The Savannah morning news., 1904-01-03

New YORK, Jan. ls--OtOChS 80 lhtO
.he new year averaging about $40 a
enare higher In price than at the low
ohb of the market three months ago.
some of the higher-priced ''fancies"
,,ove enioyed much greater rise than
en- but the average improvement APP
,roxinates that figure. War in the
Ear East may stop further important
,mprovement for the time being, but
tbe general tone of the securities mar
tet is hopeful. The patient was very
sick. however, and permanent restora-
tion to buoyant health cannot be look
Cd for in a day. The prevailing opin-
ION among those whose views are
worth having is that further recovery
IN values will be at a somewhat slower
mace than that witnessed since the
middle of December. The common ex-
pectation is that there should be a
continuation of improving conditions
until we'll along in the spring, at least.
It will be surprising if the approach
of the national conventions of the two
great political parties and the Incl
dental agitation does not operate
I'm the stock market count with almost
certainty on the bad effects of pres-
Dental campaigns. 1t is of common
belief that the nomination of Mr..
Roosevelt will be followed by the nom
nation of a conservative Democratic
candidate, situation which may fore
shadow a closer election than in 1896
and 1900. In round figures, transac-
lions in stocks on the New York Stock
Exchange were 160,000,000 in 1903
against 190,0O0,0O0 in 1902. Bond sales
were less last year by 5000, OOO,O 900 than
during the preceding year.
The election of Mr.. L. f. Loree to
the presidency of the Rock Island
System is regarded by the owners of
the property and by railroad men gen.
orally as a move of first Importance.
Mr.. Loree was slated for the presi-
dency of the Pennsylvania System
whenever Mr.. Cassatt might lay down
the duties of that Office. To railroad
men the presidency of Pennsylvania is
the highest official position to which
the best of them can ever hope for.
1t is like the appointment of chief JUS
tce of the Supreme Court of the Unit
ed States to a lawyer. For Mr.. Lo-
rec to abandon his chance in that dl-
rection to become the official head of
the Rock Island System carries with
it the conviction that he must have
been fully assured of the tremendous
possibilities of the property with which
he has become identified. 1t is addi-
tional testimony also that the Moore
Red-Leeds combination went into the
property to develop it physically and
that they are proceeding along saga
70 70
end. Mr.. Loree grew up in the rail-
road business with Mr.. w. B. Leeds,
who retired from the presidency of the
Rock Island in his favor. The two men
were in the engineering corps of the
Pennsylvania together out in Indiana
and Ohio twenty years ago. They
became division superintendent of the
Pennsylvania System at the same time
and worked together for ten years or
more. 1t was Mr. Leeds hope when
he became official head of the Rock Is
land two years ago that he might in
duce Mr. Loree to take the position
very soon. 1t was not until lately,
however, that 1t was felt that the
proposition was big enough to be at
tractive to one confronted with the
moral certainty of nearby elevation
to the Pennsylvania presidency. Not
even the offer of a salary of $4,000
year with nothing positively in sight
beyond that could be considered as an
inducement to a man of Mr.. Loree's
calibre. Mr.. Loree will be given free
hand in the management of the Rock
Island, which has grown into a system
of $4,000 miles. He has concededly
big job on his hands, but without
question he will prove equal to it. He
will be in command of an army of
about $4,000 employees. The lines of
the system extend through eighteen
states and -1rritories having an area
larger than all of the United States
east Of the Mississippi river.
An Old World war should not in
juriously affect American securities for
any considerable period of time. The
bulk of our stocks and bonds held
abroad are in the strong boxes of rich
men. and most of the remainder are
owned by a class of conservative small
Investors in Holland, Belgium, Germany
and Great Britain. Speculative hold
ings in foreign countries are small
er now than ever before. 1t is also
of current belief in financial quarters
that there is a smaller volume of our
stocks and bonds held as collateral by
foreign banks than at any time in
seven years. In point of fact the
American floating debt abroad which
two years ago amounted to probably
S4O0,OO0,000 is almost wiped out. The
trade and money current is running in
our favor at this time as shown by the
recent large importations of gold. Rus
STA and Japan are known to have made
heavy purchases of food supplies, and
this in addition to the ordinary volume
OF exports will still further strength
en- our relations with Europe.
A scrutiny of the personnel of the
directorate Of the United States Steel
corporation should be sufficient to
set at rest many of the wild stories
anoat about the summary ousting of
the Morgan control from that corpora
Ton. The directorate is made up of
Wenty-four men who are elected an
hually in groups of eight, each group
serving three years. AS the board
now stands it is overwhelmingly Nor
gan Mr.. Rockefeller and his friends
could elect the entire eight members
at the annual meeting next February
ana still be in the minority. 1t is abb
surd to suppose that the Standard on
crowd has secured an actual majority
ownership of the shares of the corpor-
%tioIl' ana thus far no open effort has
oeeh made to secure proxies. There
ore nearly 100000 shareholders all told
una down to date there is no reason
~ suppose that any great proportion
VI thls immense army of owners would
oeny their proxies to the present man
"eeihent in the event of a fight for
iSoltroI. At the same time It is well
sNuoWn that a slow process of reorgan-
iAdCl0n is pOin~ on ora a. NOV No