The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-01-22
GOSSIP or WALL srREEr.

Western speculative organization with atooks
when at times Its leadership becomes undo.
sirable, or when It's activities IN any given
direction are premature. II ono that appeals
strongly to the imagination OF the native
Wall street element II has been supported
too, on frequent occasions by occurrences In
the market not otherwise cNplIcAb!o. There
nre many persons well Informed on sub.
terranean AFFAIRS who believe that such u
programme has repeatedly bocn operative In
the stock market. and who bollovc, further,
that II has very recently boon elective In
preventing the old Western bull crowd from
raas'rrtinR speculative leadership. In n lnte
bulletin yesterday one OF the Wall street
news agencies prominently displayed tho
following; There Il high authority for the
pt1tonent that much or the solling on Friday
and to-day wac for prominent bankers who
are associated with tho Hartman interests,
The saleA for their account have boen largest
In Southern Pacific. Pennsylvania. Union
Pacific, Atchison and y. 4 o. There Is
reason to believe thut strong Western IN
terosts are heavily long OF these issues and
that IL Is desired to stop the plunging opera.
lions OF certain clique which was very
active on the bull aide OF the market last
December.
With big speculative following behind II
the Western party has been able at times
TO Ieer at those who would oppose It's tenn
porary leadership In a speculative movement.
but aimee the December break repeated efforts
on It's part 10 start the bull speculation UP
again have failed oonspiouously for want
OF follow wing Its operations last week
on tho bull side we're met with Indifference,
As In the week preceding the Union Pacific
movement had been conducted under other
initiative after the Western crowd had found
II impo ssble 70 start the stock up. so last week
It's aggressive tactics in various stocks failed
n excite any general speculative interest.
Commission business fell OF steadily after the
elimination OF the movement in Union Pa
ciho on the level Of 40
One OF the chief criticisms Of the stock mar
ket is that the outside interest is so unrespon-
sive. IL may be recalled, however. that tie
movement in Union Pacific from around
iIi TO above 100 greatly stimulated the gen
eral interest. 1t was accompanied by
considerable increase of commission business.
The leadership under which that movement
occurred disappeared rather abruptly from
the market. and has been succeeded by no
other Of character 10 inspire general con
fdenoe. disappointment has been ex-
pressed that the speculative sentiment
aroused by this movement in Union Pacific
was not swung Immediately into steel pre-
ferred or some Their prominent stock equally
capable OF sustaining public interest 1t
would seem 10 have been perfectly feasible
thing to do Many believed that the initiative
taken In Union Pacific foreshadowed larger
operations on the long side Of the general
market, and have not understood why the
same leadership was not continued IN other
quarters. The prediction had been positively
made that it would be continued.
II has been intimated that too much bull
talk on Union Pacific is dsplcasing 20 some
OF the more powerful interests committed
to the long side OF that stock.
Men of Wall Street especially such "a are
imagined to have been very successful In
the pursuit of wealth, are necessarily APP
pealed 70 by the inexperienced and the unsnc-
cessful for advice People seem to think,
said well known stock market operator.
that few of us have discovered the cardinal
secrets OF successful speculation. and that
the mere possession OF those secrets would
enable anybody TO succeed In the stock
market. IL isn't so. OF course. Not long
ago an acquaintance. who has had some
experience in the Street. lattered me by
desiring TO have the benefit Of my superior
judgment and theories he wanted to know
how he mi sht lay out a campaign that won
make him great deal OF money. lie spt
posed that must have laid out good msny
such campaigns for myself. and / ngreel
with him in supposi ng that had / advised
him at some length 10 take g position on any
one Of several low priced, non-dividend
paying railroad stocks with a view 10 holding
IL for number of years. | advised him TO
let everything else 20 and attend to that one
stock have always held that man cannot
operate successfully in more than three stocks
at time. and that man can do no better
than 20 devote all OF his time to one stock
To the objection that If he took a position
on low priced stock yielding no dividends
the money invested would become imme-
diately unproductiye. and that II the operation
involved borrowed money, interest charges
would become an absolute loss, / pointed
out 70 my acquaintance that having taken
his position on a stock he could with perfect
safety make a part OF his holdings active.
selling a few hundred shares on advances OF
or J per cent when the market became
strong. and buying the stock back when 1t
sold OF again. repeating the operation as
many times as the opportunity might be
afforded. thereby making not only his carry
ing charges on the entire line but small profits
besides. This would keep him going while
the property in which be had interested him
self remained undo yeloped. In the natural
course OF the country's development his
property would become more and more
yaluabl each year. His stock would pass
through its speculative era as all stocks
have passed, and finally become an invest
ment issue A campaign OF this sort might
Lake Shore. Jersey Central. or any one Of
many other stocks now in the investment
class when. only few years ago compaFa-
lively, they were selling for few dollars
a share each. To the objection that some
OF these low priced stocks might be wiped
out IN reorganization at future periods OF
general depression the answer was that
railroad building on a large scale has prac-
tically ceased in this country. and that all OF
the properties already built. no matter what
may be their present condition. are bound
TO enhance enormously In value during the
next ten years. But 10 the objection that
such method OF making money in the stock
market y ould be too slow. and that the Kind
OF campaign desired was one that would
make big money In a few weeks. could
make no answer at all.
The lower prices received from the Arneri-
can quarter OF the London market we're
disregarded entirely on tie opening OF TINS
market yesterday and Fridays movements
In certain stocks were continued With not
the slightest interruption. as in Chicago and
Northwestern and ST. Paul. he greatest
strength was shown in the securities to be
-deetcd nv the Danding general readJust-