that the strike had not
been settled over Sunday, and the conf
dence of few bears. There was "A sharp
decline in the first quotations, especially
in the Steel securities. During the first
half hour there was change of senti-
ment, and thereafter, although business
was dull and professional. it was undoubt-
eddy better all day than had been expected
generally. Toward the close, the market
assumed almost buoyant tone and the
close was at the best figures of the ses-
sion, and generally at a higher level than
the close on Saturday. Such strong
market with the news regarding the
strike so unpropitious is the best kind of
evidence first that the public is not in the
market; second that the insiders are willing
to support prices when it is necessary
to prevent break, and third. that the pro-
fessionals are in control of the surface
fluctuations.
The strike news seems to make a
long drawn out battle more than likely
The strikers have had more success than
was generally expected. This is not the
kind Of news to make bull markets on 1t
means that the trust must lose good
deal of money and that the country in
general may suffer to a certain extent.
If the public were holding big blocks q
stocks at this time there would have been
an important break yesterday morning.
Moreover. the insiders very likely would
have been willing to allow prices to go
off so that stocks could be bought from
the public at a lower level. The stubborn
held up indicates on the other hand that
the insiders finding no stock coming out
on the bad news, and seeing no reason
to let prices go off, have decided to sup
port the market for the benefit of future
operations, when the summer season is
over and an important bull movement
may be possible. Careful market people
do not advise the purchase of stocks on
the bulges, but they are generally of the
opinion that on the declines purchases
may be made with fair hope of profit.
They caution against selling stocks short
matter what the strike Developments
may be on the theory that the keene
Clique and the other people that are sup
porting the market will not be likely to
allow break of Importance any more
next week than they did yesterday.
The news yesterday was not important
Aside from the strike developments and
most part favorable. London was a SELL
er of American securities, but il was
thought that the greater part of these
operations were made by bears on this
opening in New York. 1t seems probable
that the turn in the flow of money has
probably come and that for some weeks
at least now the shipments to the inte-
rior will outweigh the receipt. The bank
statements therefore may reflect a grad
ual decrease in the surplus reserve. On
the other hand, sterling exchange is easy,
and with the beginning of cotton and
ably that some gold will be drawn from
the other side to balance the shipments
to the interior. Call loans are easy and
there is no particular reason to fear mon
ey stringency. At the same time the
monetary situation is not one to invite a
bull movement at present. The railway
earnings statements for the second week
of August received yesterday were all
most favorable, large increases In busi-
ness being shown by the st. Paul, the
Missouri Pacific. the Chicago Great West
ern, the Canadian Pacific, and the Wa
bash, among others.
The securities of the Southern railways
were the features In the market yester-
day, showing strength at all times, and
toward the close considerable buoyancy.
Norfolk and Western was the most ac-
tive of tine group. but Chesapeake and
Ohio and the Southern Railway securities
also make a good showing. The buying
in all these stocks was what is called
good" important amounts being taken
in large blocks, and apparently Tor I'M
portant people. 1t was said in one quar-
ter that the Gould interests were buyers
in the group, and especially in Norfolk and
Western. Another authority stated that
Morgan buying was in evidence IN south
ern Railway common and preferred un,
doubtedly too, there was fairly good
commission house buying after the move.
ment started, as the group is We'll liked
ern opened below 81 and advanced two
points Chesapeake and Ohio opened at
45iL and advanced to 47as, closing at 47ls.
Southern Railway common opened az 5y7s
and got as high as Sl%, closing at the
ton. The preferred went to S6A. an adj
vance of point from the opening, ana
closed practically at the top Louisville
and Nashville was also strong, although
its advance was not thought to be en-
gineered by the same interests as those
in the other stocks
The report of the Norfolk and Western
for the year ending June 30 is quite
sufficiently buliish argument on the stocks
strength in the market recently. Some
reference to the report has been made IN
this column heretofore. but an analysis
issued by Messrs. Scott 81 StrngfelIow.
the Richmond bankers, member OF ne
New York Stock Exchange, gives addi-
tional matters of interest regarding IT.
The report shows. as heretofore stated,
gross earnings Of $l5.IS5.eo0. operating sx-
penses. t94i5.Og9; net earnings, b,5O,op'
miscellaneous income, Sf3.vo; total IN
cGme. S. ii3. go: fixed charges. 2.250,eD;
net income, 81 1890 Four per cent divi-
dead on 81. co0,1l1 preferred stock was
$50 900 leaving for the common stock 3d.
2i3 900 That is equivalent to 5.tS per cent
on So. 900. 600 common stock, and MesSrs-
Scott & Stringfeliow supplement the fore
going ANALYSIS by tabulation OF gross
earnings for five fiscal years past, with a
showing of dividends earned applicable 10
common stock, out OF which only one
dividend of / per cent tsG450JD has been
paid This Is the exhibit covering nine
months for the 1891 PERIOD:
Year. Gross Earnings Surplus.
1897 S,732. l59.06 S45s.sis
1875 ................ u,2S6, l23.l5 6si,750
1893. ...-..-.--......-. loZ,' l"'.oJ .9-'ot
9c0................... l4o9l,cois3 2..1s, 90
1901 Is, 7s5, i4l.00 3,243, Ell
Total. 9''oi''"f'