New-York tribune., 1902-09-07
flnanr,aI.
The Financial World.


advance Of certain selected stocks Tht,
out true Indeed it did not prevent an ado i
of the whole list. until the market a..
jumping: when the money rate rose 4,
which nut sudden check on its rnoyenAo+.
pulled it up short This occurred on Thu i
when call money opened at 8 per cent hts -,
since then it has only been below 6 wban 90 -
chief wants or the day were satisfied ana -
figures had no significance. Yesterday 80.
the bank statement appeared, the traders n,s.
a brief rush to sell the market and knock.d !.
off some fractions; but later covering causas
rally, and made an irregular close.
1t is well known that last weeks bank s,...
ment made the reserves of the banks -,
larger than they really were: while yestsrsa.,N
statement makes them appear worse tha, -
are-racts due to the average system Anv,.
however, the reserves are low for the boof.
ming OF the crop moving season; and the ~
cipal topic in the Street at this time 1. ~
money question. All things are favorable 20
Dull market, big crops. great traffic. gena-o,
trade active; and the strongest confidence ..
the public In the future-but, for the ROW..
there is this question Of the norey noyeme,tv
and uncertainty whether the currency mo
chinery may not be disarranged far enough 70
give some trouble
n
hesitating market for a while; until it can ,a
seen how far the Treasury will be abIs -
help, or how high interest rates must be main
tained to draw money from the other sid.
There is always money TO be had; it is s;r,nl,
a question of how much must be paid for ~,
use.
The stock market almost boiled from Tuss-
day till Thursday The pace was too hot 70
last Friday and yesterday. there was cooI'ng
down; and some stocks which had shot nm
most. came down rather suddenly. This wa,
notably the case with Reading. which f,1rfou,
buying movement rushed UP from 20 to 7S in
two days; and which yesterday had got hack
to closing price of 80 Pennsylvania had gone
from 163 to 40. and later lost several points ~
this But St. Paul was an exception. in that
going from 1S6 to 191. it held yesterday ar
nearly the top figure
thursday next is the day for the St Paul d.
rectors TO act on the dividend and the rurnor
mas been current for some time that it will be
raised TO per cent Even at this rate St PauI
at $50 would seem to be a pretty high priced
article. particularly with the money rates wbsrs
they are; and the explanation of the strength
OF the stock at these figures must be sought in
the fact of its great accumulation by the Stand
ard Oil interests. IF the dividend should not be
increased II would mean that the controlling
interest In the company had other purposes in
accommodating the stock than a present advance
IN the dividend rate
1t will be remembered that the objection to a
leasing OF the st. Paul at a guarantee Of : per
cent, by the Northern Pacific party. compelled
the latter to lease the Burlington: and the OBJ
lection has since been known TO have really
come from the Standard Oil people though it
did not appear so at the time II they declined
Z per cent then they have not been buying the
stock at higher prices since simply to get that
rate.
The cause OF the wild rush in Reading is much
disputed. It had all the appearance Of COM
petitive buying: wherein one party. finding IL
had secured enough stock. drew out its buying
orders, thereby causing a quick decline The
common belief is that the Pennsylvania Is the
majority owner holding through the B. & o.
also, there was some buying OF
the stock on the expectation that the coal
strike was to be Immediately settled; but the
attitude Of Presidents Baer anc
TruesdaIe disappointed this.
When this strike IS over. there will certainly
be discussion of ways and means for avoid
ing such a serious public inconvenience III the
future. The thing is too big 10 be allowed to
drift Some way ways Will have to be found
by which the production OF the fuel supply OF
the Atlantic seaboard can be regulated. and the
enormous cost and inconvenience 10 the public
involved In strikes like the present may be
avoided This is one OF the questions OF the
future.
1t is quite probable that the strike settlement
expectation had also much TO do with the Dig
buying Of Pennsylvania stock. which also fell
back when the expectation was disappointed
that Pennsylvania will sell at I'0
Or 200 this year, has been more than once as
serted in this column; not. however. as posi-
tive prediction for the time limit but as con-
ddeut expectation. The enormously increasing
earnings of this great property-the greates'
railroad property in the United States. If not In
the vgorld-rnakes IT sure as the sunrise thai S
stock will see a price of 200. although IL ma
not between now and December next And Il
with this it may be noted that tns
managers do not find it necessary
to resort 20 strange devices and contriVaness
IN the way Of stock voting. to retain controL
One Of the stocks which. like ST. Paul. hela i's
ADVANCE at the close of the week, was Missouri
Pacific; and perhaps it may be added thaI OO'''
--nfon Pacific and Atchison came very close De-
hind Union Pacific is already showing tn0
.rects Of an accumulation by powerful capitai-
sts sucb as we see in it's full fruitiOn in 81
Paul: and no matter what temporary huctua-
ions NAV be caused by a disordered money
market Union Pacific is a good stock TO tie y
in the opinion of men who have mace thell
Millions by their ability TO see ahead "Ala'
vas pointed out here last week. in respect to
Union Pacific and Southern Pacific may De re-
aIed now-that when the latter begins paylhs
dividends. the former as the largest stockhoiuel
# the Southern Pacific will at once have a Ois
ncome poured into its treasury.
nornentary chill struck the Street on 'ie
lrst reports of the accident to the President al
but II illustrative OF the cOh-
non belief in Roosevelts luck. that even Win