Evening star. [volume] (Washington, D.C.) 1854-1972, 1905-05-28
vARIoUs\VIEWs
OF WALL STREET
BY W. G. NICHOLAS.

to business and fix up the whole matter on
some such basis?"
Il can only repeat. Mr. President" said
Mr.. Hill. what I remarked before, that, so
would be entirely willing to go in on such
an arrangement, but there are so many
things to think about in the adjustment Of
problem as large as this that possibly
others might not be so willing to agi6e
and might demand a great deal of time to
think the matter over"
81 don't see why" said the President. at
seems to be very simple proposition and
ought to be settled without harassing de-
lay"
L think I may say, Mr. President, that
the railroad men of the country are very
glad to see you taking the lively interest
you are IN this problem. / have no doubt
you will find a solution. Many of us have
been working at 1t for thirty, forty and
fifty years without reaching a satisfactory
conclusion on a great many important
points that arise in the management Of
the business Conditions are so varying in
different parts of the country and we have
never been able to hit upon a plan that
would suit everybody. If you can do this
after your profound study of the question
1 am sure every railroad man of intelli-
gence in the country will be under great
obligations"
The President was trife nonplussed at
this, but returned once more to the propo-
sltion first advanced, and asked sharply of
Mr.. Hill why a plan could not be agreed
upon which would return uniform rate
of 6 per cent on railroad capital
Again Mr.. Hill made the response that hts
properties would cheerfully go into such
an arrangement, but he doubted somewhat
the practica bility of applying the rule to
all railroads. For instance" he said.
Great Northern would get along all light
under such an arrangement, but it's
forcement If applied to many roads would
spell r-u-i-n. Try that rule on Atchison
and you would put 1T in the hands of re-
ceiyer twice a month"; .-..
Conversation Jagged after this outspoken
declarat by Mr. Hill and the interview
very soon afterward came to an abrupt
termination. Not everybody who has been
summoned to Washington to discuss the
railroad-rate situation has been quite so
frankly outspoken as Mr.. Hill.
X
Secretary Shaw's withdrawal of govern
ment deposits from national banks is pro-
ceeding without the slightest disturbance.
About half the 800, 900 to be taken down
by July 1 has already passed from the
banks to the federal treasury. When the
process is completed the government will
have only SO, 600. 900 in banks, against con-
siderably over $1OO,O00.000 a few months
ago. On or about the first of July large
sums of money will be disbursed from
Washington and the various subtreasuries
on account of appropriations made avail
able at the beginning of the fiscal year. IL
is noted that very considerable percent
age of bonds held as security for deposits
OF government funds in the banks is being
or will be employed as a basis for new
circulation. New gold and new bank rctes
keep swelling the volume of currency at
the full average rate of $1OO.OOO,OOO year,
according to the best estimates
X
Money lenders are extending the glad
hand to borrowers giving them all the
funds wanted on long or short time and
at reasonable interest. Cheap money Will
be the rule throughout the remainder or
the year. barring cataclysms. There has
been some OVERRIDING in the recent issue OF
bonds by Gould Hartman and other fac
tiors but capital appears to be easily OBJ
tainable for legitimate purposes by the
larger and more conservatively managed
corporations like Pennsylvania, New YORK
Central and those other railroads which
are spending millions upon millions for IN
creased terminal facilities in the larger
traffic centers. The roads which completed
their financing while the bond market was
in good shape a few months ago are very
comfortably situated.
The exchange of Northern Securities stock
for the stock of its constituent companies
has been practically completed this week
The work was hurried to a finish in order
to avoid possible complications incident TO
the going into effect of the New York state
law taxing stock transfers. The exchange
referred to might technically have come
under the provisions of this law.
The threat of the New York stock ex-
change to still further limit its distribution
of quotations has sent a SILVER down the
back of the Consolidated in this city and
the exchanges of other cities. The mater
Is less serious for the bucket shops, which
can get along after fashion on a ticker
service some minutes late, especially in out
side cities, although they would be sub
1ected to the risk of being scalped by
shrewd players. The cotton exchange VIII
probably join with the stock exchange in
its efforts to restrict quotations to the
legitimate trade.