Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-03-05
Financial News Letter
BIZ W. G. NICHOLAS.

There were too many knives out and too
many scowling faces among the big chiefs
to inspire public confidence. Speculative
holders made haste to shorten sail, and the
professional element turned against the
market. deluging 1t with offerings prev
viously fairly placid situation seemed sud
denly to get full of weak spots and senti-
ment shifted uneasily. Everything seemed
TO contribute to the unrest The breach be-
tween the Hill and Hartman forces west of
ehfcago was seen to be widening, new
Arguments and combinations were discov-
cred to be organizing behind the big life In
surance companies: powerful interests were
detected remorselessly interfering in the
sel'iemeht OF differences in which they had
not before shown much interest. and in
"hieh their late appearance engendered
bitterness The Washington situation took
on a most discouraging aspect. from the
wall street view point while state and
municipal antagonism to so-called vested
interests was more than ever in evidence.
general crouch" developed, the effect
OF which could not be otherwise than
against prices
wan street takes more than a passing in
terest IN the senatorial probing into the
NaAiat uSdi, now In progress IN
Washington. There has always been an
unsatis1ed and therefore keen curiosity as
to the part played by Poo Bah Cromwell
IN this international drama. First and last
Mr. Cromwell has apparently represented
every interest and every phase of the ne
sotiaton, still occupying the complex posi-
lion OF counsel and adviser of nearly every
pody and everything involved. The point
about which there has always been the
greatest mystery and about which the lar
gest measure of interest attaches is the
amount which is supposed to have gone
into the pockets of a cabal of American
bankers. statesmen and lawyers out of the
S4o,oOO,0oo appropriated by Congress and
paid for the canal Deep-seated, yet thus
far improved, is sinister suspicion that
many millions of dollars supposedly des-
tined for Paris never got beyond New
York and Washington, and that q mat
ter of fact a majority interest in the pro-
ceeds went to this mysterious cabal. The
enorts of Senator Morgan to uncover the
inside story of the deal and the very evil
dent intention of the opposition to keep
the facts suppressed afford considerable
quiet amusement in the financial district.
where gossip about the deal has long been
rife. 1t is clear to those who think they
have an inklins of the truth that the veneer
able Senator Morgan is trying his level
best to force disclosures In support of a
theory that If full facts could be known a
second Panama canal scandal would be
vealed rivaling in sensational Importance
the original scandal which convulsed France
and the rest of the world a dozen years
ago
In trying to get at the true inwardness
of the hitch in the big iron-ore deal, by
which the steel trust was to take over
Mr.. ]. ]. Hilrs iron deposits in the north
west, gossip has lodged the responsibility
upon the Standard OIL people. The finger
points directly toward Is Broadway. the
head center of Standard OIL action and
Standard OIL intrigue. The break in nego-
tiations came after every important feature
of the deal seemed to have been settled
In casting about for a reason persons famiI-
lar with the situation have about settled
on the theory that the deal was selfishly
encouraged up to the last moment in order
to make better market for Union Pacific
holdings of Northern Pacific stocks and
that the shelves having been cleaned of
these securities an arctic frost was turned
upon the scheme by the same agencies
which had all along encouraged it only to
betray. Wall street always gives heed to
stories like this of Standard Oh and Harri-
man plotting and contemplating and does
not look far critically for confirmation.
Anything that looks plausible and Is in
harmony with the accepted ideas of the
deep-sea Vaccinations of the kerosene con-
tingent goes into quick and general circula-
ton.
Persons cogniZant of what is going on in
high copper circles predict that before the
end of the present calendar year the great
copper merger will have become an accom-
plished fact and that the combination of all
the more important copper mining, smelt-
Ing and metal selling companies have al
ready been matured and are thoroughly un-
derstood by the larger interests in the
United States. Canada and Mexico. Those
who do not take direct stock interest in
the merging corporation or corporations
are expected to enter into close working
til
ieved of responsibility care and risk of
sale and distribution of product. A sweep
ing combination. such suggested might
be able to control 50 per cent of the pro-
duction of copper in America and to make
a stable market for the metal at a price
which would stimulate consumption and
give builders, contractors and construction
companies confidence to make long time
commitments huge copper trust con-
Quoted wisely would serve the same pur-
poses In that field that the steel trust does
in the iron and steel trade.
Ill-natured and envious people in the
financial district accuse Jacob H. Schiff OF
playing to the galleries in so widely adver-
Using the withdrawal of himself and other
| members of the firm OF Kuhn. Loeb & Co.
from railroad directories. Not many Of
the important banking houses are likely to
follow suit. They feel that they are amny
justified in remaining in close touch with
railroads into whose securities they have
put their clients and friends and with whose
| fortunes they have been more or less iden-
| tilted.
Down to the present time the employment
of extra clerical help has not been neces-
sary in writing acceptances to letters from
| Russell Sage resigning from directories of
which he Is a member.
Senator W. A. Clark the multi-milIionaire
| copper magnate- is again in very poor
health He never fully recovered from the
effect of that last operation under the base