The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1904-01-24
MONEY is PILING UP
THIS CONDITION Is Expected TO
IMPROVE STOCK MARKET.
Nicholas Says Wall street Looks for
Decision Adverse to Northern
Securities Company.
10 The Indianapolis Journal.


Sales 70 date this ear.......,....... o'--O' w
To corresponding date last GEAR To- 4"'sOo
Special to the Indianapolis Journal
NEW YORK. Jan. -. Money IL piling up in
Wall street very rapidly Loans being
pressed upon brokers at per cent. and under.
and call m r,ey rules between and II per cent.
II Is upon this ease OF money that expectations
Of better stock market are based.
= disparity between the price Of money in
the open market and the price Of good dividend
ayina securities l. bound to correct itself auto
maticslIy ia the natural course Of things There
are many good bonds selling at prices that
yield the investor anywhere from to per
cent, and with money worth only per cent
such securities look very attractive Two years
ago. when securities were selling basis OF ;
to Sis per cent. and money was worth 10 b
per cent. il clear to all sane observers that
securities must sell down to a parity with money
1t Is equally clear at this time that II money
Is going continue on per cent basis. Sc
curitieo must sell up again To parity with it.
Another effect OF easy MONEY is 10 stimulate ma
nlpniatio Ion; The Tools are now able TO borrow
on very reasonable terms. Lenders more le-
nient towards collateral and are now accepting
terms.
Institutions that employ large amounts OF
money natui ally seek investments yielalng from
TO per cent, when their money commands
Ohiy ger cent IN the open market. Two years
ago such institutions sold securities heavily on
the high level because the return them was
much less than the Irice OF money in the open
market A reaction appears now to be setting
IN. institutions that have been lending their
year or eighteen months are reinvesting It in
securities as fast as the loans mature.
II is generally assumed by the leading
financial interests here that the decision of the
Supreme Court in the Northern Securities case
WI he he
question being to how soon Il will be handed
down The fact is not disguised that decision
necessitating the dissolution OF the Northern Sc
curities Company will be a serious blow to the
MorSan-Hill interests and would be received with
great bitterness personally by Mr.. James j.
In recent speech before the Minnesota Agri-
cultural Society Mr.. Hill defended the principles
curities Company and dwelt upon the efforts that
he and his associates Chiefly himselO have re-
American farmer Certain features OF this speech
are well worth repeating. Referring TO the suits
hin said:
when we make a rate that is the lowest rate
world we have TO defend ourselves from the
State and the Nation because we are restrain
restraining trade II is said that if we have the
power the power must be used to restrain
trade.
They forget that in order compete with
the merchant marine OF every nation flying a
COinHlercldl nag on the high seas We must have
power 10 carry that trade TO the extent we have
carried IT, Who else has carried IL Who else
FOR IL? But they forget that the greater contains
the less. The power TO expand trade and build
rb up ana 9ake 6 great and 5 make 1t possible
at 30 cents more than II costs to send IL from
Minnespolis TO New York-that takes some pow
mails and we are defending lawsuits to-day be
cause we are charged with the power to carry
where. No matter how you exercise it. you are
a public criminal against the law OF your coun-
The depth OF Mr.. HI's personal feeling in this
matter may be judged by his remarks on the
theory governing the relations between the rail-
roads and the people. follows:
Now, you have always been in the habit,
think, of feeling that we at all times ready
to do anything in our power to help you. bu
when the exercise OF power i'm the carving nj
or the market that you are losing. becomes
crime and we lay ourselves open 10 fine and i'm
prisonment | have got to tell you that we d,
not not, want either. and you have got to See If you
to stand for or against your interest. AS fal
as we are concerned we are perfectly happy. A,
whether carry one barrel of flour or one mil
| lion barrels Of hour. There Is very little i'm II
But 5he5e Is his, In r, IT. have always hsle
greatest prosperity came from the greatest pros
| perty OF the people living on the line and I'M
| less we take the natural resources of tn,
country-and your natural resources are confne,
practically 10 what Is raised the farm--un
| less We can take the natural resources OF tn
| country to market where they can be solo
with profit to the man who raises them, VIII,
creates them the time is not far distant whei
we will stop creating them.
| You can sell out or abandon your farm. W,
cannot abandon our railroad. We might sell tn
| shares. but the railroad must be there IL
] under CONTRACT TO be operated and it has go
4 to be operated Now, l am not an Orienta
1 dreamer crank, but ! am ready at al
| times TO plead guilty to any intelligent efcr
/ within my power that will result In getting new
4 western country: because every bushel you TAX
| out of the market here every bushel YOU sem
| to a new market every bale Of cotton YOU SEN
| to new market. in fact everything you SEN
! to a new market helps what is left. The sur
to compete with our shipments to Liverpool
! or Antwerp.
|