The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1905-03-12
STOCK MARKET
UNDER PRESSURE
Speculation Over Chesapeake & Ohio
Squirt Friday.
IDEAS ARE CONFLICTING
REVIEW OF OPERATIONS OF THE
WEEK.

New York, March 1f.-Yesterday' s
sudden squirt of seven points in Chesa-
peake & Ohio led to a much excited
conjecture as to the cause and was the
stimulating influence in tOday's stock
market. SuDDoSitiOns as to the basis
for the movement were conflicting and
various. Yesterdays rumOr Of an in
tended Increase in the dividend TO per
cent was a continuing factor. and gave
rise to the general theory cf a policy
of more liberal dividend disbursemen
on the part of the railroad companies
under the Pennsylvania domination.
This report was supplemented by a
story of plan to form new railroad
system with an outlet from the middle
west to the Chesapeake & OhiO's At
lantic terminus
This story extended the speculative
excitement into the middle western
Vanderbilt stocks. which already hav~
Affiliations with the Chesapeake & ONO
To the stocks thus affected IS added the
southern group, which was temporarily
strong and active. the limits of the ac-
tive movements in tod8y's market Will
be generally defined. The rest Il the
market was comparatively quiet and
was under pressure Of realizing at
many important points. New York Cen
tral and Pennsylvania shared to the
full in the movement in their subsidiary
stocks. The Pacifics. Reading Cana
dian group. the metal stocks and some
others which have been prominent
made an argument for the underlying
strength in the market New activity
and strength in this group had a slim
ulating effect on the whole market. Re
ported plans for a reimbursement of con-
troll and relations of these properties
were supposed TO be contingent on the
Northern Securities decision. Doubts
-
reports by the lack of authorized an
nCunCemeRts. Even among those who
retained faith in the good grounds for
the reports, there arose the question
whether their efforts had not been ex-
hausted in the long preliminary rise.
The spirit of skepticism was increased
by the admitted miscarriage OF the
plans for a combination of the southern
iron companies which had caused a
furious speculation in these stocks.
This episode impressed on many the
conviction that they had been over
credulOUS in accepting unwarTanted as
seruons and shook their belief in other
stories which had induced them to buy
stocks Another unsettling influence
was the transit strike. Besides it's SEN
tlmental effect ii was a factor in OBJ
structing business at the stock ex-
change by the difficulties of attendance.
Decreases in gross earnings of some of
tic ram OdNS reporting Tor the IOurUn
week of February were regarded as
significant, though railroad traffic Off
Gals reported freight offerings in such
abundance that it's receipts were lin
tied only by the cvertaxed car facilities
Business reports and prospects have
been brilliant and bank clearings
throughout the country are maintained
at record level The animation i'm the
IRON and steel trade continues to aston
ish observers and is accepted as a re-
liable index of the broad underlying
solidity of the Industrial situation
other metal trades seem TO be in SYM
pathy with iron and steel, and the cop
per market especially is pronounced to
be in a highly prosperous condition.
Railroads have placed large orders
for equipment and they have an
plans for enormous OUTLAWS for
improvements and extensions Occa-
slonal discussion is given to the inffu-
ence of the large present gold produc-
ton on the state of money reserves and
on prices relatively of commodities and
OF securities There is not, however,
any marked discrimination against
fixed Understanding securities such Is
is attributed to periods OF decline I'm the
value of money. and interest rates are
held at a rate extraordinary low for
periods of great activity.
Bonds have moved narrowly but in
sympathy with stocks. United states
Is advanced Is per cent on call on the
week