The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-04-01

Two Many Recent Issues Rich
Men Moving to Wall
Street.

Special to The Journal 80
New York, March 31.--Corpor IS
sues of securities have been coming on
the market on an unprecedented scale
since Jan. /, and these latter issues,
together with a multitude of small as
sues, have given rise to many doubts
concerning the future of the bond mar
ket. 1t has been varlousiy calculated
that since the beginning of 1905 there
have been authorized for issue securities
amounting to 100000, 900. This includes
stocks and bonds Of companies whose
credit Is of the best or securities bear
ang the imprint of substantial banking
houses. While the manufacture of Sc
lcurities continues at a rate that Is al
most without record, bond dealers re-
port that there is complete stagnation
On the absorptive powers of the mar
Iket. With each successive announce
Ement' of further bond issues or capital
lcreations the question OF how the money n m J.
lmarket Is to take care OF these heavy
iobligations is becoming an interesting
one to Wall street.
Owing to the gold basis established
lby the Mexican government, the Next
can dollar, for many years the best crl-
fterion of the state of the silver market,
has been largely replaced by the Span
wide use and is especially the circu-
Eating medium in Cuba, which has no
coinage of it's own. Thirty days ago ST
in American money would have bought
$1.40 Spanish. Now the quotation is
about $1.15. The price of silver within
a month has gone up substantially 90
per cent. This being the case, it is evi;
dent that the price Of gold must have
gone down, altho the extent cannot be
gold, however, is invariably sooner OF
later reflected in an advance in tht
prices Of all properties and Wall street
property is more susceptible to huctua
tion than almost any other.
Manipulation Of industrial speeialties
naturally causes skepticism as to the
character Of renewed activity. It ii
highly significant that in three issues
Ice Securities, Distillers and Rubber
vantage of temporary favorable devel
opments to unload stock. In the case
of Ice Securities it is the recent aid
vance of 80 l-3 per cent in ice which
was SO palpably designed to swell profits
that even a Standard Oil director ceule
not stand for this policy and handed il
his resignation. The Distillers securi
likelihood of a repeal of the tax OF
alcohol used in the arts, to unload L
line bought at much lower level
United States Rubber has always beel
favorite of manipulation. tho in viev
of the open winter its trade must hav,
suffered quite severely.
The tax on alcohol is about fou
times the cost of it's manufacture Al
cohol made undrinkable and for us
in mechanical arts is taxed out Of ex
istence. Hence the present bill befor
congress. The price Of such alcohc
! varies with the cost Of corn Their
have been many years when corn wa
used for fuel on account Of its 10y
price and the low price Of hogs. With
out tax, fuel alcohol could be pro
Suced in this country far more cheapI
than gasolene, and its use when so pro
Auced would revolutionize American il
eustry to the extent of hundreds . q
millions of dollars year. From ever
sugar refinery in Cuba there leads to
convenient dumping place ston
gutter. The Juice Of the cane is abou
one-half convertible into crystalIize
sugar. The other half is an uncrysta
lized molasses, very saccharine, but nc
of sufficient value to be commerci;
sproduct. In Jamaica this waste is oil
titled into rum, worth on the averae
20 cents gallon, and the profit. froi
rum making is often as great as ths
from sugar. In Cuba the waste is nj
made into rum on account of the GO
eminent tax, nor into alcohol for tt
same reason. Without government ia
At could be converted into alcohol at
cost Of less than cents per gallol
"a better fuel than gasolene could K
provided at less than the cost of gas,
lene. Possibly the refners of petroleum