The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1905-04-27
RAILROADS CAUSE
MUCH UNEAS|NESS
Northwestern Group Holds Cen
ter of the Stage
MANY STORIES ARE AFL0AT
Feverish Fluctuations In L. & NJ.
Helped to Arouse Growing sus-
pielon-Llne Leased BY At
lantic Coast Line.
MANY STORIES ARE AFL0AT

New York. April 2s-speculative senti-
ment in the stock market seems to be
swayed at present almost entirely by the
varying gossip regarding the relations be-
tween railroad capitalists who control the
northwestern railroad system. Today's
capitalists rumors shifted to the side of
prevailing harmony and a disposition to
cooperate for mutual advantage. Out OF
this subject there has zen built up during
the recent boom in stocks a complicated
system of supposed projects for central
ization of control of the railroad system
of practically the whole country.
A slump in Northern Securities stock
shook the confidence in these stories, and
during the break of this week and last,
opinion has veered to the other extreme.
Instead of harmony. whispers Of war and
of plans of mutual destruction have per-
vaded the streets. The reports of harmony
came after the movement of the stocks,
and there was suspicion that manipulative
processes played large part in the price
movement. The downward plunge in the
price of Northern Securities was In
large part due to the fear that with the
release of the stocks of its constituent
companies they would be freely liquidated
on account of the high level to which the
nominal quotations had been carried.
while the holdings were tied up in the
Northern Securities company. This APP
prehension was kept alive by the violent
declines in the quotations for these stocks.
But there was an awakening today to
the fact that the volume of offerings on
which these declines had been made was
almost purely nominal, in spite of the
rapid distribution being effected of certi-
ficates Of stocks of these companies. 1t
was reasoned from this that the con-
centrated holding of Northern Pacific and
Great Northern were probably little
changed and that they were not coming
on the market in large quantity. A
ruf1ior was set afoat in addition at an
agreement had been reached as to the
disposition to be made of Northern Pacific
had averted a danger which menaced them
of losing control of their property. and
that the proposed issue of s1oO, 100000 of
preferred stock will be abandoned as it
had been intended only to preserve that
control There was considerable outstand-
ing short interest which was ARMED by
these Developments.
The effect was clearly manifest in the
movements in Northern Securities, Great
Northern preferred, Northern Pacific,
Union Pacific, st. Paul, Northwestern, IL
linois Central and New York Central. all
of which have been bound up together,
more or less, in the speculation based on
this topic. Very explicit declarations were
made also that the 1ong-rumored lease
by a dividend guarantee of Louisville and
Nashville to Atlantic Coast Line had been
definitely determined upon.
Amalgamated Copper led strong group
OF copper, lead and smelling stocks,
special influence being the increase in the
dividend rate on Anaconda, subsidiary
company of the AmalgamatSd. The United
States Steel stocks at first reflected dis
appointment on the part of the specula-
tors who had counted on larger net earn
ings for the quarter than were reported
at the meeting after the market had
closed Yesterday But these stocks showed
a good recovery, when the general
strength developed. The vagaries of the