New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1906-02-04
The Financial World.


'hs week Generally declines sbo7- -Oeshout
mas Deen abundance OF expIana.or,- mere
ness silly misrepresentation have - ''V'isi-
ing Yet. actually. there is discloesa n 0'osd-
yer d single development which 49,, no 10 quar-
a oe resa 1 as hurtful 70 vaIues-o-' It.aaoy
even seriously threatening. What rae indeed,
enectlve Is that the bear spec,IIat,, oeen most
the market mas assumed new energy sIS sator III
Deen above rather reckless attacks mo- las not
-eicn reced1ng quotation cODs@rf1e5 - - values
ton OF inherent market veaknesS- as as ndica-
Iofe: forthwith seized upon as fustiGce.., laeEe-
luIthsE ana Ditterer raids. Such car1naJa Tor
uIslouseS STOCKS not firmly held evs--- SSts1snlng
sensitive 10 scare being hurried fpfc interest
put sales so induced may be regarcstS AAodlon;
c4inPared with the large volume sold a. tsw
PHANTOM Stocks, not owned nnsrat,, 80 sLort-
lot deiVery- In the most, consnIc,,C,,-.I ,deted
.hIS SNORT interest reaches now far be1onSS sues
!otdI recently known Moreover IL h. = tAsy
shares Ike Union Pacific Reading srS vale
salhdteu copper. have been most Farocs ads-
pressed; tne snort selling has been by no rosaay
COlnhed 70 such issues. Indeed if 1ro.1s as
dlncuit 70 find any prominent STOCK ,,-o o-u oe
eittIe lst Wnich has not now an extended ~, eas
H IN some conspicuous quarters TT
snort commitments become unyvIeIdV SHs
To uphold the spirits OF their foilov.
IN s are Ioreeastins as certaintes ioo
rs S " lredtehlhs developments. for not or -
whlch Is substantial foundation discnys-aIso1
Practically all are in class with the bJ,s.ssa0le
the Texas Congressman who a vzsal- 49,. ~tIA q
s SdIy uehlahded tnat Congress inquire into ~
varf.
Railroad-Texas in volcanic ferrnept oT-a ana
road not coming within hundreds ana S,, = r1l,-
% liil N OF 1eIaS. Then came along doIss11
taIeS or general corporation exterminstfoo .- -
Washington, and widespread labor fronS1a.. "a "a
luminous miners and anthracite rnfnera an az %
tenC upon sacrlnclng wages larger than avs,
De1ore were earned; Of "investigation'' thrsasss
at Albany, New-York banks being nm, o -sas
OBSERVATION-DISCLOSURES to continue the dIst,,r ~
ing chronicle, reasonable basis existing g. ~.
an iOta Of sensatiOnalisn. ~ H''
There never was time when eonsequ.r-.r
labor troubles were less likely TO occur than rc
1t will be remembered that when the Isgs 80
ment arose between operators and r,i1s-, - 80
side was induced TO take q reasonabIa at.,,SSa
at the instance OF President Roosevelt ana -
arrangement was put into force which now
approaches termination. In the new contrac- "a
be entered into. II may be at once ssSn1,sS
that each side will try TO do the best n can e.
It's own interests; but it Is entirely gratuitous
to predict conflict. Prosperity is general M
Mitchell. leader OF the miners is hirnsaI, az
thorfty for the statement that the coal vvo-sz-.
are enjoying prosperity unprecedented In tbs
industry, and as for the operators no fIIr+bs.
testimony to prosperity is needed than thu "a
narkable advances Of the past year in the vaIrs.
of securities representing the anthracite bus
ness Now, self-interest alone must be strong
enough to induce an amicabIa understanding
1t is hard times which breed labor struYys<e
prosperous times never yet exerted dlsturhins
influence. At any rate. to sell stocks now bs.
cause of the very remote contingency ~ disa..s-
through strike is a policy which VIII not corn
mend itself to conservatism.
Anthracite prosperity does not stand alone.
is but one OF the splendid Developments obtain
ing. A week ago in this review II was said; The
report Of the United States Steel Corporation
for the last quarter of 1905 due on Tuesday.
will reveal prosperity conditions approaching
the marvellous" The report appeared, more
than fulfilling highest hopes. Net earnings FOR
the last three months OF 1895 were in excess OF
100000 After apprOpriating from these
earnings all fixed charges preferred dividends
more than S5O00.O0O for depreciation and re-
serve funds and the great sum OF SO 100000 Tor
additional contemplated construction. no less
than S7.JOOOO0 passes into the already towering
surplus account.
Analysis OF these figures shows that, even as
Stunning the continuation Of extraordinary arh-
trary appropriations. a sum Is being earned for
the common stock equivalent 10 annual dividends
at the rate Of per cent And that conditions
will not only be maintained but bettered, Is re-
vealed by the untitled orders on hand at ths
first OF the year. reaching the vast figure o.
more than 100000 tons.
Concrete evidence IS this Of prosperity-ard
by a company which so little while ago was pro-
claimed by every professional pessimist as In a
shocking state OF Neutrality-suspicious. not only
of the sturdiness Of the national good times We
are enjoying, but, well, OF the splendid ser-
vice which the important corporations Of tbs
country command from trustees whose expert
ence, skill and devotion maintain the advantage
which prosperity opportunities provide men o,
the character OF Ebert H Gary, George W.
Perkins and Henry G. Frick
OF the Astounding explanations OF marks. Dis
tUrbances. few being rational. those most curl
GUS have to do with movements IN Union Pa
cifc and AmaIgamated- In the latter transaO-
tons at the end of the week were on a trensr-
dous scale. a pre-eminent Stock Exchange oanx-
ing firm executing at one time order to buy
100000 shares, the stock being accumulated
within the range OF couple Of points, an al
vance which all the pessinlists declared was 80
narrow as to warrant immediate free ana easy
short sales. What actually may De FOUND 70 %
the truth is that the purchasers were suppAe9
with contracts rather than stock-that tnose
who sold did not own and had to borrow 20
make deliveries, and thus are further Iarge4y
committed on the short side. It Is not az 81
that there is good foundation Tor
the semi-offical estimate that the short intersse
In Analgamated Copper at the close or the Wee
approximates a million shares. One New-IorS
trader boasts of an individual short account ..
$4,000 shares, and an operator IN Boston avo"s
a shortage twice as large. There is scarcely
firm in Wall Street without customers on tns
short side OF Amalgamated- In some or tness
bear ventures large losses already accumulale'
and anything which might induce an impromp11
covering movement must commit quick bear
havoc Concerning the insistent reports or con-
sOlidat1On, the absorption of competitive oper-
ators, nothing tangible is disClOsed-some specn-
lators long OF Amalgamated being quite Is
ready as any bear could be to invent and CIR
culate a helpful fable. One thing undeniao.s
is that the very biggest buyers OF the stock ths
week (buyers at the top and buyers at every re-
cesston) are directors of the Anal ganated COP
per Company itself.
In Union Pacific much depends upon action a.
the forthcoming directory dividend meeting
While earnings are far more than any DIVIDEND
rate paid or suggested. Union Pacific has In sd-
dition an enormous accumulation OF taVesI'
nent profits. and il is not improbable that %,
fore long, IN some form. there viii be substar1ai
distrlouton TO the cOmpany's shareholders N
trlnSlcaIly, Union Pacific at any price which i
mas yet touched is one OF the choicest Stock IL
change bargains
In this week or fashion for faulthndins ns
combination OF local transit companies mas
challenged both political and financial attention