The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-08-06
oossYP on VAIL ! sTREsr.

| railways of this country have increased u
per cent. and the net earnings have also
increased 20 per cent. But during this period
of prosperity the railway mles &c has increased
only II per cent. the bonded debt per mile
has increased only 3 per cent. while tho In
crease In capital stock per mile has been only
10 per cent. This authority says that on this
showing the prices OF railway stocks Are no
higher now than they were In $780,. and that
they are by no means dear at these prices.
He looks for Increased railway earnings
during the next twelve months. :
The marking up Of minor stocks. which
has been the chief feature OF the narrow
market Of the last few days. tells a story to
those who are Interested In the movements
OF the standard stocks. Some critics say
that this advancing OF the quotations Of
stocks that nobody speoulates In 10 a matter
Of no consequence. but . careful survey
OF the course Of prices during the last few
years shows that the marking up of minor
stocks and high priced stocks durin a period
OF sluggish speculation usually Is followed
later on by broadening Of speculative ac-
tivity. with general buying OF standard stocks.
stocks cannot. be marked up as easily as
they have been the last few days when there
are holders who are lookin for a market for
their stocks. Some Of the minor railway
shares have advanced 6to 10 points recently
on moderate transactions. and they have
held their advances. These are, stocks in
which the professional traders do not epecu-
late. because there Is not the broad market
they need for their operations. What selling
there Is must come from actual holders Of
the stocks. The marking UP Of high priced
issues has been going on for some weeks.
Lackawanna Is a notable example. An ad-
vance Of 40 points In a few days attracts very
little stock. Northern Pacific has advanced
so points. with slight indications that the
owners OF this stock have any desire to sell
1t at this level Of prices. The advance in
Northern Pacific is the more remarkable
when 1t is considered that there was recently
very active public speculation In Northern
Securities. and much OF this stock was dis
tributed through commission houses. The
holders Of Northern Securities have been
receiving Great Northern and Northern
Pacific In exchange for their Northern Sc
curities, but they seem to be making little
effort to find market for their new stock.
powerful interest appears to be In the
market ready to take all the Great Northern
and Northern Pacific offered. Stocks In
which there 10 no broad speculative interest
can be marked up because, tho holders Of
these securities see no reason for selling
stocks. They are afraid they cannot get
them back. More than this, the activity
shown by largo owners Of stocks In advancing
their quotations Is very gsod evidence that
they anticipate more active markets and
higher prices later In the year.
Wall Street expects to got most of it's Ports
mouth news by way OF Saratoga.
1t Is a noteworthy fact that In an almost
market and on a very moderate
volume of trading Steel preferred advanced
to . new record price, los. II sells
t,~IA ~ H..
made new high records during the past few
days, but it Is safe to say that none OF these
advances has so impressed public sentiment
as the gradual advance In Steel preferred
II 10 something to say for this stock. which
s one OF the most widely held Of American
securities, that there 10 a market for II at a
price higher than any investor ever paid for
Il. and that II has regularly paid Its dividend
since 1t was brought out Those who invested
their money in this stock were told that it
would prove to be one of the best Industrial
Investment stocks In this market. Those
who bought 1t saw 1t decline severely In the
pear market OF 1908. but they never failed
% get their dividends. and they now see their |
Itotk selling at record prices. In D. COMPARE |
lively dull market in which there is scarcely
my. public participation. 1t is known that |
,owerful interests. which have been deeply |
In the success OF the Steel Corpora-
ion since it's Notation. believe that the pre-
erred stock will sell above 100 on its invest
nent merit. They regard the common stock
10 one Of the most attrsctivsspeculations In
he market. - '''' - - u 49,.
The short interest in the cotton market
!. estimated at sOo. 900 bales. Some Of the
ulls who turned on the market at Its high
rices some days ago have again taken the
ull side. on the theory that the market has
oon ovavaold i !
A. renewal OF the buying Of the Steel S.,
for Europe. carried their price
. oen. These bonds sold at ssh in April.
then the preferred stock sold at 1o4H. Two
ears ago they sold at g. and year ago they
'ere still selling below 90. 80 Vi
-The bull campaigns In some Of these stocks
re very puzzllng." says one commentator.
When smelters was selling around so--it
sd advanced . little while before from be-
w, 70--I. was told by. those who were In
as ripe they were going TO move the stock
p to par. They told me It was worth par.
DON afterward left the country. and
as away from civilization for several
onths. When I got back to the land Of
'.esraphs ! found Shelters quoted 123. I
,oueht II must be mistake. but Il wasn't
ow they tell me Smelters Is worth l5o
his 800 10 announcer oCock tnat j n4Q Inside |
formation on It was In October that /
Appened to be In the 800 country The
eople who knew about the property told
10 the common stock was worth par and
,e preferred $50. II was not long before
icy made the 500 stocks sell at these prices.
ut now my 800 friends are bullish on the
,mmon at l4o and the preferred at 1ss.
he manner In which these optimists raise
ler estimates Of the values of properties
something remarkable ~
with bull market In full swing. Southern
aoinc Is looked upon a. one Of the stocks
hich. would be likely to take . leading Do
ton Speculation In the stock now Ia
,mnal. Courag eous operators have at
mpted to stimulate speculation In 1t. with
, success The stock Ii selling NO higher
Nv than II did ten months ago. and during
is long period. which covers two very heavy
.eaks In the market. a. we'll as many. weeks
rising prices and active speculation. the
streme range Of price Of Southern Pacific
"a bee only 10 points. It is selling now {
,out midway between It's high and low I!
rices In this ten months period II Is very I
nlikely that any action will be taken on .
vidend on this stock this year. but interest
the initial dividend Is likely to become
ute after the turn Of the year. Southern
lcihc 10 selling now only tribe above its {