The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-01-04
FINANCIAL AND COMMERCIAL.
TUESDAY, Jan. 8


plenty TO talk about. although it seemed not
wholly decided most OF the day just ir
what light TO regard these matters so far az
their bearing upon the stock market wal
concerned The surrender OF the citade
which tho Russians have 40 stubbornS
defended certainly seems to bring II steT
nearer the end of the great struggle be
tween Russin and Japan. and if it were
any European nation other than Russia
that was involved the close OF the war might
be definitely said 10 be in sight All adj
vices we're to-day however, TO the effect
that the Russian Government while fully
apprecative of the blow that had beer
dealt IL, was We. determined TO continue
the contest, and the best opinion in bank
ing circles seemed 10 be that Russia
would 60 on fighting IA long as she could
borrow money in Berlin and Paris Or
the other hand, such revelations of Russian
incompetence and intrinsic weakness as
are constantly making must inevitably
serve to mako these money lenders
more chary about unloosing their purse
strings. The news to-day caused a decided
advance in Japanese bonds wherever dealt
in: aside from this it had small effect upon
any of the European financial markets
For some time past expectation. based
apparently upon the delay made In decid-
ing the case, has been general in Wall Street
that the preliminary injunction granted by
Judge Bradford in the United States Circuit
Court in Trenton staying the distribution
Of the assets OF the Northern Securities Com
pany under the pro-rata plan would be set
side by the United States Circuit Court OF
Appeals. TO which the case was taken.
Judge Bradford it will 10 remembered,
held that the contention Of the Union Pacific
interests, that they were entitled 10 receive
not simply pro-rata share Of the Northern
Securities assets but the actual securities
that they had deposited in the Northern
Securities treasury, raised questions Of
sufficient merit to justify him in enjoining
the dissolution of the company on the
official plan as projected until the equities
involved in these questions had been thor
oughy determined The Circuit Court OF
Appeals now holds two Judges voting in
the affirmative and one in the negative,
that the stocks deposited by the Union
Pacific Company with the Northern Securi-
ties Company were the subject Of an out and
out sale to tho last named company and were
not deposited. IA the Union Pacific interests
asserted. with the Northern Securities
Company as trustee In the fore part Of
the day the majority of spectators seemed
to think that this decision ended the case
that an immediate dissolution of the North
ern Securities Company was at hand and
that this was n generally favorable arRu-
nent regarding the whole market and
Union Pacific common stock in particular,
inasmuch IA 1t replaced with the Union
Pacific people shares of stock whose mo, det
value represents n profit TO their holders,
over the cost price, of between $50. con, 900
and 10000 900, Under this impression
the stocks OF all the companies directly
affected by the decision became strong, ST.
Paul stock also rising very rapidly upon
theory that it in some way would derive
especial benefit for what had happened.
Tho general market. on thu other hand,
was hesitant and confused. and the United
States Steel shares and other prominent
issues were even heavy. But the fact soon
became realized that the decision handed
down was not of final character From
the ruling made by the United States Cir
cult Court Of Appeals an appeal can be
taken. although not as a matter OF right,
TO the United States Supreme Court.
Tho present decree cannot become ef-
fective for some days, perhaps for some
weeks. and in the meantime applica-
ton can be made 10 a single Judge OF
the United States Supreme Court for writ
of supersedeas. staying the distribution of
Northern Securities assets until applica-
ton can be made to the Supreme Court as
a body for writ OF certiorari reviewing
the whole proceeding thus far. The SUI
preme Court may or may not grant this
application. "a IL chooses. and the custom
Is for the court not TO hear whole argument
upon the preliminary application, but 70
consider the question only through the
medium OF presented briefs Trustworthy
information is that speedy steps will be
taken to bring the case before the Supreme
Court In the manner described Pending
that there neither can nor will be any settle
ment Of the matter, and it is not at all
unlikely that il is the desire and intention
OF both uarties to the controversy that the
Supreme Court shall pass upon the case
as speedily as possible When Wall Street
discovered this, security prices generally
declined. In the later afternoon. however.
a rumor circulated that the Union Pacific
or interests allied with It had
purchased control of the New York Central
Railroad Company with the idea of making.
through the medium Of the New York Cen
trail the Lake Shore, the ST Paul and tho
Union Pacific roads, great railway line
from ocean 10 ocean. The only known
basis for such a rlmor is that so-caled
Standard OIL interests are. as IL well known,
large stockholders in all the railway named;
but that they or any one else. however.
would seek 10 make a combination of the
kind described at the present time seems
extremely doubtful and the story was
dismissed to-day in the highest quarters
as being utter nonsense. Under this in
huence, nevertheless, prices Of stocks
closed at the highest figures Of the day.
Commission houses very generally reported
only tri1ing increase In their business. and
most Of the days market operations were
very clearly Of professional character.
Seu Eort. stock Exchange GaIns Ian