New-York tribune., 1903-07-09
BONDS.
THE DAYS OPERATIONS IN STOCKS.

The DAYS OPERATIONS IN STOCKS.
Stock market trading was light in volume
throughout the day with prices generally ex-
hibting an Irregular tendency which left the
final level slightly above Tuesdays last quota
tions. Commission houses were not active trans
actions being confined, AS rule. 10 the opera
lions of the professional element Early sales
weakness In the United States Steel issues
COUNTLESS created ? certain amount Of uneasi-
nsss among speculative dealers. on the theory
that selling represented the sale of stock for
the account Of holders who believed that the
falling off in the company's net earnings in the
last six months. compared with the same
period year ago. reflected a serious change in
the position Of the iron and steel business in
this country. Il should be noticed that the
earnings Of the company for the last two months
have been up to about the best records ever
made by the United States Steel Corporation,
nd it should also be borne in mind that in the
last SIX months earnings have been heavy in
the face Of various factors of a temporary char
acter that have been working against the iron
and steel business. The strikes for instance
throughout the country in trades where iron
and steel are heavily used have been important
influences in reducing the earning power of the
steel company. In the early dealings there
2 fair demand for Missouri Pacific. Pennsylva-
mia Baltimore and Ohio. Atchison, St Paul and
Erie.
Buying of Missouri Pacific was accompanied
by the report that Standard OIL interests were
active buyers Of the stock. All the vast re-
sources of the Standard Oil people would soon
be used up if all the purchases made In the
stock market credited to their account actually
represented accumulation of securities by these
interests The Erie stocks, also Reading. ex-
hibited a fair amount of strength buying
that evidently represented professional opera
tions- News reports presented many features
that ought TO have encouraged greater activity
in the market. Western dispatches regarding
the crops showed splendid crop growing wealth
throughout the and wheat belts while
railroad earnings, reports from various trade
centres and bank clearings all indicated IA
vorable situation in this country's industries.
Further engagements of gold for export were
made. and the prospects favored additional
shipments in the Of the next few weeks.
Call money trife frmer, and in some well
Informed quarters the opinion was expressed
that higher rates for money would prevail
throuEhout the summer This theory was evil
IDENTIFY based on The expectation of a falling off
in the receipts Of currency from the interior
and continued shipments of gold to Europe. If
The movement of gold reduces the local bank re-
serves to a point encouraging higher rates for
money, funds from other sources will naturally
seek this market and serve to bring to an end
exports of the precious metal. As there is no
active speculation in the stock market there is
no occasion for uneasiness over the position of
the money market Il is thought in some cir
ces that tie strength in the foreign exchange
market is due in part TO the accumulation Of
exchange by the United States Government 10
Use in the Panama Canal payments.
Recent buying Of Baltimore and Ohio secur-
i-ies has been for the account OF interests who
well informed regarding the financial and
physical position Of the property In the last
five years the Baltimore and Ohio Railroad
has practically been rebuilt. Vast sums have
been expended in reducing grades in eliminat-
ing curves. in building cutoffs by which many
miles have been saved, as. for instance, the
Cumberland cutoff. which is nearing COM
peton. The extensive improvements that have
been undertaken on this property will be real
lied by investors when they learn that since
1896 over S1Ol 900 600 kas been spent on better
ments and general improvements. The policy
OF the management has been TO spend money
in order TO give the road a greater earning
power and TO make It one of the greatest rail
way systems in the world. It is figured out by
officers OF the road that the amount Of money
which they put into improvements Will bring
the road a return of at least J. per cent. I'm
provement work o. the Baltimore and Ohio
permits a greater tonnage being moved at a
cheaper cost It IS reassuring for investors TO
know that the properties in which they are in
terested controlled by capable and intelli-
gent men. who are using every effort in their
power TO make the properties the best in the
land. Under the receivers. when the Baltimore
and Ohio was undergoing reorganization, the
policy OF recOnstructing the road physically and
financially was adopted, and this work was
faithfully performed by Mr. Cowen and his as
soc.ates. and il is now being continued by Mr..
Ioree and his capable staff Of experienced rail
Ioac men. Throughout the four thousand miles
OF track owned by the company enormous sums
have been snent IN the last two years in double
tracking with heavy rails and in reballasting
with Tock