Evening star., 1902-08-23
FINANCE AND TRADE
Selling of Southern on Divi-
dend Account.
CAUSE OF PASSING 1T
GOOD POOL BUYING IN SOUTH
ERN PACIFIC.
Bank Statement Shows Some Very
Satisfactory Conditions-Decreass
in Loan Account.
CAUSE OF PASSING 1T

Special DISPATCH to The Evening Star.
NEW YORK. August 23.-Today's stock
market was decidedly firm in tone. in spite
Of small volume of business and in sew
eral instances substantial net gains were re-
corded. The late action of the Southern
railroad at yesterdays meeting i'm postpon-
ing the dividend on the preferred stock in
order to prolong the life of the voting trust
had almost no effect on the prices of the
company's stocks
In some quarters an imperfect under
standing Of the action led to small sales.
but large holders understand the action to
be a mere device to strengthen the position
of the company until after the settlement
of the Louisville and Nashville matter.
Southern railway is a factor OF first i'm
portance in this settlement from the Nor
gan or voting trust standpoint and i; is
imperative that the road should be kept as
it is pending the completion of the pending
negotiations.
Since the device has been resorted 20 In
connection with Southern II is not unlikely
that the dividend on Reading first preferred
Will be similarly treated. there are uu-
doubtedly questions pending in the hard
coal field which can be best handled by
few men.
The coal stocks were strong throughout
the day under a good demand large lots
of Erie and Ontario and Western being
taken at the best level OF the week
Activity in Pennsylvania Baltimore and
Ohio and other lines controlled by the first
named company was regarded some
what significant, especially in view of the
often repeated statement that developments
OF Importance are pending in this group.
r or the most part hgh-priced issues have
been neglected during the week. but a ma
Jorlty of them were strong under today's
limited dealings.
Western Union was forced up vigorously
toward the close of business, running sales
OF more than $1,000 shares carrying the
price within a fraction of o6. The short in
terest were said TO be buyers but there is
unquestionably something more substan-
tial behind the demand for property
which is threatened with the loss of the
bulk of its eastern railway business.
Consultations are hinted at. and buying
Tor control and all the rumors apple bic
TO such movement have been used, but
firmation.
The pool in Southern Pacific took advan-
tage OF the newly issued circular which
they have offered in explanation of the
advance. and upon which are based argu-
ments for still greater market achieve
ments, to force the price to a new high
Level.
The company is doing remarkably well
In the matter of earnings, is one of the
most promising systems I'm the west in
fact, and could better afford to dis rfbute
. per cent dividends than many of its
neighbors, but for all of this the present
which has some hundreds of thousands OF
shares OF stock for sale.
The publication of the circular while max
ing an exhibit of facts, merely must be
considered as an invitation to an unappre-
ciatiye public to buy around ~ the stock
which the pool accumulated in the sixties
Should the invitation be accepted the result
To the patient holder of the stock should be-
entirely satisfactory. The keene pool i'm
Southern Pacific, aided by friendly interests
In Union Pacific, are working speculatively
IN a property with prospects superior 70
Missouri Pacific from an investment stand
point. 1t does not follow that the new
buyer Will get immediate results
The bank statement helped sentiment and
is to be credited with the strength of the
general market at the close. An increase
OF s2,6l6.i50 in Reserve is shown and a de-
crease of S1o.46O, leo in loans is an especial
ly good feature. The changes are largely
a matter of bookkeeping, since the banks
hold S3J0.ot0 less cash than last week
shltting or loans to trust companies and
a decrease of S11 .976,2oo in deposits make
the changes possible.