The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1905-04-06
STEFLS CONTINUE TO
ATTRACT ATTENTION
Union Pacific Opens Down on
Increased Stock Issue, Re-
covering Later

NEW YORK. April 5.-The intention to
increase the preferred stock of Union Pa
clf1c by 500, 600. 900 was not known 70 tho
Wall street public until this morning, and
was general surprise. This incident
formed the central point of interest in
the days stock market. Union Pacific
has been the subject of gossip and surm,se
FOR many months during the course of it's
remarkable rise, but none of the numerous
eonJectures regarding it pointed to the
measure announced this morning This
1act in itself aroused q doubt that a large
part OF the reports which have circulated
regarding the stock We're Ill informed
Inc ef1ect on the common stock was un-
favorable, as was not unnatural in view
OF the prior privilege OF the preferred
stock, now to be doubled in amount to
GIVldends TO the extent of the per cent.
Inc common stock was offered heavily,
both for domestic and foreign account.
Union Pacific Supported
1t was vigorously supported, however.
All gay. brokers before the opening We're
making offers to take all the stock that
anyone would sell and the same brokers
Were diligent buyers up to the level of
iast night. The support was then re-
laNed again, but renewed at many periods
pany declined to add anything to the of
nclal circular as to the specific purposes
Tor which the proceeds of the stocks are
70 be used or as to the proposed time for
issuing it. Assertions were freely made.
however, among the specula tors in the
STOCK mat the project had to do with the
proposed combination of Union Pacific
North Western ~
1t was pointed out that President Har-
i nm IN maintaining the wisdom of seek
ing financing capital requirements through
the issue OF stock rather than through the
creation OF fixed interest bearing Obliga-
IONS C1 mad interjected into the official cir
GUAR the remark, Especially such as
arise in connection with the acquisition of
stocks of other companies This was adj
duced to Indicate that merger project
was In view. but Wall street had formed
the opinion that the supposed merger was
to be accomplished by the exchange of
bonds OF holding company for existing
securities. which would not involve q great
outlay of cash. The prospect of a $780,
200 block of new stock, therefore came
as shock to sentiment and emphasized
the effect of the huge volume of issues
which is being added to constantly from
many sources.
Canadian Pacific Strong
The determined support of Union Pa
cific was supplemented by notable up-
ward movements in number of special
the Union Pacific announcement was
modlhed to a considerable extent. The
railroad railroad list, the Southern group and
only news to account for the movement
was the suggestion, based on earnings and
reports of possible dividend increases.
american Smelling headed another strong
group, including the lead stocks and some
others in affiliated metal trades The
United States Steel stocks were sluggish
most OF the day. but they moved up late
TO higher prices than We're touched yes
terday and helped to sustain the general
list by sympathy. A miscellaneous list
OF industrial specialties showed consider
able, strength. The railroad list as a
whole, however. was held back Sterling
exchange was strong again in spite of the
great ease of money in foreign centers.
inns was attributed TO the selling of
stocks here for foreign account In some
OF the very active stocks changes for the
day proved to be small and the market
closed irregular.
Bonds were easy. Total sales. par
value, S4,32O,000. United States bonds
were all unchanged on call.