The times. [volume] (Washington [D.C.]) 1897-1901, 1901-04-29
STOCK MARKET COMMENT
Optimism Still Popular in the Spec
ulative Community.
Few People on the Street Look for
Observation-Disclosures Conditions Com
tinuc Good-I'he OIL Discoveries in
the south rs Business Factor.

NEW YORK, April 2s.-The street is
much divided in its opinion regarding the
probable future course of the market.
There are still many that believe the
boom will continue with only unimportant
recessions. There are probably few now
that look for a violent slump in the mar
ket unless as consequence of some IN
foreseen calamity. The business situation
throughout the country is too prosperous.
The easy condition of the money mar
ket is natural strong backlog, and both
in the railroad world and the various in
dustrial fields the tendency is toward in
creasing economies. larger and better dis
tributed business and greater profits. The
sentimental influence on the public mind
of the recent notable arrangements of
railway lines under conditions of IN
creased harmony is still very strong and
predisposes the speculative community to
the long side of the market.
In addition to prosperity in the South
and other sections. due to the high price
of cotton in recent years, and the passing
of the spirit of legislative hostility to cor
porations from which the railroads, par
ticularly in Texas, suffered so much dur
ing former hard times - the latest de-
velopment of increasing wealth is in the
abundant discoveries of oil wells. These
are contributing to very large earnings
on the part OF the railroads generally in
Texas.
As an illustration, the profits of the
Texas Land Trust which took over the
land grant of the Texas and Pacific Rail
way many years ago. have been greatly
enhanced owing to large purchases of
land by oil seekers. The company has for
years been reducing the volume of its
outstanding certificates. During 1900 ii
retired 100000 par value of the certifi-
Gates from the earnings from rentals.
The company now owns SO 81 acres in
thirty-nine counties and has $4,000 in
cash assets The mineral wealth of
part of the lands is expected to bring the
company very large returns.
The discoveries of oil in the territory of
the Southern Pacific will result in a ma
terial reduction in the company's expen-
ditures for fuel. In California, where
coal is high-priced and scarce. the item
of fuel has been an expensive one. Off
Gals of the Southern Pacific say that in
stead OF paying 81 to IS ton for coal as
heretofore. oil will be used to run the
trains, and three barrels of oil are esti-
mated equivalent to a ton of coal. In
consequence Of these discoveries of oil
the price has declined from 70 cents to 25
cents a barrel.
The supply in California is about 100000
barrels month and the consumption
about 2590g9 barrels. When the length of
the Southern Pacific system, 5000 miles
of road operated. is considered, the i'm
portance of reduction of fully one-half
in the price of fuel can be readily seen.
1t is estimated that the Southern Pa
otf sc 4. "
pected to be increased next year to fully
per cent, but 1t is known that the Union
Pacific management intends to use the
net earnings largely in improving the
physical condition of the Southern Pa
cific property.
Transactions on the New York Stock