The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-03-22
FINANC1AL AND COMMERCIAL.
March u.

the current stock market was again to-day
strongly exemplifed. Prices OF stocks at
the opening Of business showed little ami
nation, and up to the first hour OF the after
loon the market was In a state Of lethargy.
1t was reasonably apparent that yester-
days, sharp recovery in values had been
at the expense Of the short interest, and
that with this interest, or a considerable
portion Of it, extinguished the tendency
Of the market was to come to a standstill.
At the time named, however, announce
ment was made-at first in the shape Of a
rumor-that the New York Central and
Hudson River Railroad Company proposed
to soon ask it's shareholders to authorize
an additional stock issue Of $1c0, 900 900.
This Immediately quiokened speculative ac-
tivity into life and was the signal for a
sharp decline in prices. The news was
construed, in a market sense, as being
unfavorable, in that it meant, seemingly,
that the stock market was to be compelled
to absorb a further quantity of new seouri-
ties; and comparisons were at once made
with the notable decline in the Pennsyl-
vania Railroad Company's stock in 1908
following the large creation of new stock
by the company at that time. Profess
slOUHl lIdutIH SOlu stOEhS HnfttlIuIlSOuSll
and with great freedom, and in the course
Of the decline some Of the active shares
touched lower points than they have at
any time hitherto in the course Of the down.
ward movement. The market after q
little while rallied slightly, but pressure
upon 1t was renewed until the last quarter
Of an hour Of the Stock Exchange session.
Then, upon a hasty endeavor to get back
stocks that had been sold. there was a sharp
recovery in prices which, however, left
quotations for most stocks al considerable
net declines. The rally was led by an
advance Of over seven points in the Chicago
and Northwestern common shares, which
provoked stories that the issue of New
York Central stock was for the purpose
of communicating a deal OF one kind or an
other between the New York Central and
Northwestern companies: but these stories
were contradicted by semi official state
ments as to the purposes of the New York
Central issue. 1t was declared that the
new stock was not to be placed upon the
market for some months yet, and that
the money obtained from its sale was to
be devoted to the general betterment and
improvement OF the New York Central
property, particularly in the installation
Of electricity along it's lines. That pro-
vision of this nature must in the course
of things be arranged for by the New York
Central Company at an early date is mani
fest. The sale of SIT 500 900 new stock
recently made by the company will not
furnish funds necessary for wen a mod
crate amount of the expenditures now
making by the company in this city alone.
One important item Of these necessities
for funds on the part of the Central is, OF
course, the heavy payments required to
be made by the company in consequence
Of its purchases Of the lines of trolley COM
panies paralleling it's tracks in the centre
of the State. So far as the rise In North
western stock to-day is concerned this
may very we'll have been due to the fact
that the earnings of the Northwestern are
such as to justify an increase in the COM
pany's dividend rate.
A fair illustration Of the dulness Of the
market to-day before the news referring
to the New York Central became public
was that up to the middle Of the second
hour OF the afternoon there had been nc
sale of Baltimore and Ohio common stock,
despite the fact that publication was made
during the morning Of the Baltimore and
Ohio's fattering earnings statement for
February, showing al increase OF over
81 100000 in gross and Of nearly 5000 900
in net. Very little attention was paid
to the news that 81 ,250 900 in gold had been
bought in Germany for export to his
city, inasmuch as it was realized that at
prevailing sterling exchange rates there
could rave been no profit in the trans
action, and therefore that special cir
,.,o,otarnaa rnnat ba va annnlnfaH for II
Some light on these special circumstances
was thrown later in the day when it be-
came known that those in this city to whom
the care Of Japanese funds had been In
trusted were making arrangements for
the transfer to Japan by way Of San Fran
cisco of a further portion Of the Japanese
money remaining in their hands. Recent
gold engagements on the other side OF the
Atlantic by our banke doubtless repre-
sent no more than the movement through
the country Of gold in transit to the Mikado's
Government. Sterling exchange to-day was
weak and money rates were easier. Thu
banks lost $841 900 to the Sub-Treasury
yesterday, reducing their net gain In the
week thus far to the Sub-Treasury to
1914 900. Weekly trade OF con-
ditions in the iron and steel business were
featureless. The only development OF i'm
p~ortaOce in anthracite and b%ituminous
coal matters was the PRONUNCIATION Of a
statement by the anthracite mine operators
showing in detail the extra ordinary char
| acter of the demands Of the mine workers.
1t was pointed out that these demands,
| while composed ostensibly Of a request
| for a mere 10 per tent elevation in wa es,
would, if granted, mean an increase of
| the wage scale in many instances Of from