New-York tribune., 1905-07-06
STOCK MARKET OPERATIONS.

Stock market trading was active In the greater
part Of the day, with business well distributed
throughout the list of active securities. There
were a number Of sharp advances In the morn
ing as for instance. in Reading and Tennessee
Coal and Iron in which buying represented the
operations Of people Wen informed regarding
the properties, as well as covering by the shorts,
while in most parts Of the list strength pre-
vailed in the first two hours of trading although
late realizing sales exerted an important effect
on quotations. 1t is understood that the up
ward movement in Tennessee Coal and Iron fore
shadows important announcements affecting the
future Of the property and from what has
far been learned regarding the character OF
these announcements 1t Is safe to say that the
people who are behind the current movement
in the stock will not be satisfied TO part with
their holdings at present figures. In the after
noon trading prices showed the effect Of realiz-
ing sales the more active issues closing at net
losses as compared with Mondays last quota
tions Reading which in the forenoon trading
sold at 106 ended at 1O41s, while Tennessee Coal
and Iron closed 314 points under the high quo
tation OF o. The chief net declines IN the active
list were made by Brooklyn Rapid Transit. Erie.
Metropolitan Southern Pacific and United States
Steel preferred. There was a good demand for
Norfolk and Western and Baltimore and Ohio
in large amounts by the interests which for so
many months have heen accommodating the stock.
Holders of Canadian Pacific watch with much
satisfaction the large gain in the earnings OF
the Minneapolis. St. Paul and SauIt Ste. Marie
owing to the fact that the greater part OF the
stock of the latter company is held by the
Canadian Pacific Company. In the London mar
ket Norfolk and Western sold higher than the
price of the issue on the local exchange and ac-
cording to cable dispatches. the issue was In
good demand from the larger investment inter
ests in the British capital AS the company's
directors have decided to increase the dividend
on the common stock 1t Is not surprising that
there is active inquiry for the security. espe-
cially as it is selling many points under the 4
per cent basis to which it will be advanced at
the next meeting OF the directors
A reflection of the Industrial growth Of the
country is presented in the earnings OF the
Pennsylvania Railroad Company for the month
of May. detailed figures Of which were received
yesterday. 1t should be borne in mind that the
lines OF the Pennsylvania company cover a
territory that Is representative OF the great COM
mercial energies OF the nation. which bring to
the road traffic made up OF the products OF
the mines. of the manufactures, OF the fields and
Of miscellaneous business activities. The re-
ceipts Of the company, therefore. may be con-
sfdered good trade barometer. Gross earnings
In May increased on the lines east OF Pittsburg
81. AIS, 200 and net increased $3.50. 200. while or
the lines west OF Pittsburg gross earnings
showed gain OF SS92.5O0 and net earnings one
OF S209 500. comparison being made with the
corresponding period last year. The earnings OF
this property show that great progress Is being
made in the business OF the country. but they
fall to present in net returns any encouragement
for the people who are buying Pennsylvania
shares on the theory that the companys dfrec-
tors intend to advance the dividend rate. The
requirements of the company at present IN the
matter OF extensions. improvements, new ter
rninal facilities. etc. enormous and the
company not only is compelled 20 use a large
proportion OF its gross earnings for the needs
of the property, but also is compelled 10 increase
its bonded and share capital for the purpose OF
raising funds for its proposed improvements
OF course eventually the money that Is being
expended on the road at present will work 70 the
advantage OF the stock. but there is no prospect
rate for long time TO come. There Is no reason
why the stockholders OF the Pennsylvania COM
pany should not be satisfied with the present
return on their holdings. While Pennsylvania
will not increase its dividend, the Norfolk and
Western and the Baltimore and Ohio. in which
the Pennsylvania has a large stock interest,
viii make larger distribution 70 their stock
holders In the near future
That the banking community u looking for