The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1906-08-26
BULL MOVEMENT
IN WALL Street
st. Paul and AtChiSon Were the
Center of Attraction Dur
ing the Session.
PACIFICS STILL SOUGHT
REVIEW OF THE. BUSINESS OF
THE WEEK..
PACIFICS STILL SOUGHT

New York. Aug. 25.-The bull movement
which marked the closing of yesterdays
stock market was resumed at today's
opening, when Union Pacific and South
ern Pacific continued their advances to
new high records The real features Of
the day, however, were ST. Paul and
Atchison. The buying OF these issues
was regarded as most impressive. The
early movement embraced United States
bteel common, which touched the high
est prices since 1901: the Hill issues.
Reading, New York Central and Smelt-
ing. Opening sales Of Union Pacific ag-
gregated 10000 shares. Southern Pacific
1000. st. Paul 10000 and Steel 1900 shares.
The market almost Immediately reacted,
though St. Paul and Atchison more than
held their ground. There was no news
TO account for the rapid rise in st. Paul
other than the rumor everywhere heard
during the last few days of buying OF the
stock for Southern Pacific by the Harri-
man interest. The buying OF the stock
was ascribed to the belief that the stock
was to be placed on a per cent divi-
dend basis. The excited opening was
followed by profit-taking and the market
relapsed before the end OF the first hour
A fresh squirt in ST. Paul and Atchson.
which sent these stocks higher than be
fore, brought n renewal OF the early
activity. Apparently no thought vas
given to the bank statement. until shortly
before its Issuance, when some apprehen-
sion was reflected in the markets hest
Eating tone. These fears were ground
less. however. inaSmuch as the state
ment was in most part essentially favor
able. The market made general recovery
after the publication Of the hank state
ment, St. Paul and Atchson again lead
Ing the list. Heavy profit-taking set in
and the market. while closing extremely
active. showed general rccessions from
the top. Union Pacific making a net de-
cline.
The net gain in St. Paul and Atchison
were ga and pa points respectively. PraC-
tically the entire active list showed ma
terials gains for the week.
Total sales OF bonds, par value, ST.
800 900.
Review of the week.
A succession of interesting events
combined 20 make the week one of the
most memorable i'm the recent history Of
Wall street. The Hartman affair" was
still the most fruitful topic OF discussion
and criticism continued 70 deal unspar-
ingly with the perpetrators of the now
famous crop. The volume Of business for
the week the first day alone approx
mating 1900 900 shares. was in itself an
extraordinary feature. On huge trans
actions the Pacifics moved to new high
records, and aside from money condi-
tions the course Of these stocks was the
governing factor OF course. opinions
differed as to the amount Of stock mar
keted by the insiders, but the irregular
ern Pacific prior to the new movement
later in the week suggested the thought
that these same insiders were quite con
tent TO let prices sag. Bitter as Is the
feeling against the controlling interests
in the Pacifics. unpreiudiced students Of
values do not deny that the dividends
named were largely justified by the finan-
cial exhibits which preceded them. Ru-
NOR was busy with talk of increased
dividends in other high grade issues. par
ticularly Louisville & Nashville and
Atchison.
The strength OF Great Northern pre-
ferTed served as an excuse to revive ru-
mors of a transfer OF the Hill ore lands
in the northwest to the United States
Steel corporation with resultant valuable
benefits TO holders OF the Hill seCuri-
ties. Incidentally. the strength OF United
States Steel common. which sold at the
highest price reached in four years called
attention 10 the continued prosperity Of
the steel and iron industry and led 10
the perhaps too hasty conclusion that
steel common dividends only recently re-
sumed would ere long be placed on their
original basis. The copper shares were a
feature. their strength reflecting the re-
ports OF excellent trade conditions and
the possibility Of increased dividends. Ad-
vices as 20 the crop outlook from prac-
tically all sections were positively flat
.terlug. and the reports Of the trunk lines
and grain carriers were predicting a year
OF record tonnage.
The weak point i'm the market. struc-
ture. however. Law in the money situation.
which Is sorely strained. At the end of
the previous week the associated banks
reported a surplus lower than at any
corresponding time in thirteen years;
this. too. IN the face Of tremendous stock
market demands and the more legitimate
end fast approaching requirements for
crop movement purposes.
Call money reached per cent, while
loans for all dates ruled at 8 per cent.
with p commission or premium i'm many
instances. The action of the secretary Of
Ao frCu a ufr
lions OF dollars among interior banks
was accepted as an earnest on his part
20 relieve the tension here. n condition re-
Eulting largely from the recent payments
FOR Panama canal bonds final pavmeDts
OF which were made during the week.
Some CredenCe attached TO n rumOr that
the government contemplated anticipating
The retirement OF at least n large part OF
the per cent bonds OF 1907 with the pro-
Ceeds Of the new 2 per cents. but on this
subject the authorities Of Washington
have thus far been dumb.
Prevailing conditions in foreign ex-
change are such az 20 make gold imports
extremely probable but the competition
for the metal In the European markets.
especially by Russia. may prove an in
surmountable obstacle. Our money sit
uation Is beginning To attract attention
abroad. London and the other continent
tel financial centers have according IN
accounts. taken handsome profits i'm orr
securities on the recent rise and these
eame centers. notably London 20 whom
our obligations are, already large. are
showing some reluctance to further
finance our speculations. This attitude.
81 IS thought. is begotten largely of the
Pacific dividends episode. Much was said
during the week Of the increasing inter-
est shown by the public i'm the market
As & matter OF fact this interest has in
creased but little. and the delirium and
fiagrant manipulations so frequently In
evidence were in themselves strong deter
rents. Furthermore. shrewd investors
have not lost sight OF the fact that the
recent rise IN prices has placed the righ-
grade issues on bases yielding scarcely
more than AZ to per cent or better.
Not the least interesting feature OF the
week was the report OF the director Of
the census showing an increase in man
ufactures since 1900 OF Al per cetn. a gain
OF 30 per cent in value.of products and so
per cent in wages.
United States As advanced Il per cent