The times. [volume] (Washington [D.C.]) 1897-1901, 1901-03-05

| idNnT INenl- ne ADDRESS OF the PTeSi-
| dent is generally considered a bull argu-
ment tn the strvet. The adjournment of
, congress is anotneT. The new War Rev
| onue law is another The better nope OF
| early peace in South Africa is having q
| good effect on London and that market is
| buying American stocks. The January
| statement of the railways through the
| country shows the greatest prosperity
| bends and increases in dividends on many
! stocks. The outlook for the new steel Sc
| cuTities is excellent and the street is be
| ginning to recognize this. Their price ad
| vanced on the curb yesterday Success
| for these securities will be a most potent
| bull argument on the entire market. Mon
| ey conditions are excellent. Can loans
| were made yesterday at per cent The
| reduction in war taxes s40.009.000 or more
a year will help the financial situation, as
| Will the early end of the Boer war, II that
| is to be.
The steel securities We're strong at the
| opening of the day. but later did not make
| as good a showing as the railway hst-
American Steel and Wire preferred was
an exception, with an advance to W ana
a close at that level. Federal Steel pre-
ferred opened at 80 but lost point from
this high level before the close. Wire
common and Federal Steel common were
dull, but made no gains. The outlook is
good for all of these securities. The man
ayers are quoted stating that they are
selling below their legitimate value.
Cuthbert Mills says of the probable
earnings of the new steel company
Calculations as to what the new com
pany will earn, based on reports of exist
ing companies. figure out the Z per cent
on the preferred stock and from to per
cent on the common. If the company has
good management II ought to do this. Ii
is obvious that a concern so big and so
far-reaching In its own line of business
has great possibilities in working eco
nomically in control of its raw material
and In its command of the market for its
products. The company's largest custom
ers will be the railroads, and the railroad
men are the controlling power in the
corporation In that respect the combina-
ton is a close one. 1t is calculated that
the purely railroad business of the concern
Will pay the interest on the bonds and the
dividend on the preferred stock. Mr..
Keene expressed himself with some en-
phasis about this stock yesterday, declar-
ing his belief that it would prove as good a
per cent, stock as there is in the market
The market prices of the new stock will
be strongly influenced for time by the
public timidity about the colossal proper
lions of the new organization. 1t is not
only the largest thing of the kind in this
country. but probably in the world. We
have seen that it has engaged attention
in Europe almost TO the same extent as
here; and the foreign newspaper offices
have given out columns of editorials on
the affair. betraying the public fright at
the magnitude OF the thing, and also
great ignorance of il. There were some
English ironmasters, who, being in the
business, knew what they We're talking
will have TO get accustomed to the giant
before they cease to be afraid of him; and
until they do get over their nervousness
the market for the stocks will probably
require skillful nursing
The announcement by J. p. Morgan
& Co. was even more hopeful than the
estimate of Mr.. Mills. 1t said: State
ments furnished to us by officers of the
general companies show that the aggre-
gate of earnings of all the companies for
the year 1900 was amply sufficient to pay
dividends on both classes of the new
stocks besides making provision for sink
ing fund and maintenance of properties.
1t is also announced that the charter of
the new company will allow of the pay
ment of dividends on the common stock
in any quarter when the full preferred
dividend has been paid up This, of
course, is an important provision.
Among the railway securities that show
ed most strength were again the South
erns, both preferred and common. The
January net earnings statement of the
was published during the day.
and 1t added to the generally optimistic
feeling regarding the company and its
securities. The increase in net was s9l 500.
The directors of the company will meet
on Friday to take action or the dividend
on the preferred stock. At least a semi
annual dividend of per cent is expected
went as high as IS 1-2, and closed at % 3-S. |
The preferred went as high as 10 l-2 and
closed at 70 IA.
The grangers were all buoyant during |
the greater part of the day, and although |
there was some recession from the top |
prices the net gains for the day were |
important The group was much more |
active than it has been for several days |
past. Burlington went as high as li6 and |
;losed at 1i5 il. Rock Island doomed up
10 125 rs, nearly two points. 1t sold off
point during the last hour. The Atchi- /
SONS were both strong, the common get
ing as high as 81 is. and closing at Sc "a. |
and the preferred getting as high as So
and closing at the top. St. Paul was a |
aggard, duh and rather weak.
Western Union was advanced nearly a
point net for the day, and closed at the
raded in, however. Apparently it is be-
ng gradually absorbed.
Amalgamated Copper was very strong. |
fulfilling the predictions made by some
IF the best informed people last week. 1t
ouched par at one tine, gain for the
lay of five points, ana a gain inside of
week of about ten points. The close was
near the top.
The traction securities were weak early
n the day, especially Brooklyn Rapid
Transit, but they improved later and |
,losed with as good gains as any other
securities. The talk in the morning when
he group was weak was that the en-
2loyes of the Brooklyn Rapid Transit are
likely to strike. The story in the after
loon was that the officers of the company
have no fear of strike.
The Tobacco securities were strong on
The passage of the War Revenue bill
\ syndicate has been formed which has
arranged to purchase from the St Louis
Railway Company 81 coo 900 |
Of second mortgage bonds at price |
y hich will net the company about $3.50 900 |
These bonds were held in the treasury |
"a meet expenditures made for improve
nents and betterments. An important |
provision Of their issue was that they |
could not be sold to reimburse the treas
Try unless an amount equal to their sell
ng price had been expended for improve
nents and betterments out of operating |
income during a preceding fiscal year Ii |
therefore follows that the cause for the
high operating ratio of the st |
souis Southwestern last year was the |
charging to operating account of items |
Tor new equipment and betterments of
various kinds AS the company has al
ready in its treasury 81 500, 900 in cash |
he proceeds of these bonds will bring up |
he total to $2,550.OO0 In May the interest |
IN the first mortgage bonds would call
or 500, yvu, and in July the interest on the |
Iecond mortgage bonds viii require $780,
100 AS the road is earning 900 net |
monthly, these requirements can be more
han met by the income during the next
our months. 1t is understood that the
preferred stock Will be placed upon a 8 |
ler cent basis very shortly, the first pay |
nent of IL per cent only calling for
10000.
THE CHICAGO GRAIN MARKET.
Ehent Dull and FentureIess. with
j