The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1906-02-25
UNION PACIFIC
MOVES UPWARD
Rumors of Scrip Dividend Helps to
Raise Price Of the
Stock.
MARKET SAGS AT CLOSE
GREAT VOLUME OF NEW SECURl
TIES BEING OFFERED.

New York, Feb. 24-There we're con-
spicuous movements in d few individual
stocks today. hut the general mass of
the market was inert and IifeIess. The
fact that few stocks which moved
widely in opposite directions, seemed
10 hold the general level practically
suspended. Union Pacific continued to
advance and was less affected by the
later reaction than other stocks. Ru-
mOrs in circula ton OF an intended dis
tribUtiOn Of a scrip dividend to dispose
of a new preferred stock issue although
they met with direct denial from off,
cial sources, had an influence upon the
demand for the stock. There was a con-
certed demand also for the stocks in the
Wabash group, led by Wabash pre-
ferred. The movements had some SYM
pathetic effect upon the general list
until the continued liquidation in Con-
sOlidated Gas began TO disturb specu-
lative sentiment This stock fell an
extreme points under persistent offer
fngs. induced by the fixing of an SO-cent
rate for gas by the state gas commits
sion.
Reading also was inclined to be
heavy.
The bank statement failed 10 show
any of the anticipated increase in cash
The loss of S2.247 500 serting to make
up more than the discrepancy in last
weeks statement from the known
movements of money. In addition to
the cash decrease, however. the deposit
item was reduced by a loan contraction
Of more than 100000, with CORE
spending modification of the reserve re-
quirements. The increase ia surplus
was thereby restricted TO S664 200. The
sagging- tendency became slightly more
pronounced as the appearance Of the
bank statement and the market closed
dull and heavy An advance in the pri-
Vate discount rate at Paris was an in
c1dent Of the day Of interest to this
market. owing to the large resort which
local borrowers have been making to
Paris banks to relieve the requirements
on the New York banks
Total sales on bonds. par value. ST.
$40. 900
The movement of stocks this week
has been largely dominated by money
market influences and has been mixed
(Ed varying with changes in opinions
I ION the money outlook Conditions in
4 Ge money market grow easier with
Ftle opening Of the week but a furry
10 8 per cent in call loans late on Tues
day unsettled confidence again. and
gains in prices over the closing level Of
the preceding Saturday were generally
yielded. M1sgivingS over the made
quaCy of the money supplies to sustain
any large speculative demand for
stocks returned and light liquidation
met with languid demand and resulting
sagging of prices 4 detailed estimate
of the new securities since the first of
the year to be issued Immediately
shows an aggregate Of over $3.50, 0O0.-
coo, not including many smaller issues,
both municipal and national. Of these
S125, 900 900 are stocks and 1856, CO., 900
are of bonds. Of the latter % per cent
are for refUnding or for the purchase
of existing securities. Meantime re-
ports Of various important projects of
purchase or of combination continue TO
exert a marked influence upon the
speculation and these. too. will involve
some large capital issues for their per
fectinE. Most of these new issues are
10 be offered at a rate of income re
turning COnSideTa BILE hove that at the
ruling level of prices for many of the
securities most active in the day 10 day
dealings in the market With the
comparison thus offered between the
new issues and the old, the effect upon
the prices of the older issues is dread
ed. The saggins tendency Of prices of
bonds is attributed to this comparison
with the attractions of some Of the
proposed new issues and with the ex-
market. News from the financial dis
trict generally is hopeful Of a settle
ment of the coal dispute without a
strike. But utteranCes by miners Off
Gals have disturbed this feeling, and
the recollection of errors of judgment
upon the probable outcome Of former
disputes have added to the feeling IF
doubt.
Some of the incoming reports Of con-
ditions Of business and Industry make
very strong comparisons with former
showings. This il especially true of
railroad earnings, the ratio Of increase
in gross earnings for the second week
in February for many railroads repre-
scented reaching from so per cent to
above 40 per cent Owing TO the open
winter and the favorable operating
conditions, cOrTespOndiugIy favorable
comparisons IN net earnings are ex-
pected- These conditions have been
understood for some time in Wall
street, and the detailed reports now
received have been OF very moderate
influence on prices. The same may be
said of the conditions in the iron and
steel trade.
The tone Of the bond market has been
heavy, Z. s. IS advanced Il per cent
on call on the week