The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1901-06-22
NEW YORK FINANCIAL LETTER.

e.t, al r,,r is becoming more marked every day It's
power is extending week by week and month BY month
lis Increasing millions seek new investment me otanus
oil clan has grown large and strong that IS beginning
- oyersadow every other and financial faction IN
America Waif insists that ambitious leaders OF the
clan grown aggressive seeking tosdetrak or crush men
heretofore looked up kings of finance and to build up
oneyed despotsm This Wall street theory to some ex
tent the child OF imagination and fear Yet there is some
ground for the gossip for the clan is growing marveousy
The Standard oil combination three of the great
hanks Of New York of its leading trust companies
besides holding stock many others The stock in the
three banks and trust companies has today market
value $4ooooooo and controls deposits aggregang not
less than S3oooooooo Its representatives are idenhed
with the management of the life insurance companies
which have less than $aooooooco available for invest
nen and use in the New York loan market at all times
Here are of the ndustras it dominates Stand
ard Oil United States Leather, Amagamaed Copper Amer
lean Sugar Glucose and Beet Sugar companies Linseed
OIL United States Salt and dozen corporations di
ectly subordinate Standard Oil 1t has had $4,000
600 the big steel corporations besides innumerabe mil
lions in gas The market value of the industrial
stocks controlled and owned by the Standard oil people APP
proxnaes Sasoooooo This includes the Standard Oil
company proper which is selling at about $500 share,
figure which would make the total valuation of the $780,
900 900 share capital $500 Bankers and commission
merchants in Wall who keep close track of the invest
ens estimate the Standard oil holdings in railroad stocks
and bonds at $2sooooooo That was before Mr. John d.
Rockefeller known be associated with George j. Gould
the development OF his colossal Southwestern and trans
continental system
In banks trust companies insurance companies railroads
gas companies and ndustria the grand total of Standard
oil capital employed is close to $aooOoooooo The an
nual income from these investments approXmates $tsoooo-
600 Of which is, Of renvested as soon as
earned That this supendous growth should focus the at
tenton OF hnancier and the world in general inevitable
and as mighty grows higher it looms into
greater prominence Prophets OF evil will be built so
high and big that it will fall OF its weight There are
at present visible signs in support of the augury.
r;IaIa Ao,lN Irgi
is composed than dozen men most of them
well along in years and associated for years with the
founder of the clan John d. Rockefeller Outside of this
small handful of insiders there extensive company
numbering between fifty and seventyhve who have
grown rich through being identified with the plans and
poses of the Rockefeer and their immediate partners This
second circle keeps in touch with the "lns and policies of
the insiders and invests its money bindly inspired tips
from headquarters Every within reach of headquarters
has his group friends whom he tips off auvices received
and in incredibly brief period OF time thousands of people
know what is going The information is nearly always
accurate but it almost invariably happens that the specua
tors who operate Standard oil tips premaurey and
tire long before there is action Hundreds and thou
sands OF have made great deal Of by acting
advice from headquarters and then going sleep their
investments That appears be the road profits by
the Standard oil route in speculation
/
Intriguing ambitious and evil-minded persons have been
trying long time work up i'll feeling between the heads
the Standard oil clan and j. Pierpon Morgan and his
lowing 1t would almost if they had succeeded for
the two financial factions surely drifting apart
Standard oil enterprises becoming distinctive and
more dsassociated with enterprises in which Mr. Morgan
the directing spirit 1t is very doubtful if John D. Rockefe
Ter this tendency but OF his and
eueuants not to contributing the erection of
Rockefeller dynasty which will stand by itself To such
extent has this feeling developed that it said Standard
oil holdings in the United States Steel corporation originally
about $I5ooooooo have been reduced least half within
the last sixty days, process still going Standard oil
money is no longer making avore OF the railroads deu
fed fOrr 3 b1y
channels OF investment
There open rupture the great leaders of the
two factions and there may be- hut harmony and
mutual confidence much evidence In the past no longer
exists. In this alignment Of forces the Vanderbilt fol-
lowing naturally allies itself Mr. organ and there it
will probably remain Mr. Morgan and Mr.. Rockefeller are
getting old They are both we'll sixty. Neither look
inc Tor trouble and each will seek to avoid clash.
In the several suits brought in many States 10 invaidate
industrial combinations opportunity will be given make the
American people better acquainted intrinsic value of
good wl and its proper status in fixing the capitalization
OF the combines In OF the THIS very point is the
basis Of action complaining stockholders in constituent
panies holding that they have been obliged to take in nav
ment Tor their interests stocks that been extrayaeant
watered The defense will he that capitalization takes
INFO account the earning power and goodwill as distinct
from the material value the plants and BINS recsivbo
ms question has been well hrashed in Great Britain
where goodwill has ong been regarded as tangible asset m
direction ~ ''''
= y d
MI Charles NJ. Sehwab president OF ae United St,,
Steel corporation, has one little pecularit. which ] W;
friends very much 1t is his habit using his mouth for
pen rack 1t trick learned when WORKING IN tb
shops There when he far enough advanced TO use
pen he discovered that if he laid down it would h
soled and he would smudge the paper with his 6nrs ~
picking up His hair being clipped suor he could not @
his ear for rack and forced to take the ne - L
mouth The habit has stuck to him F - us
Although the richest in the world Mr. rb -
Rockefeller is as unostentatous and simple in HE 49,
he was in early manhood He never forgets fr;sn5 "
layo a year or two ago. in the course OF speech he was
Obliged to make before Cleveland audience he to-,
an old man by his side the platform and told how "
cradle auditor had loaned hm the first money he bI
been ane to borrow, matter OF $4,000 The mutr,,;oe