The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-09-02
CESAR or WALL STREET.

There N an active movement among the
minority holders In Panhandle but there 10
q suspicion that the movement IL encouraged
BY the mAnAGsment. In case Il is true that
the Pennsylvania In OncouFa gina the move
ment II shows that In one company at least
the. majority holders are sanctiOninR what
they first derided and then vigorously con-
tested . few years ago.
The belief that the Pennsylvania manage
ment encourages minority movements In It's
Subsidiary companies Il rendered all the
stronger from the fact that there ia such a
movement now In every one OF the subsidiaries.
In which the dividend has not been raised,
The movement In Panhandle IL for an In
crease In the common dividend. the pre-
ferred having been increased last spring.
III others are In Chesapeake and Ohio. Nor
folk and Western and Northern Central. >
There 10 always q difference between the
bankers and the brokers estimate OF the
prevailing rates for money. u is the busi-
meas Of the broker to get his money a. cheaply
a. possible and Of the banker to let II out on
AZ high terms as will retain the confidence
Of the borrower. Herein probably lies the,
principal rensOn for difference in the respec-'
tive estimates Of rates.
There is another important reason in the
fact that the banker knows Of money loaned
to favored customers on terms unknown to
the broker. II was pointed out some time
ago that on the sale by Mr.. HARTMAN. for
example. Of stocks secured twenty or more
points lower than present prices, the pur-'
chasers would need more money to carry
the same number OF shares. It 10 not to be
presumed that at any time very many per-,
sons. whatever their collateral. are able to
borrow money as cheaply as Mr.. Hartman.
Here, accordingly, is q reason for the ad-
vance In rates that has been entirely over
looked. When the upper world distributes
stocks II contracts the money market not
only by making 1t necessary for the pur-
chaSers to have more money to carry them
but even with money plentifult TO pay a higher
rate OF interest for the money secured.
Although Secretary shaw refused to revive
his gold import order last week and has
repeatedly said that conditions do not yet
warrant his Intervention. confidence In assist
ancc from him has in no way abated. Every
body feels sure the Secretary will do some
thing. and though no one knows just what
in the Street at large the particular form
OF the Secretary's expected benencence Ii
considered tmmaterial.. The question that
worries brokers Is just how tight money
has rot TO get to make a psychological moment
for the Secretary. Will the rate soar to rs
or TO 50 or. "a Last year. to more than 100
per cent. before the Secretary perceives a
crisis? One broker fairly expressed the atti-
tude Of New street yesterday: we know
we're going TO get help. but how hard must
We be squeezed before II comes?"
The chorus girl has not come into the mar
ket as yet. but Oscar Hammerstein has made
enough. so he 10 reported as saying. TO pay
for his grand opera chorus during the entire
season. There's a fair chance" remarked
the broker. that wen get the money on the
theory that what goes into the managers.
ONCE comes out Of the green room"
One OF the largest bull operators is credited
with the remark that never in his experience
has he seen q time when it was 30 easy TO
shoot the market Mp three or four points.
The whole street. " he continued, has the
impression that the bull forces are too
strong TO be successfully combated, and the
result IL that whenever a few of us send out
orders for the purchase OF a few thousand
shares we at once attract q large following.
The blowers bring several times more money
to the support Of the market than we ourselves
venture. so that when we get them started
all we have to do Ia a little spectacular bust
ness in some OF the leading ISSUES just by
wav Of keeping the mo . ent going An
told our orders in the successive bull spurts
are not large enough to attract any great
amount Of attention when We close out on
every movement much more stock than we
hav taken on in the particular spNirt. Other
people are takIng most OF the risk and our
customers are making most Of the money
A Stock ExchanE e house which 9 believed
TO have excellent sources Of information in
regard to the affairs Of the Hill roads said
in Its market letter yesterday: while the
terms Of the lease Of the Great Northern ore
lands to the United States Steel Corporation
other than In a general way are nknown
except 20 those most directly interested we
can state on reliable authority that the lands