New-York tribune., 1906-07-04
STOCK MARKET OPERATIONS.

While the movement of values in yesterdays
stock market presented great irregularity. the
tendency in the best part Of the day in the
direction Of higher quotations. net gains being
recorded in the majority of issues. Covering Of
shorts was chiefly responsible for the improve
ment. rather than an outside demand, commits
sion houses being inactive as far as public buy
ing was concerned. In view OF the longsperiod
OF weakness that has marked the course Of
stock market trading, the unwillingness Of the
professional element to hold extensive commit
ments over the holiday is not surprising, and,
barring unfavorable developments to-day, prices
doubtless will enjoy further appreciation in to-
morrow's transactions In the active list the
chief advances were recorded by Amalgamated
Copper, American Smelling, Colorado Fuel, Mis-
souri, Pacific, Pennsylvania, Reading and New
York Central, in which net gains averaged more
than per cent. An active drive against Amer
ican Ice, which carried the price Of the security
down four points, served TO induce brief selling
movement in other parts of the list, but in the
last half hour the greater number of issues
recovered, closing at or near their best figures
In addition to American Ice number Of usually
inactive shares exhibited pronounced weakness,
including American Agricultural Chemical
Knickerbocker Ice of Chicago and Virginia.
Carolina Chemical. Call money ruled at per
cent, while time funds continued firm. Though
sterling exchange was weak there were no en-
gagements of gold for import and apparently no
disposition on the part of bankers to encourage
an immediate movement of the metal 70 this side
of the Atlantic Ocean. The banks transferred
100000 10 New Orleans. but this amount was
offset by q larger transfer from San Francisco
TO New York.
Earnings OF the Pennsylvania Railroad for the
month OF May present further evidence OF the
business expansion which is under way in this
country the results Of this road being particu-
larly significant Of general conditions owing TO
the fact that the company's traffic covers a wide
field OF industry. Compared with May a year
ago, when, IL may be recalled, earnings were
larger than in any corresponding month. there
was an increase in gross receipts of $4S6.900.
while a slight reduction in net results was due
20 the company's policy of increasing it's physi-
cal facilities by large expenditures from earn
ings on the property. For the first five months
OF the calendar year gross earnings amount TO
S54 S74 300 compared with SAT .974 800 in the
same period in 1905 and S43976 100 in 1904
Net earnings for the five months show a gain
of S3. 100000 These figures are for the lines
east of Pittsburg, while the lines west OF
Pittsburg there was an increase in gross for
May of S554. 100 and an increase in net Of S2O6.-
800 making gain in net earnings for the five
months OF 81 ,53s. 500 The company is more
than earning its 6 per cent dividend on its in
creased capital stock but it is easy to figure
out falling off in receipts in time OF business
depression which would make # extremely DIFF
fcuIt for the company to justify itself in main
tanning it's dividend at the current rate on its
S305 10000 OF outstanding stock Results OBJ
tained by the Pennsylvania must be extremely
gratifying 20 the present holders of the COM
pany's securities while the same thing may be
faid regarding the majority OF railroads Of the
United States, which in the last year have en-
joYed a period of record breaking prosperity.
At the moment the only unfavorable feature in
the Western railroad situation is the indication
of rate cutting on grain which has proceeded to
extent which suggests a material effect on
earnings in the near future unless an Immediate
adjustment OF the situation takes place.
While current prices OF the greater number
OF active stocks are at about the lowest figures
OF the year, the general quotation level is above
that prevailing at this time in 1905 the chief ex
ceptions being ST. Paul. Northwest Erie. New
York Central. Pennsylvania and Missouri Pa
cilc in the rairoad list and American Sugar
Refining and Consolidated Gas in the Industrial
list Considerable interest IS taken in the price
of Missouri Pacific which is now IL points under
par and in which there appears 20 be no active
support from the people who are in control OF
the property AS a per cent stock this issue
IS selling az a low level and an attractive level
for investors. assuming the permanency OF the
present dividend rate Unfortunately. however
there Is no surety that the company always viii
be able 10 maintain a , per cent rate. and it is
owing 10 this idea no doubt. that investors are
braEys