Las Vegas daily optic. [volume] (Las Vegas, N.M.) 1880-1908, 1905-02-24
FINANCIAL


writes
New ~high.rccord prices are being
made almost daily. A strong under
tone peryades the whole market. and
first one speciality is selected and then
another with which 70 keep the aP
.pearance OF activity. The pubhe's
operations continue on q very limited
scale. but professionals seem to have
little difficulty in marking up taeir
particular ~fayorites. Conditions aid
ing these movements are easy money
a universally optimistic spirit, better
dividend prospects, and rumors OF a
ious deals. which are allowed TO leak
cut presumably TO assist stock market
operations, No doubt important ne
gotiations arc under way In some
properties. but some Of the stories In
circulation have q rather 'nutty' fla
vor. having more than once served 10
and In unloading h'gh-priced stocks
upon me u~ninltated. There will be
no harm ia treating some Of the con
solidatlon s%torles which are being put
out with d reasonable degree 81 skep-
ilcism; bearing IN mind that. while
concentration Is steadily progressing
in railroad management the real and
f,4rIrfar4 rEan~ae . ,~anuIfw
brought about unosJentatiously and
are not diyulged by professional tips.
tiers in advance
A striking feature Of the situation
IA tho abundance Of funds seeking
| safe investment on Q 4 per CEN basis.
In 1904 over $4,000 900 900 new bonds
and s222. 0o1, GOO new railroad Stoke
| were Issued. a total Of over 500, 900.
| goo railroad issues. Since January !
over 500. 000. 900 additional railroad
| issues. chiefly bonds, have been ad.
| ded A portion OF these issues was
for ~refunding purposes. a part for TAX.
ing np notes issued two years ago
and part 10 provide Tor present needs.
| Just how much TO apportion to each
| class az needs 1t Is impossible TO de-
termine. bu, a considerable portion
went TO take up notes and TO meet
current requirements, and therefore
represented new fixed capital. Even
this large output Of new securities
does not seem to have satisfied the
public demand, which Is particularly
fortunate for both railroads and the
bankers who have bonds to offer.
There IL still a good inquiry for bonds
In this market. buyers, however. mol
always exercising the discrimination
that they should. and In all probabili-
ty there win be further issues. II con
ditions favor. 10 provide for maturing
obligations and needs of the railroads.
Fortunately. general business contln'
ues satisfactory, while The railroads
are, again enjoying q prosperous sea
son after The losses OF the first half
OF 1904 During December and Jan
uary the roads reporting earnings
made q showing 5 per ent better
than last year. and ii spite OF aafavc-.
able climatic conditions the increases
continue. In 1904 the gross earnings
on $4,000 miles OF road ESQ per cen,
OF our entire milcagel amounted 10
81. 1T3 900, 600. an increase ofslf .00n,
900 over the previous year. In 1908
these roads showed an increase OF
over $3.50. eoo. o0o.
The outlook for The sock market
continnes favorable. Financial skies
are cloudless, and a hopeful spirit
prevails almost everywhere, While
this feeling lasts 1t Is useless TO look
for important reactions. although
prices are nov getting to be pretty
high and the absence of many large
operators tends TO restrict activity
We can only repeat our previous ad
vice to invest with particular caution
and to sell on all pronounced advan'
ces. for increased dividend prospec :
have already been pretty we'll dis
counted
HEMP rT Eu--