New-York tribune., 1905-03-12
The Financial World.

r4F-4s-.
market Of the week. On Mondav ven - ~
was surprised by the decision OF tba s. -
Court upholding the Hill Morgan plan - 80
trioution OF Northern Securities asqa+. -
traoers Jumped to the conclusion th.. -,
would arouse resentment I'm Harrirna--r-' -
boeD circles and proceeded TO get sho-t - - -,
securities affected Fluctuations resnl,.S 'ls
d STEADY buying demand became evidan. -.
more than onset bear attack and vbioA -
weekend prices materially improved for ~ ~
curities inVoived-a clear denons,ra+to-
the litigation was honestly undertakes -. u'@'
at practical solution OF the Aie7o,,,.,- @''iss
sented- The termination OF this ,ss,. :, pls-
court OF last resort leaves the vvavr g. = me
carrying out Of plans which have - 'as
under consideration by the great intsrsst, zen
ihs 'he northwestern railroads. and vvbt.s
VoIVe harmony OF operation and eouitabIo a.
..iOu'ion Oh ownership OF vast inportaro. =
.He one hailu 70 Hockefeller-Harriman nro,.,-
oIsnip. ana on the other to Morgar-III -
troll Perfected working arranzensr+, |'n- .
s"ee ~ interests IS a certain outcome. rernovi,.
from the security market cIoud -, H's
hung over them for the last fon, H4s
Much bear talk was induJoa5 a.
week over the Russian situatio- - ~ 'as
OF panic In Paris were current ana ions
imagination figured all European 60 'O-H's
the eve OF Fastening TO clean o,,. go 'S on
can holdings to protect their Rr,ssi,- Il
ments- What was the Official ans,,.-,
thursday. the Bank Of England caln,1,, =. On
Its minimum discount rate from 2 "a -
"a Fer cent-the lowest In years-afyo-1,.- -
Vincing proof that not the slightes. ,,,oa.,-
exists IN London. but that on tha ,o.
conviction prevails there Of absolute o..a.,.s
handle with ease the financial side - -
japanese affairs; and incidental 70 ,lI,
money market maintains the aas,As+ = IA
tions both for call and time loans on n,Iv.s -,
lateral-and fundamental security rosr,,.. -
ditions at home maintain invincible strsr,.s
IN the race OF situation like this hon, .t-
soineiy FOOLISH Is the perpetual reiteration =,
heard so much that there is no pubU,.,
IA wan street. that the public cannot ba m
uuosu 20 come into the security market. Act-
ually the status OF affairs IN the ssraat .,s..-
altogether from what is the fashionable rsc,,.-
ton. The public is not ignoring facts /. ~.
careless of values that are indisnutabla a -
holding aloof in any such way as is 50 volur,i-
nously proclaimed True enough It is that tbara
is variation in the evidence of the pubIic,z ar
tention. Commission brokerage offices are No,
overrun by customers nervously croVrdinS IA.
tickers. but reference to the record made on the
Stock Exchange shows that the bulk Of current
business-that which is in largest volumes
actually executed by the distinctiveIy commis
sion houses OF the Street The old proportion
OF transactions "on the floor by room traders.
the talent OF the Street, no longer dominates,
that proportion has. indeed, become relatively
almost insignincanb-and ample answer this
exhibit provides for the so much paraded dec
laration that the public is wholly absent. with
all activity left to the professional speculator.
In the present market there is this chiefly
distinguishing feature-the most consequential
influence: Prices advance on purchases which
have a basis of actually disclosed develop
ments. Mysterious whispers. rumors. Old-fcsa-
ioned manipulativs artihces. are not in this
market controlling. Take. for example, any
stock recently active and strong. and it viii be
found uniformly that the new activity and the
new strength have the warrant OF some ee-
ment OF expansion that Is tangible. Prices IN
this market have been advanced BY facts. Here
and there exceptions to the rule may show but
such exceptions are few.
one impending development has to do with the
affairs OF Mexican Central Extraordinary
things have been making progress in that quar-
ter. It is, OF course, known to everybody thas
the Mexican property has recently lmpIOVs1
phenomenally in its physical cOndluOn-its IdCl-
tiles multiplied and its operating capacity so de-
veloped that economies of operation are now
practicable beyond any anticipation MEXICAN
Central during the past two years has become q
new property-its scope so widened. its futurs
prospects so assured, as TO give II not mercy
the consequence that belongs 10 II as tne donil-
mating railway system OF Mexico. Dut - - y =
has been this growth in Importance tnat II -
not strange to find no less than tnree OF @ tno
foremost railway systems OF thls ,s t-D -
planning intimate relations win .yTss
them, IT is likely to be shown, making aSsLe
sve efforts Cunder cover 10 acquire aSlu@- w.
troll Of the company. 49,
1t was stated in this review WeeAs ~sS So '- -
one interest had made a nat ol1 OF SoO
share for a majority OF Mexican Cehtia 90,
ital stock-an offer which the owners o. 90, iJ
declined to consider. And now II can ue ~.
that banking representatives OF ess Ons %
greatest OF our Southwestern systems nave @ me-
an offer approximating $50 per share-ulN0
cepted-
The renewed movement in Federal SmeiIhs
issues forecast in this column las1 NesE N,aTS ~
started and ought 10 proceed Ila.sl 4,
further. Expansion may De TSsrs can now Be
no adverse Illinois legislative action i0r ~"
years to come.
For the investor there is significance OF utivS'
inheritance in the recent disclosure that ~
StilIman and Mr.. Rockefeller have come my 80,
equality Of influence in the aIlaus -, Tsn-
Elasfern propertfes which class as ths e
Sa~btI+ sysfen1 F,vidence in abundance shows
what can be signifed In the new aIlall0s Tba
tween these hitherto separated nteIesls. Ies.,. H.
Vanderbilt deal" when fully uEueis~S ~ an
hound 10 stir our security markets INTO lsW -
thusiasm and not merely the holders OF ~ -,
York Central and Northwest ana OihAIN w. ,,sss
the prodters. but the new era or pros seS' s ~
assures good things for practically every - 49,
what Wall Street names as the junior 1s.o1,r Ss.-
bilts This is what makes notahly slsli.--s,. -,sr
the sudden Stock Exchange develop men @ S,-s-f Sf
SfO Of
chicago and ST. Louis (the Big touII- s,-.s
marked quotation rose over half dozen pOt-.. az.
on purchases IN large volume oy the nIos 1a Sact
nortant banking houses Of the Street Ohe a.