The Washington herald., 1906-10-30

the rise I'm Pennsylvania today market /
would have been deadly dull affair. No /
one wanted to do anything except those
who knew what the Pennsylvania divs- /
dcnd was likely 20 be, and they did not /
20 outside of that one stock. There was /
very little selling. however, except By |
professional operators. and more cheerful {
views were expressed in regard TO the I
oolitical situation than al any time within 1
q week. The bear party seemed 10 pin |
its homes more strongly 70 the possibility 1
Of furry in money than 70 anything /
else.
A good deal was heard about the possi- I
bility of a surprise in the United States |
Steel dividend, although the best opinion /
seemed TO favor the report that no in
crease would be made in the rate before /
January. Those who spoke of a surprise /
said the principal opposition to policy /
of greater nberaIity to stockholders came /
from the Standard OIL interests in the /
board. and that this interest was among /
the heartiest buyers OF the stock on the /
rise 90 % a couple OF weeks ago. The in I
ference drawn was that the possession or
a large line OF the stock by the opponents
of the Increase might tend 20 lessen the
strenuousness OF their opposition or even
make them open 10 conviction that after
all the putting OF the stock on per
cent basis might BE- the right thing to do. I
Needless to say this was mere theorizing, I
and all any one knew definitely was the
statement of the quarter would be highly
satisfactory both as TO net earnings and
the volume of new business booked.
London was large buyer OF United
States Steel. and while good deal OF
the selling came from house which is
supposed 10 have often executed orders
for Henry Clay Frick. the latter fact
might not mean anything more than that
speculative interests had placed orders in
quarters where they were sure 10 at
tract attention and exert an adverse ac-
tion on sentiment The chief story about
United States Steel was that the direc-
tors might decide to postpone action on
the common stock dividend. or. rather,
that they might decide TO make declara- /
tons semi annually instead Of quarterly.
and allow the question Of amount 10 go
over until January. The reason given for
the alleged change was that thc larger
periods would enable directors to get "A
more accurate knowledge of conditions.
which in n particular quarter might be-
Influenced by temporary conditions. AMI
that the ordinary routine of the Office
would be facilitated. II the enormous
amount OF work involved in tho dlsirihu-
ton OF dividends on SECS. .009.oO0 stock oc-
CURED only twice. instead OF four tipes,
during the year.
Pennsylvania and steel have so often
moved together on account OF the rela-
t!ouship between them that. the former
being the principal carrier OF the latteFs
freight. there Is an odd coincidence ia
the fact that the dividend meetings by a
tr,cl, of the calendar occur only two days
apart, NJ a time when there IS talk Of
an increased disbursement OF both. The
Pennsylvania dividend il always declared
on November /. the Steel declaration is
made on the last Tuesday Of the month,
following the end of the quarter. and the
calendar has brought the two DAYS as
close together as possible The same kind I
OF doubt felt about the Steel dividend F.
seems TO have been felt. until yesterday. /
about the possibility Of an increase for I
PENNSYLVANIA, only there was probably
more of t.
After all the only evidence that the in-
crease in the Pennsylvania dividend was
moi matter Of such certainty as some
interests IN the company intimated q lit T.
tie while ago. was tie absence Of any T.
important movement in the stock in an
ucipation Of a Development OF such bull 4
ish import. The average price OF Penn .
sylvania for. year or more has been .
about the level from which the present +
move has started. About three weeks /
hence the books wifi close for the pay
mcut Of the dividend. and whether the
rate be per cent or 3is per cent. the
prevailing price would show that Penn T.
sylvania is selling to-day about the aver (
age for the past year. The stock has
not. therefore. gone Up much in antici-
patton Of an increase in the rate, and
should not drop far II none Is forthcom- (
ing
From low 70 high Pennsylvania rose /
3i5 points which more than discounted T.
the dividend. If no increase was to be 1
made in the rate, and many traders who {
tn the forenoon, had argued that no
change would he made became among I
the strongest advocates Of the opposite /
theory. At the end of the day there 4
In the market for the stock. but a pretty /
general acceptance Of reports hitherto /
doubted by the speculative community I
regarding the dividend, although there I
were still d few brokers who asserted !.
that the movement vas based largely I
upon the technical position. and was en- I
gineered for the purpose OF soaring in 4
the shorts, not only IN this particular
stock. bat in the general market. These /
pointed to the lack OF response in other T.
stocks as something that might b. very
significant The weight OF opinion in /
good quarters vas still as il had been I
for weeks past. that directors would adj /
vance an extra half Of one per cent in 1
addition to The regular peT cent semi /
annual dividend
Evidence Of the prosperity OF the cop /
pA industry was afforded by the declara-
tiou OF a dividend Of s. share for the /
quarter on Calumet and Arizona Not /
very long ago, when the mine was new
and copper prices low, the stock sold FOR I
q price no larger than the quarterly divi- I
dend just declared.
That there is q firm uudertonc Of /
strength to the Morgan stocks was ap-
parent to-day in the trading in Southern /
Railway. While the time does not seem I
for a campaign in this issue /
Southern Railway has decided merit 1
which caused it TO be esteemed with favor /
by investors who are prepared to hold 1
FOR long time pull.
The total earnings Of ali Rock Island 1
lines for September were. net, S2.22i SIS |
increase. SZ55,5s4; from July /, Se,Gl7,sl5: /
increase. Sl.G5&lll