The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1905-04-08
WALL STREET MAD
AS MEYER BEFORE
STOCK TRANSFER TAX BILL
STARTS A FINE FRENZY.
Brokers May Stick the So on to Their
Customers and Let Them Howl
Union Paciflc's New $1Oo,o00,000
Stock Issue a Disturbing Proposition
The Steel Stocks Likely to Be
Booomed- Street Gossip for the Week.
Special to The Journal.

Special to Tho Journal.
New York, April S.--Wall street is fairly blue
with strong expressions regarding the passage
of the stock transfer tax bill by the legislature.
Brokers say: why. don't they tax milk for
there's much water in 1t as there is In our
stocks.'' The rumor that all the big houses are
according to Charles Gates. The son of john
w., who is now speeding toward the Paris
bourse, says it is all rot about transferring
the main Offices to Hoboken and maintaining
handsome little branches in New York. why
said young Mr.. Gates, 1--WE wouldn't more than
get started over there before the Jersey farmers
would put on a tax asa drive us back. What's
the Use Of moving? We are not going to pay
this tax any more than the banks pay check
taxes It's up to our customers, tho we will
undoubtedly feel it thru loss of business" The
scheme is not unlike the floating pooroom ven
ture that never ventured. Outside the three
mile limit the tax of 81 on each 100 shares of
stock would not, operate. The exchange could
drag its cable in its wake, carry band and
refreshments In hot weather the brokers could
throw in mint julep with every 1O0-share
sale as advertisement. The only trouble Is
that the fact of water being all about might
rack the nerves of some brokers'
Seriously, this stock-transfer tax will drive
capital away from New York, and citizens gen.
orally have renewed the talk about the lower
half of New York state breaking away from
the granger half and setting UP in business as
an independent state, to be known as Manhattan.
Union Pacific Move.
The announcement that the Union Pacific Rail-
way company would issue 10000, 600 of new
capital stock created very disagreeable sur
prise in the street. 1t is beginning to dawn
| on spectators now that many other railroad
companies contemplate action on the same lines,
and that the basis Of the mysterious boom In
| the stock market during the last six months
| was desire on the part of powerful interests
| to strengthen conditions for the fotatiOn of adj
ditiOnal securities.
London Immediately ''caught onto the situa
! tom and sold stocks right and left. In fact
the whole market was Unexpectedly staggered by
| the Union Pacific coup. and different view was
put upon specula ton. People having inside con
nections say that New York Central is almost
certain to follow with a big increase in capital
| as it needs many millions for improvements
and needs them Immediately in order to keel
abreast Of other railways. st. Paul was some
what Influenced by the decline, and 1T is though
that that road will soon be an applicant FOL
more funds to carry out the Pacific coast ex
| tension 1t all depends upon whether outside
investors will absorb the new creations readily
| or not.
The Steels to Lead. .@
! 1t is now planned to make the Steel shares
southern companies in putting their stocks at
high level has inspired the insiders Of the Stee
| trust to do some active work. Wall street wa
permitted to learn this week that the trus
| had. earned fully $27 OOO 600 net for the frs
quarter Of the year, and that 1905 promises t.
be better than any year in its history. 1t Il
felt that the preferred stock is on a safe
per cent basis, and that it be moved t.
| 10 or lis without danger in per cent none!
market. Manipulation to that end is under way
The fact that money does not 60 to per cen
at once is due to the locking up of $25, eCo. 0O'
in the bid for Japanese bonds. This will b.
| released today and the dividend disbursement
will be about all made SO that money mary fal
below even 2 per cent next week. Local banker
with European connections will In all probabilit!
soon begin to loan European funds in this mar
ket in considerable quantities, as the difference
in parity between the rates at New York AM
the European centers is sufficient to offer SOM
| induccment for such operatio
- Erie and the Merger.
Talk is renewed of the Erie railway becoming
| the eastern outlet Of the Northern Securities
roads. With New York Central, North-W ESTER
and Union Pacific coupled up, the Oracles say thu
Erie becomes necessity to Harrlmans oppon
. ents, Hill and Morgan, and is likely to become
| part of twin transcontinental system to thu
one the Vanderbilt Rockefeller Hartman people
| are commonly reported to be projecting. Blu
whether these parallel systems are created o
not, there is no present reason for apprehend
ing disturbing degree of hostility among rail
road owners. In that case, all that Hartman
entrance into the Erie board signifed would hav
to be undone. There is reason to believe tina
other important railroad interests have strength
| ened themselves in Erie in the past two years
as they. could easily have done on account o
the wide distribution Of the stock. ....-
No one can see just how the Equitable affai
can become serious factor in the stock maj
ket yet no one knows what turn it may tax
next while as it is it is quite capable Of exert
ing powerful sentimental influence in keepin
the public away from Wall street. In fact,
is likely to do more harm In inspiring dlstruf
in things not deserving Of 1t than in any othe
way. ...-
market, as the first government report will
crop appears to be in excellent condition.
l IS. s. Schrof.