New-York tribune., 1902-06-29
GnGurla..
The Financial World.

! as small as usual, DuJ enough was done Ia sho-
how firm foundation the market has If anv'
thing comes along TO give it a knock If ,oa.
off little, then recovers in a slow, steady Wa
and goes plodding along as before. The loves.
prices of the week were made on Tuesday wba,
London sent in before our opening long liza, =.
low quotations, caused by the shock their mar
ket had got from the sudden illness of the Kin,
Those stocks which are most traded in ovs,
there like Union Pacific. ST. Paul the Atchjson,
the steel stocks. and some Others were fresly
sold by the foreign houses They found sofia
buyers here. however: and the close Of tba
week saw prices generally higher than at N.
start.
The market really received on Tuesday onIv
a sentimental blow. because if King Edward
had died under the surgical operation his 90,
would have stepped into his place without aov
of the operations of Government being dir
IL rbed ard with no change in its policy; "a.
that is determined absolutely by Parliament
through the Cabinet. which it makes and un.
makes. Such change as that indicated would
be of greatly less Importance than occurred
when the prudent slow stepping Mckinley
was succeeded by the impulsive roush-ridiny
Roosevelt. In the two Governments respective
ly, the President is real power; the King, not
much more than an influence
mental decline rallied easily, under the lead o,
ST Paul The persistent buying Of this stock
marks it as buying for keeps. and evidently
the people doing it don't want interference; for
when, a short while ago, a well known trader
went in and bought heavily. the other people
simply smothered him with stock. When hs
had to let go, they resumed their buying as be-
fore. There was also. on Tuesday, some large
selling from the other side OF Union Pacific:
but the sales were quietly absorbed. and the
buyers seemed much more willing to take the
stock than TO advance the price; which also has
an appearance of buying for keeps.
Other stocks which led in the rally were Mis-
souri, Pacific and Illinois Central The latter
crossed 160 yesterday-a figure predicted for IL
in this column when II was selling around 40
Nevertheless IL has been rather longer in get
ting to 100 than was anticipated then The
Gould people are credited with putting up Ms
souri, Pacific. and bull points on the stock are
current from that source for 125. To them, also
is attributed buying of the Wabashes; also to
the Pfttsburg crowd who believe that Carnegie
has invested considerable money in them. in
connection with the road he projected west
from Pfttsburg to unite with the Wabash sys
tenn. Out of this has grown the quarrel between
the Goulds and the Pennsylvania people. result
the Pennsylvania's lines.
The strike matter has been less talked about
than it was The latest news is that the coal
operators will soon make a determined attempt
to work certain selected collieries. taking this
aggressive action to break the strike. II IS
probable this will bring matters 70 focus; and
IL there is to be any shooting and killing done
in this struggle as in former ones. IL may be
pected to occur when these mines are started.
What the strike is costing the Reading Com
pany is shown by their May statement, which
records a net decrease compared with last
wear OF over 100000 The decrease must be
still greater for June.
The recent large buyers Of Reading stock
however. are people who have the best means
of knowing exactly what the company is doing
and have therefore bought in the knowledge Of
these large losses. which they know well enough
are only temporary. There was some decline in
the stock however, when it became known that
our understandable President was getting ready
to mix in this mining scrap also, and had sent
the papers to the Attorney-geueral to find an
opening II must be confessed the Wall Street
people are becoming little disconnected at the
eagerness OF Roosevelt for unlimited scrap
hungry to get into it.
but they rallied later. What may be the out
come Of the suit in the Jersey courts is doubt
full; but taking a business view Of the con-
tested proposition some figures on it may prove
enlighteuins. supposing that instead Of the
company making the proposition it did, 1t had
undertaken 10 sell 30 millions more OF per
cent preferred stock. II could not reasonably
have expected to net more than 80 for it. Thsn
the cost would be this.
so millions at 10 per cent Of, s5eeaS
Seven per cent in dividends 9.0o
First years COS! !s:;i $ssSSS
Cost in fifteen years.
supposing, again, ii issued 80 millions Of
per cent bonds straight. The net to the COM
pany might be put at 80. Then We have this
50 millions at per cent -.9 on Ss9SSS
First years S S S9SSS 8SSSsS
-. = c,,..r year.. ...............- so,oo000
Now we take what result would be reached
by the proposed plan of combined conversion OF
preferred stock and issue Of bonds; and u
found to he this:
go go aiiIas miI0as at at Per Per ssOoeoo
Saving the first 81 csoS ~
Saving in the next fourteen 2IOOooo
Saving fifteen ~
Deduct cash syndicate. lvVeu
saving In fifteen years. --Sl-9eV''0'
There is the mathematical calculation upon
which the original proposition was based ~
may or may not be defeated in the courts Ou'
as a business proposition. has any one come
along with a better?
A couple of companies have passed dlVif@A@'
during the week. The row among the directors
and others in Colorado Fuel is responsible lof
the passing of that dividend. and seems to p1'
the issue squarely for the future whether GaI1'
DR. Osgood is TO control the company. The nsa-