The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1905-03-12
NEW YORK CENTRAL
MOVES Up z POINTS
The Gould Stocks Are BEING
Well Supported on All
Little Dips

NEW YORK, March 11.-Yesterday's
sudden squirt of points in Chesapeake 81
Ohio led to much excited conjecture as
to the cause and was the stimulating in
fluence in today's stock market. Sup
positions as to the basis OF the move
ment were conflicting and various. Yes
terdayS rumor of an intended increase In
the dividend to 4 per cent was contin-
uing factor and gave rise to the general
theory of policy of more liberal divi-
road companies under the P er "
domination. This report was supplement
ed by story OF a plan to form a new
railroad system with an outlet from the
middle west to the Chesapeake & Ohio
Atlantic terminus. This story extended
the speculative excitement into the mid
ready have affiliations with the Chesa-
peake & Ohio. If to the stocks thus af-
fected is added the southern group which
was temporarily strong and active. the
limits of the active movement in todays
market will be generally defined. The
rest of the market was comparatively
quiet and was under pressure Of reaiiz-
ing at many important points. Chesa
peake & Ohio itself was sold to take
profits and its occasional rallies did not
carry it at any time to yesterdays high
level. New York Central and Pennsyl-
wanna shared to the full In the movement
in their subsidiary stocks. The Pacifcs.
Reading. the Canadian group, the metal
stocks and some others which have been
prominent in the weeks speculation were
heaNy throughout.
Profit Taking
The profit taking in them affected senti-
ment and increased the disposition to real
lie towards the last so that the closing
was decidedly irregular and was not
changed much. in spite ~ great show Of
strength during the session. The COM
pleXion of the bank statement had been
quite accurately forcseen and the small
changes in the various items indicated no
change from the present easy condition
of the money market. Total sales of
bonds, par value, $2,395. 900.
Market Disappointment
The action of the stock market of the
early part of the week was disappoint-
ment to the speculative enthusiasts, but
the demand has revived with the progress
of the week and there have been notable
advances in special stocks which had a
strengthening effect on the whole list
The early hesitation was due in no small
part to the failure of the tranScontinental
railroad stocks to respond to the settle
ment of the dissolution plan of the
Northern Securities company which re-
suits from the supreme court decision of
Monday. 1t is no new thing for selling to
take profits to meet a long anticipated
event after extensive specula ton for a
rise. The failure of this group to leap
upwards the Northern Securities de-
cision was therefore more favorabiy in
lerpreted after a time and in turn the
lack of pressure on those stocks to real
3ze was made argument for the I'M
DERIVING strength in the market
New activity and strength in the group
had a stimulating effect on the whole
market. Reported plans for a readjust-
ment of control and relations of these
properties were supposed to be contingent
on the Northern Securities decision.
doubts were aroused over the truth of
these reports by the lack of authorized
announcements. Even among those who
retained faith in the good grounds for
whether their effect had not been ex-
hausted in the long preliminary rise. The
spirit of scepticism was increased by the
combination of the southern iron COM
panies. which had caused furious specula-
lion In those stocks. This episode i'm
pressed upon many the conviction that
they had been overcredulous in accepting
unwarranted assertions and shook their
belief in other stories which had induced
Them TO buy stocks.
Rapid Transit Strike
Another unsettling influence was the
transit strike in New York, which made
stronger impression by its effects being
visible to the operators themselves. Be-
sides its sentimental effect, it was fac
exchange by the difficulties of attend
ance In the reactionary temper of the
speculation various minor factors were
made effective. Decreases in gross earn
ings of some of the railroads reporting
Tor the fourth week of February were re-
garded as significant. although that period
Tor this year includes two Sundays as
compared with one last year. and the ex-
ira leap year day in February last year
the period. Railroad traffic officials re-
ported freight offering in such abundance
that its receipt was limited only by the
overtaXed car facilities. Business reports
and prospects have been brilliant Bank
clearings throughout the country are
maintained at a record level. showing
the great activity of trade. The anirna-
ton in the iron and steel trade continues
TO astonish observers and is accepted as
reliable index of the broad underlying
Soidity Of the industrial situation. Other
metal trades seem to be in sympathy with
iron and steel. and the copper industry
especially is pronounced to be in higher
prosperous condition.
Railroad Equipments
Railroads have placed large orders for
equipment and they have announced plans
for enormous OUTLAWS for improvements
and extensions. The reduction in the of
fetal discount rate of the Bank of Eng
land from per cent to 21s per cent was
OF prompt effect in this market. With
the course of our foreign trade constant
~ reducing the trade balance in our ia
Nor, 1t is evident that the pressure of
extraordinary demands upon the foreign
money markets might command with
nrawals from New York for their accom-
mediation, and there have been some ap-
prehenSions that when the spring demand
from the interior came into force a COIN
cident foreign demand upon New York
bank reserves might result in stiffening
the money rate and depicting the re-
sources at command for speculative en-
ployment.
The reduction of the English bank rate
offers the prospect that any rise in money
rates here would attract foreign credits
to this market and keep the situation
easy. The reserve position of the great
European banks is now stronger than for
several years and the foreign financial
world greets the reduction of the Bank of
England discount to a rate not touched
since before the Boer war as evidence Of
effective recuperation from the great
grain of that struggle. The parallel to be
drawn of the future effects of the present
costly war in the far east is partly OBJ
secured by the impression that events
there are approaching peace. Occasional
discussion is given to influence large pres
ent gold production upon the state OF
money reserves and upon prices relatively
of commodities and of securities. There
as not, however, any marked discrimina-
fion in demand against fixed interest
bearing securities such as is attributed to
periods of decline in the value of money,
and interest rates are held at a rate -ex-
1raordinarily low for periods of great
activity
Bonds have moved narrowly. but in SYM
pathy with stocks. United States rs ad-
Sanced rs per cent on call on the week.
ONDON WOOL AIICTInM