Evening star. [volume] (Washington, D.C.) 1854-1972, 1902-04-15
FINANCE AND TRADE
Prodigious Dealing in South
ern Railway Shares.
J. W. GATES PURCHASER
OVER so PER CENT OF STOCK
SOLD
General Public All at Sea as to
Meaning of the Pur-
chase.
J. W. GATES PURCHASER

Special Dispatch To The Evening Star.
NEW YORK. April 15.-The broncho ele-
ment in Wall street is to be credited with
arother sensational achievement, this time
in Southern Railway common. Following
hard upon the midnight conferences of last
evening came the announcement that
corner would be worked in Louisville and
Nashville. and that no danger impended in
that direction. The street believed that
Southern railroad had acquired control of
Nashville and the episode was thought to
have been happily ended.
To the surprise Of the financial COM
munity furious buying demand
started in Southern directly at the opening
of the market. The size of the individual
lots bought varied from $50 to 10000 shares,
and in several instances the tape recorded
running quota tons of more than 10000
shares The first hours trading aggregated
$'Ssn shares or practically 5000 shares
d minute.
Up to noon the transactions in Southern
common Were 100000 shares, and The total
sales of all stocks had passed the million
share mark The trading in Southern dur
Ing the forenoon covered more than so per
cent OF the total issue. The Gates party
Were buyers. but for whom or for what
purpose not disclosed An advance of
per cent was the maximum recorded on
this almost unprecedented volume of bUsi-
ness.
There are reasons for believing that the
Morgan interests were thoroughly aware
Of the Gates program. and there was no
suggestion of concern over this new move
ment. Mr. Gates issued a statement to the
effect that he and his friends controlled
Louisville and Nashville. and that Messrs.
Morgan * Company had been asked 90
arbttrate between him and such interests
as had sold him stock.
The firm mentioned is said to be prepar-
ing statement of its side of the case, and
the Belmont party is said to be contem-
plating some public statement. The exact
facts are hardly likely to come out at this
time The average broker is all at sea as
10 the meaning of the sudden advances in
the southern roads. and there but few
banking houses absolutely in possession of
the facts.
There is no doubt but that competition of
a most aggressive character was in
progress for the control of Nashville before
the Gates party discovered the opportunity
for making capital out of the contest. An
other western railroad other than Illinois
Central, possibly Rock Island, was contenl-
plating acquiring an interest in Nashville
and the discovery of this fact made the
southern hurry along its plans for staying
IN control OF the southern rate situation.
While the Gates circular SAYS the pIir-
chase was for investment. it is likely that
such invest ment was for the account of the
Southern railroad. Each day brings to
light some new reason for taking the new
leaders of the stock market more seriously.
There Is something more than chance in
their plans. and no matter how speculative
their ventures may be there is an unpleas-
aut capacity for attaining results which is
quite as significant as anything yet seen in
the stock ma ket-
IN spite uf all that is unusual In the
W-ek > trading there has been no neeIsct
of The general market.
lille attention centered upon Southern
today. time was taken TO advance. St Paul
ana Northwest m in the interest of ma king
broader market. Atchison ana Southern
Pacific were reported 10 he upon the verge
OF upward movements. the pools in both
making plans for continuing the DELAYED
advance Here are TWO PROPERTIES WfIfcb
Gates methods could put 10 par
The buying of the coal stocks was good at
times. and there was further covering of
short stock in Anal gamated Copper
The enormous volume of the trading re-
suited in u feverish condition toward the
close OF the day. ard final prices were I'M
der the best i'll most Instances