The sun. [volume] (New York [N.Y.]) 1833-1916, 1905-08-13
dOssiP, o. VAIL sraEErI.,'

81 A. $500 y Y " 7
The speculative activity runs from one
stock to another. There 10 not YET sufi,cient
bullish enthusiasm TO lift the whole market
At once. On Friday. aside from tho bidding
UP Of high priced stocks the market was all
Union Paolffo and Pennsylvania. Moro than
10000 shares Of each were traded In. and
each made net gain OF Y. The trading In
Reading was loss than $1,000 shares and the
stock gained only Y. In the two hours Of
trading, yesterday all Of the enthusiasm oon-
verged on Reading. which advanced ~ on
transactions exceeding 10000 shares. II
reached new 10 point mark In it, advance.
| selling at ITO Just before the close. But the
trading In the leaders Of Friday was merely
nominal. Less than 10000 shares Of either
Union Pacific or Pennsylvania were dealt In.
The former lost n. while the latter held is
ground. A, market which has only enough
enthusiasm in tho beginning to move one
stock or group Of related stocks at . time
usually broadens out until all the standard
iseucs become strong and active.
Mr.. Hili's friends are ssarohins around
for Burlington stock. When the Great
Northern and Northern Pacific bought Bur-
linston at 200 and gave their Joint Is In pay
mont. some 10. 900 shares Of Burlington were
not turned in. Under tho Hill management
the Burlington 10 increasing It's net earnings
In an amazing way. In four months during
tho 6rst half Of the year the Burlin gton saved
1900 900 BY HUI methods Burlington stock
10 no " earning very much more than needed
to provide for the interest on the Joint 4s.
and. as these bonds can be called at los next
year, IL 10 expected that some way Will DO
devised Of giving the shareholders Of Great
Northern and Northern Pacific the benefit
Of their ownership Of tho Burlington. This
cannot DO done. Of course. except through
larger distributions on Burlington stock.
This 10 why Inquiries are, being made Tor
Burlington stock by persons Informed az to
the plans Mr.. Hill Is forming In this market
BurlinEt L. 200 bid. with none offered.
Tho members Of the First National Bank
party continue to talk In optimistic vein
OF the outlook for the coal roads.
Tho public came into the marked last year
not long after the publication Of the August
crop report. During the two months previous
TO the publication OF the August crop figures
the market had been dominated BY the ag-
gressive bull campaign IN Union Pacific.
conducted BY Q speculative clique Of very
had been quietly sooumulattns Union Pacific
In the course Of a 20 point advance. Tho
big campaign In the Steel stocks. In the COAL
ers, In Smelling. and In other securities did
not begin until later. While the Standard
Oh party was making heavy purchases OF
stocks tho skeptios looked on and pronounced
1t all q manipulatlve game for tho purpose OF
unloading stocks on the public after tho
election. After the election these skeptics
got the bull fever and made higher predictions
for stocks than tho members Of the Standard
OIL party had even suggested. The public
buying began to como Into tho market soon
after the publication Of the August crop
report, and grew In volume up TO the time
Of the Lawson raid. when the Standard Oh
party. having no desire to help Its Western
followers out Of q hole, took the pegs out OF
the market Tho prices OF many stocks are
much higher now than they were last year.
but the market has acted much as 1t did
YEAR aRo. Those who are looking forward
to a period of rising prices think that the
public will soon got the fever. and Will come
In and buy stocks. as It always has IN the
past, with very little thought OF tho prioe
It may BE- that Mr.. Gates. who has been
very busy lately cultivating the friendship OF
Mr., Hill, wants to get those Great Northern
ore lands for tho Gates steel trust'et
Critics of the present market who say that
tt IL impossible 70 stimulate bull specuia-
ton at this level Of prices keep their eyes on
only q few stocks. The four big speculative
stocks which are selling at prices far above
their levels year ago are Union Pacho.
ReadinS. Steea 80 -.
Smelling. Union PaoMo IN Aueu" lass ye..
sold at loi. or more than 80 poine oe'os 10
present level 1t was then per ceno ~ sso a.
and no account had been taken OF Ns s" Ho.tS
profit In its forced Investments In the North
western roads Reading sold at %. oht u was
paying no dividends at all; now 1t Is q per
cent. stock. with large surplus earnings be-
hind its dividends. American Smetting sold
at IS. This stock Is In the hands OF pool OF
large owners. who appear t0 be aoundanuy
able to take care Of their own stock. and VINO
really believe it Is worth more than us present
high price. 1t is in q class by itself. Steel
preferred was selling around 90 year ago.
because there was great doubt as to the ability
of the company to continue dividends at the
per cent rate This doubt seems to have
vanished, and those who are best able to speak
for the Steel corporations future are con-
ndent that there never again will be any