Evening star. [volume] (Washington, D.C.) 1854-1972, 1905-07-08
BULLS AND BEARS


NEW YORK. July 8-Fisk & Robinson
and syndicate have bought an issue of
100000 of first mortgage fifty-year per
cent gold bonds of the st. Louis. Rocky
! Mountain and Pacific Company. With the
| proceeds of the sale the company, which
| was recently Incorporated in New Mexico.
| will buy the property of the Ration Coal
and Coke Company. the output of which is
| to be Increased greatly. and will build
| about 12O miles of railroad along the south
| side Of the Ration mountains. The Ration
Company's coal land covers about 700
| scrare miles of territory. The present
output Of coal is about $4,000 TONS a year.
! and this will be enlarged to 100000 tons
or more. The railroad line will connect the
Colorado ard Southern. the Atchison. To-
peka and Santa Fe and the Ell Paso Rock
Island systems with the Badly and Eliza
| BEETHOVEN gold mining districts in tho
! Rocky mountains. The president of the
company is Henry Koehler. 5r.. vice pres
| iden- of the Commonwealth Trust Com
pany of ST Louis, Mo.
| x r
Although the room traders are inclined to
| take the short side of the stock market for
a time at least because prices have had
good advance and because buliish senti-
81
| sion house literature is optimistic tinged
| with moderate conservatism.
| ]. S. Bache & Co. say In their weekly
financial review: Stocks have had a sub
stantial rise from the low level of May and
| the buying by western interests, so much
| in evidence in the late trading of the week.
/! was not nearly so good as the selling. "A
| moderate reaction would seem justifiable
Ill <t,,,,A
| the summer but money rates will certainly
| advance sharply in the fall.
| THE question of the control OF railroad
| rates, which is to come before the Con-
| gress. deserves consideration. The favor
| able factors of. the situation are the gem
| eral prosperity of the country and an all
| around Improvement in the foreign political
| outlook. Good stocks are a purchase on
recessions and will probably sell much
| higher, but for the present we feel inclined
F., to advise conservatism
| Atwood. Violet & Co., in their weekly
| letter. say: Fundamental factors are too
! favorable to permit much anxiety over the
internal strife in Russia, nor uneasiness
| over unfavorable affairs of lesser magni-
| tide The prospects of a corn crop sur
| passing all records. and reasonable assur-
| ances thai other crops, with the exception
| of cotton. will be above the average make
| certain an increase of wealth to the coun-
| try which must be reflected in the contin-
uance of general business prosperity, in
creased railroad traffics, great demand
| upon the steel and iron industries. better
| business on coal companies, and finally
| lar ger dividends and enhanced value for
| the securities Of the corporations that par
| ticipate in the handling of the necessities
| of the country in time of plenty.
| Such operations will be greatly facilitat-
| ed by the cheapnesS of money, and with
the worlds supply of gold increasing many
| millions each year, money and credit are
| likely to be easy for an indefinite period.
This gold accumulation is of itself a most
! important factor in favor of higher prices.
We believe we are in a bull campaign which
| may continue for some time, probably
| throughout the summer. The company
owns % per cent of the iron ore deposits
| of the country, and occupies the foremost
| position In the manufacture of open hearth
! rails which. is is contended. are the only
| rails that meet the requirements of heavy
| train traffic
! The recent experience of the parties who
| were so long in control of the company's
| affairs in being compelled to seek the open
market to regain possession of the property
| was costly. and has resulted in the stock
| being more closely held The floating sup
| ply is small and the stock easily be ad-
| vanced to higher prices. merger OF the
southern iron properties such as was pro-
posed last spring. will occur sooner or later,
| and Tennessee Coal and Iron will be the
| deposting company.
1
| Bartlett, Frazier & Darlington say: Sen
timent continues comparatively bullish and
number of stocks. notably Union Pacific,
Amalgamated Copper, Reading. Sugar and
| Consolidated Gas and Peoples Gas, are re-
| garded as likely to have a rise of a sub
stantial nature The prominent interests in
| the market are bullish and 1t Is highly
| probable that a good strong market will
develop and continue even during the
summer The money situation has not
| changed to any extent, but firmer rates for
| time money are likely within a compare
| lively short time. Those who are best ac-
| qEainted with the money market say that
| they see nothing in the situation that will
| Interfere with an upward movement of
| prices
| Dick Bros. & Co. say: 1.-The stock mar
| ket continues to show real strength and
while 1t is at present somewhat irregular,
! it should be kept in mind that after the adj
vance which stocks have had during the
pas. fortnight irregularity Is only natural.
| We think stocks picked up on all fair re-
| cessions will show profits"
A. o. Brown & Co: Expect to see sew
| crai Of the better class of industrials and
| important railroads declare larger dlvi-
| dends in the near future, which will Justify
| higher prices for these securities notably
| Baltimore and Ohio. Union Pacific Copper
| and Smeiters. Sentiment In the street is
optimistic and higher prices are generally
| looked for this month"
Foreign exchange ruled steady throughout
| the week. Up to yesterday the rate for
demand sterling was between 4S695 and
| 4.Si.Oo. Then. however. the market ex-
perienced rather sharp temporary de-
| cline to 1865. but subsequently rallied
| quite as quickly as 1t declined closing at
486.95a4. 81 for demand sterling and 4S5 15a
1904 for sixty day bills. compared with
4e6.Soa4.S7 and 4.s5 15a4.S5A for demand
week. The market closed yesterday on vir-
| tually the same level as week ago
| Francs and reichsmarks likewise experi-
enced no net change of significance
! Paris pressure on London for gold is ex-
| pected to cause further shipments from