New-York tribune., 1902-04-11
BONDS.
rHE DAVIS oPERAT1oNs IN sToCKs.

THE DAYS OPERATIONS IN STOCKS.
The remarkable activity and sensational ad-
vance in Louisville and Nashville stock mo
ropolized attention in yesterdays securiues
market. Opening at 1141a 10 i15. as against
HAS Wednesday night. the shares soon sold
up TO 100 from which price there was sradual
decline 116. with the closing at llo net
gain of 3N points The movement in this stock
exerted a somewhat depressing effect on the
rest of the list early sales being made on the
theory that corner existed in Louisville ana
that trouble might develop in consequence The
Street has horror OF corners. The Northern
Pacific corner frightened and injured the market
and its spectators and the impression OF that
serious event will not wear away for years to
come While Louisville advanced, the greater
number Of securities declined, the downward
tendency continuing until the close Losses
however, were not, as a rule. large. the heaNlest
declines among the active issues being maze
by St Paul Missouri Pacific and Union Paclffc
Some of the specialties which recently enJoyeo
sensational advances suffered sharp declines IN
the course Of the day In the industrial group
General Electric after advancing 3l2 per cent
declined 6 points. while Westinghouse lost IL
points. closing at a net loss of points Heavy
realizing sales We're made throughout the list
Louisville and Nashville compelled the selling or
stock elsewhere in the list. Total dealings in
all stocks aggregated 1179010 shares. Louisville
and Nashville supplying nearly 2So.ooo shares.
II is quite generally believed in the Street that
the rise In Louisville and Nashville and South
ern Railway has been due to pool buying by the
wealthy financial Western interests that have
for SO long q time dominated speculation
Interest in the railway stocks is justified by
the conditions governing the intrinsic value Of
the securities While the upward movement
in Louisville and Nashville may represent
manipulation or an incipient corner. the ad-
vance is warranted by factors which are making
tne Louisville and Nashville securities equal TO
the best investments now listed the Stock
Exchange The Louisville and Nashville Com
pany has made wonderful progress in the last
few years And the same may be said Of the
greater number of railway systems in the coun-
try II is impossible TO appreciate the CONDITION
of the railways in the United States without
taking trip over the various roads. The men
who have travelled in the last year throughout
the United States are the heaviest buyers OF
stocks in the current market, their operations
being based on personal information regarding
the properties in which they willing to
invest their money. The so-called Western ele-
ment in the present market is made UP Of men
try, and their transactions for higher prices are
based on convictions formed by close acQuaint-
ance with existing facts. The men who have
beer buying Rock Island. Louisville and Nash
willie. ST Paul, Southern Railway and other
issues have accumulated information. and they
are acting on it. The railroads in the South
and Southwest are making money Companies
the shares Of which were a few years ago con-
sidered worthless are building up a business
that means dividends for stockholders. I'm
provenent in the industrial position Of the
Southern States has come to stay, and operators
who are figuring on a bear campaign because
they believe that railroad prosperity will not
endure are making a most unfortunate blunder.
Southern Railway shares have been in good
demand in the last few days at advancing
prices The Southern Railway is the trunk line
Of the South Its physical position is constantly
being improved, while the country through
which il runs is RAPIDLY growing up TO the COM
panv1s mileage Southern Railway officers be
lieve in helping the industries along the lines Of
tine railroad, and as consequence there has
been in the last few years remarkable increase
N business activity in the small towns and
cities and surrounding country through which
the Southern Railway runs The traveller over
the railway systems in this country soon notices
that all the companies making active and
successful efforts to encourage industrial de-
,elopr1ent in their territories. The railroad
companies not doing this in the interest OF
philanthropy. Their work, however, Is helping
the country and establishing investment values
on plane Of greater stability. There is nc
reason TO believe that the present wave of rail-
road prosperity is near the breaking ne. In
deed the general position Of industries in this
country suggests that the present situation Is
too strong 10 be upset. by most extraor-
dina-y and unusual Developments This does
not mean that securities Will advance without
halt or that higher prices may be expected for
n1any Of the issues that are already selling al
ouorGficns commensurate with their actual
worth It does mean however, that investment
values are IN no danger Of collapse. The cheap
priced railway shares ana the attractive in
d,lstrials ought to sell higher There many
good industrial issues backed by sound indus
trial enterprises and at no remote period those
securities will be advanced to a level more in
teepine with their Intrinsic worth.