New-York tribune., 1901-02-17
financial.
The Financial World.

intimated here last week might be the case
Most of the leading stocks showed little mora
movement that the speculations of the room
traders might be responsible for. The big men
are busily engaged with their new steel COM
binatiOn; and this seems to have occupied so
much of their time and attention. that the stock
market was comparatively neglected. There is
also little feeling of uneasiness spreading as
to how the money market will act under the
operation of the new deals, which week by week
swell the loan account and depIete the surplus
1t is entirely probable that the surplus reserve
will disappear between now and the first week
of April After that it will build UP again.
Meantime we are likely to get higher money.
| Gold shipments seem 10 have stopped owing to
the decidedly improved financial conditions IN
Europe.
1t is stated excellent authority that the
amount OF cash which will actually change
! hands on account of the steel DEAL will be
| small-small, that is. when the magnitude of
the transaction is considered. The sum is put
| at not exceeding % millions. Probably most OF
! this goes to the smaller holders. who desire
| cash for their holdings in preference to other
securities. Mr.. Carnegie must necessarily take
securities for the bulk of his pay; but one OF the
| rumors in the Street during the week. whenever
| the market stirened up. that Mr.. Carnegie
was putting into stocks and bonds the money
he had received
Pretty good judges Of the market favor buying
the preferred stocks OF the steel companies
! rather than the common. The former get a de-
gree OF stability through the new combination
which largely eliminates from them their specu-
lative element; and at their present prices they
should be about the cheapest things the list
provided there was surety-reasonable. not abso-
lutte, OF course-as 10 their dividends. This
reasonable surety the new arrangements ought
TO give The new corporation will be too big
a thing to be made speculative football Of
1t must appeal TO the public confidence through
assurance that it's management will be both
efficient and conservative The nominal capital
ization has been talked OF at 500 millions. It Is
| a gigantic sum-but ii is about the present mar
ket value OF another Industrial corporation
the Standard of. which has a capital Of 100
millions and every 800 share Is selling above
| $500. The preferred steel stocks then, would
| seem 10 be the safest things to buy in this
group.
There s nothing new In respect 20 Union
| Pacific TO the stocks affected BY the suspended
st Paul deal. or the Atchsons. The latter
| tinue steady 70 strong. climbing up slowly. The
| declaration Of dividend on the common stock.
/ understood to he at the rate of 3 per cent paya-
! bic semi-annually will be made it is said rather
earlier than is commonly expected. The stock
II
| price during the week. and was not expected TO.
| II il remains in the state Of quietude dur
, ing the coming week. IL would not be surprising
The thing TO look after just az present IS the
! new bond which must be handled in the mar
ket by the sponsors all new things have
TO be until they get well distributed and so take
care OF themselves. The bonds were quoted
about 1OT yesterday. deliverable when issued
The special thing about them. apart from the
Vl,o +t,4. ll-~r
| five year call on Union Pacific at par
\ a large buying movement developed in Bur
Ilngton the latter part Of the week. and yester-
day the stock was up to 145 The position Of the
| Burlington road when the Union Pacific ac-
/ quired control Of the Central through purchase
Of the Southern Pacific became subject OF
considerable interest and speculation There
was material there for bear movement IN
| Burlington and II is more than probable thaI
| certain operators jumped hastily to this con-
clusion and put out considerable lire Of shorts
| in the stock which they have since taken IN
| with some haste and loss. Their reasoning was
| at fault in two respects; first that the Union
| Pacific people in buying Southern Pacific dld IL
| 70 secure their position and 10 MAINTAIN
peaceful relations with all other roads, ihe lasI
| thing in their minds being to make trouole TOT
any one Secondly. there appears TO have been
a previous understanding. express or implied
\ that whatever Encouragement or Faclhc SoaSS
lines should follow from Mr. Huntingtons death'
the Burlington should be absolutely protected
| Who was TO be the protector. or how the pro-
lection was to be done. we have no lnforIaVon'
hut that the Burlington was to be made secure
has been very positively stated by people VINO
ought to know whereof they speak The same
people recently intinated their expectations OF
seeing an advance In Burlington's market price,
Before Burlington attracted notice the atten-
| ton Of the Street was engaged by a rapid ad-
vance in Delaware & Hudsoa. and a coinci-
dent rise of three or four points in New 1oFA
Central The general market was dull and list-
less at the time and it was quite woke up oy
the nerformance Yesterday D. & II. scored
1I5 having started at $50 the day before II
was 154 last Monday. the rise was i
points for the week. The report is thar the
road goes to the New York Central on
euarantee-some say per cent and others
e Probably per cent is correct The direc-
tors II will be remembered sprung a little sur
prise early last month. in suddenly RAISING
their rate of dividend from TO .: and it was
a. serted at the time that the move was inau0
% force certain people who were buying th'
stock for control 20 pay higher price for IL
Control would seem 70 have been acquired X NJ
is true that the Central takes it over. AS
: per cent guaranteed stock ID. & H. snouIu
! be worth between $50 and 1S3. Morris q
Essex stock guaranteed at by the LacKS-
wanna sells above 100; but 1t has very sioW'S
worked up and is venerable nom age i"
d. & H. itself leases two small roads, the SuS-
quehanna and the Rensselaer, & Saratoga "h's7
stocks are quoted at 200; the dividend gud'd"
teed on these. however, is and per cen. 70
spectiveIy The Central could make a good INNS
/ r,sarr cant "a