New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1904-09-29
BONDS.
STOCK MARKET OPERATIONS.


Early strength in Yesterdays stock market
was followed in the afternoon dealings by re-
dictionary tendency in many issues, but at the
close the greater number of shares showed ad-
vances as compared with the preceding days
final figures Selling pressure in the last half
Of the days session was heavy i'm Union Pa
cifc, Southern Pacific. 81. Paul. Pennsylvania.
Atchison and United States Steel preferred,
sales OF the last named Issue. however. having
little influence on the price of the security,
which in the final dealings exhibited renewed
strength, closing AT a net gain of = per cent.
In some circles II was thought that the bull ele-
lnent Old up the price of this stock IN order to
cover its sales in other parts of the list; hut this
failed TO create bearish sentiment in commits
sion house circles and among board room trad
ers. the general opinion fayoring the theory
that the interests in control Of the current
market are not yet ready to change their specu-
lative position, People who are favorably in
clined toward the Steel shares predict a price
of so for the preferred while they are disposed
10 believe the common stock. which is not In
line for dividends at present, will move with the
preferred toward a higher level Estimated
earnings OF the United States Steel Corporation
for the current quarter indicate marked i'm
provement over the results of the preceding
three months, and it is confidently believed in
circles where the course OF trade is closely
watched that the improvement which the con-
Germ is enjoying at present will continue in the
rest Of the year with increasing strength.
Leading bankers in Wall Street are conserva-
lively bullish over the general situation. and
while they believe that a speculative reaction is
due, they do not hesitate to encourage invest
ment purchases especially of such stocks as
Hew-York Central and Canadian Pacific. The
latter stock a strong feature yesterday in
the local and London market and tie character
Of buying suggested a materially higher quota
ton for this issue. The earnings of Canadian
Pacific show remarkable increases each week
over last years results, and as the outlook for
further progress in general industries in Canada
IS promising while the agricultural situation is
unusually good, the expectation Of further gains
in traffic receipts fully warranted Immi-
grafton into Canada has been large in the last
three years, and the erection Of many farm
and town buildings and the purchase OF ma
chinery and general supplies incident to the
growth IN population have been important fac
tors in the increase in the Canadian Pacifc's
merchandise traffic In 1875 manufactured ar
ficles carried over the Canadian Pacific amount
Cd 10 10000 tons. while in the last year
3l1900O ions were carried The growth in
trafic in manufactured articles in the last eight
years is 200 per cent, and in other articles 500
per cent, the actual increase I'm tonnage as COM
pared with 1925 amounting To 6.S5l 229 tons.
The buying Of Canadian Pacific stock has nat
urally attracted attention to the so-called 500
securities. which represent the Minneapolis 81
Paul and Saut ste Marie Railway. which is
controlled by the Canadian Pacific Railway
This company occupies most favorable posi-
tion for the handling OF grain and other traffic
In the Northwest including traffic that comes
into this country from Canada. and its financial
position is such 10 encourage good opinion
Of its stocks.
New-York ontario and Western was an active
strong feature in the morning dealings. but lost
its Improvement in the afternoon. its maximum
decline amounting 10 over 1 per cent. The an
nouncement by the president of The company
At The stockholders annual meeting yesterday
that the management proposed 10 declare divi-
dend Of 5 per cent on the stock induced a certain
amount Of speculative buying in the issue. but
when Il became known that the money TO pay
this dividend would be raised through an issue
Of bonds sentiment on the stock became less IA
vorable, while liquidation Of speculative accounts
Nas reported. The management Of The Ontario
and Western admits the necessity for further ex
penditures on the physical condition of the
property. yet * adopts 2 policy toward the
stockholders in regard 10 the payment Of divi-
dends which VIII not lie commended by conser-
native investors. The company proposes 10
make bond issue of $1,000 O00. the proceeds
Of which viii be used 10 continue the work Of
Improving the property and to pay per cent to
the holders Of the stock. the dividend payment
terminating the voting trust under which the
company has been managed for many years II
the directors merely desired to end the voting
trust they could have declared a dividend of /
per cent or less, ana the wisdom OF their deter
Haination 20 make disbursement OF o per cent
naturally viii be seriously questioned In bank
ing circles
OF the acti-e securities, Atchlson, Erie and
Ontario and Western closed at net declines
while United States Steel preferred, Union Pa
ciic, Rock Island, Reading. Missouri Pacific
metropolitan issues Anaalgamated Copper and
American Ice preferred ended the day at net
gains. Activity which resulted in a net gain Of
"a per cent in the last named issue was not
accompanied by news developments affecting
NE property. and apparently the movement was
due entirely 20 a purely speculative attempt
20 advance the price OF the issue. Strength in
Louisville and Nashville resulting in net gain
Of rs per cent. was due to buying induced by
INC report that the stock would be placed on a
per cent basis. Reading was one of The
strongest features IN the afternoon. and. next
10 united states Steel preferred. il was the
most heavily dealt IN issue Ia the list. The total
OF tfaoiLS showed an increase over the preced-
ING Gay, although the transactions We're not
Wen distributed. Money rates remained IN
eAai'Seo' "tAe sterling exchange was weak.