The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1904-06-19
STOCK PRICES
A TRIFLE BETTER
-a -
Fever in Southern PaCitiCs Has
About subsidized.
CROP WEATHER FAVORABLE
AMPLE SUPPLY or MONEY FOR
ALL DEMANDS.
CROP WEATHER FAVORABLE

New York June 1S.-FiuaI traaEac-
tions Of the week iu the stock market
hardened prices trine but the deal
ings were small and without signln-
canoe. The fever Ia Southern Pacific
subsidized and the freedom from pres
sure of that stock relieved tie general
list from the sympathetic sagging LeIi-
dency present since the preferred stock
issue was announced. Weather in The
crop regions continued favorable, and
the money supply is SO ample for all
demands that there is little pressure
upon the market. I'm the absence of
any positively bad developments south
ern Pacific made a languid recovery
and then lost practically an of il at
the close. Amaigamated Copper gained
Opint on the strength of the reports
of recent large sales OF copper both for
domestic and export account
The very conservative tone OF the
mercantile agency reviews as TO the
general course of trade had a repress-
i've effect on the speculation I'm stocks.
Computations OF railroad net earnings
for April show the effect of trade iu-
activity, small grain and cotton move
ments, the backward season, the Colo
lad0 labor troubles and storms and wet
weather in the southwest. But 1T is
pointed out that The proportion of the
average decrease IN cleaTugs is small
compared with the successive increases
for eight or ten years past The iu-
crease pa the bank surplus concerned
pretty closely to expectations and re-
Fealed 10 change I'm conditions existing
Tor some time past, and was little no.
tced. The holiday in London added
10 the dullness of the trading.
Total sales Of bonds, par value, $685..
COO.
Review of the Week.
The dealings in the stock market
have been rather larger this week and
the price fluctuations wider. giving the
market an appearance OF greater ami
nation The fluctuations have been
both upward and downward and the
general level OF prices has not moved
Iar IrOm that OF last week. Business
has been cOngested in a few stocks iu-
nueuced By special causes, and the
sharp upward movement iu these has
helped the general market. The most
notable Of these special movements
was that i'm Union Pacific and South
crn Pacific as an effect of the plan for
new preferred stock to be authorized TO
the amount OF Sl0G O00. coo and TO be is
sued az once TO stockholders at par to
The amount of &40.GO0, 900 to- have z per
cent dividends prior TO the common
stock The knowledge Of this plan be-
came public by pieCemeaL tie first re-
ports being without official cOuirmat-
ION. The result. was some skepticism in
the stock market, where the project
was a total surprise and much debate
and confusion as 10 the merits and eff
iects Of the plan Opinion on the sub
.1ect was not definite up 20 the end Of
the week. and the stock market con-
lInued much unsettled iu consequence
lts Importance and its probable large
influence on the market were uudenia-
bic, owing 20 the magnitude of the
Ia flr M ar
relative advantages or Disadvantages
90 Union Pacific were also eagerly cam
Eassed, and with varying effect on
those stocks Very generally the con-
ciuslop was reached that the plan was
sort of compromise between the gem
eral refundiug bond issue which had
been expected from Southern Pacific
lgr maturing and underlying mort
cages and 10 provide FOR immediate adj
oluOnal capital needs and the device so
comomnly employed of late by railroad
corporations of issuing short time notes
Tor current capital needs.
Conditions Not Favorable.
Conditions are avowedIy uupropiuous for
the tlotation Of large bond issue not
Withstau1iug the recent evidences of inn
proyement iu the market demand for
railroad bonds. The privilege reserved
stock at 10 for five years after July 1893
points 90 IT. as intended for temporary
eANe4ArlN MllA the FSfuultnE bonds Il
probability on the first pr0pilious 0c-
casion. Carreut criticism was inclined
% imply a superior advantage for Union
Pacific In the plan which Union Pacific's
control of Southern Pacific made I'D
responsible for Southern Pacific's large
floating Indebtedness 10 the parent COM
pany FOR advances Tor Improvements and
Union Pacific's S900090GO of Southern
Pacific stock made the parent company
q beneficiary both OF the new stock sub
EcripttOn privileges and OF the proceeds
of the sale ON the other haud its large
holdings Of Southern Pacific make 80 a
large shafer In any disadvantage 90 that
company.
The disadvantage Of am authorized
stock issue entitled to 100000 of annual
earnings iu priority 20 the common stock
claims. although carrying common
stock privilege 30 subscribe at par TO the
preferred proved rather formidable TO
holders OF Southern Pacific and ID was
freely sold. The divergent movement in
Nnion Pacific and Southern Pacific be-
alme less marked after the first am
uuunCemeut of the plan. but was cause
of much unsettiement OF speculative
sentiment The firm undertone of the
market was attributed 10 the promising
condition OF the crops. which had favor
able weather conditions during the week.
AZ favorable outcome Of the years crop
is universally considered the essential
factor iu the future of the market
United States 2s old, 4s REGISTERED and
The As advanced p and the old fs coupon
q per cent ou call during the week.