The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-05-01

4f0Hh HNrhanaa Yesterday tu Ha wifSeHa
depsndaI muliohs ~ inlafa re heaff
sfaballenrti ~ ihelf sicys~s N est Nesh snd
faftiasd Nv the f~ssaufces ihey had eagiHFesi,
sefs not saihHsd piib sAsfina psaslvs -
sea ~ i've eBarss N me hills salts
80 mst srg mliy When q viaaf0aa
sflaat iasnagi on No gniui ~ sernflHa Vie
iafv faY No hifis tufus ss4H point zee as
riusei ln fhsif rents sutt iqa.Hsi thts 'ha reafa
s-sprsetfrrt ihaif aNufts nntil ibs bulis ~.
treated HNnh atrrrs4Hf effe fallaWed W.
unfH itsethef sHie sWNm1Hlbg faesseH eaHF
sse fstNfeai ~ NO rsr fei nst Suly ~
coveted ita iusi afauui hUt fHtesi the't
opponents ~ faifeti HvoHf me lines shten
tHev u]rrupisd when NE dsY . business gpeasi
le the afes banf especially " ea vuFY hssd -
ssv how tbe dsg sBHid eHi, hut ihs lest
eeFls,ts hsaf Hftra ssa HNds AZ ebett "
. ripet and isliri ttef thsi the eu'eoma
mlshi he fafsfota sHh fessanstls elssfHess
nBR fbs hear fs'feai eas eFf"gIy sHd the's
wa befIlg aur ons tho Wautd dsfe ~ asartt
mat 'hess isfsss had msds theif lest s'aaa
fhe bulls ~ ngt seam 20 ~ bent ~ an
hlhla,ins me Fs,Teaiins hos
Much snr oafs esmen, saa detivsi ~ ihs
bulls lgBm ths faes That housss which Wsfa
smans tbs fnosi s~tiys pb the beat eide ~
the saflv tfadlaa I'D not ftpresent any lHis
nuf,ant hnaNrisi intefSSta. Nhis, on he
other haha. twp nousra 'hs' oNeh y
orders ~ q yefv significant Kind wefs pretty
large buvsfs iafse numbers ~ bdyins
orders from standard oh in'pte.ts wefs
said 10 have been rnt In very little under
en-. o,sfh o., In ire Afsf hour and " Wa further
fspoflaa thet - the level vas not hlsh
enough ~ ssI the stechs II waa raised In
many Instances. but even II many NJ these
b,vlag onfsta remainei uneSecutet the he.
LIEF that ,bsy Wefe there furnished 30 much
confidence ~ good support that operators
for the rise felt afratiy encoN ~ frd. whils
many az the shorts. arguing that the marhet
would not for the present he allowed TO de-
cline much further. covered no aud addeh
20 the buying demand
The vac. ot the financial district said N
was lawson hat saved the day The
Buslon operator hAa been 20 hOtorlOidS
wrong In practically all Of hIs recent pronun-
eIamsntoa that people In the street who nav
any attention TO them az all 4, uerally take
them by conttatieN.
one raider after reading T " Iawson's
attHck on tinted states Steel said the only
thing that kept him from turning very butiish
was the fact that from thu Hub Alao came 4
very bullish interview with John W. Gates.
These two he regarded ~ equal and opposite
forces. hut other members OF the fraternity
gave Mr.. Oates credit for being sometimes
Conservative brokers said the tune chosen
by Lawson for his attack on Steel preferred
was peculiarly unpropitious. The stock
had already suffered q severe decline. which
was primarily due to a circumstance calou-
to increase the companys business
This may seem p%aradoNioal. but II nan hardly
quest ioned that the San Francisco disaster
.-. - - - 49,. .Vl laN
70 last weeks break In the stock market. nor
can 1t be doubted that tho same occurrence
will result in the placing Of orders for a large
amount Of structural steel and other lines OF
In connection with the rebuilding
OF the city. The present quarter promises
In the matter Of earnings TO surpass any
corresponding period In the history OF the
company, while the orders on the books and
the new business In sight indicate that the
plants will be taxed to their utmost at least
the eud Of the present year.
The steel Corporation has more than justl-
fed the expectations OF its founders. 1t
has demonstrated its ability to take care OF
the dividends OF its preferred stock under
all circumstances and to earn something
substantial for the common In all except
very bad times. II at present II makes no
returns on the common this Is because the
policy OF the management Is to make adj
ditions and improvements out OF earnings
rather than by raising new capital which.
under existing conditions in the money
market. could not be obtained on very favor
a BILE terms. II Ia easy TO see that the present
policy will In time give the &C company q high
credit, which must prove OF Immense odvan.
IA re to itself and its st ockholders. 1t will place
the sinking fund bonds In the list Of alb
safe Investments. But the most
important consideration Of all. because 1t is
not confined to the company itself or to the
iron and steel industry. Ia the stability which
the corporation has given to the trade. Had
Il not been for the Steel Corporation the
competing plants would have gone in for the
9 raction Of premiums for early delivery and
the other abuses formerly familiar In the
trade, with the result that we would have
had tho boom and reaction months ago.
Following the collapse OF the boom would
h we come the overproduotion and low prices
. hlch always exert a depressing effect on the
general business Of the country.
The strength In United States steel brought
out u story OF a 600, 900 share pool In the COM
mon, but this found very little oredence.
The general belief was that the stock had
been left to take care OF itself and that on lts
merits 1t was pretty well able to do so.
when the recovery comes Amalgamated
20 UP 90 fast as anything on the list"
This was about the most widsly circulated
tip Of the first hour. 1t made good. Amalga-
mated was u leader from the start. The
was based chiefly on the technical
Of the stock. but there was the incl
dental circumstance OF the strength Of the
market for copper. In regard to the latter,
II was predicted that some important ad-
vances In the price Of copper would be an
before long and that within q month
the level would probably 20 a. high as 20
cents q pound. As for the technical posi-
ton Of A~malgamated In the market. II was
reasonably clear that the stock had been over
sold and that some OF the ahorts could be
forced In by a fairly vigorous squeeze.
Expiration OF the term OF convertibility OF
he Union Pacific convertible 4 per cent.
bonds marks practically the last chapter in
he history OF one Of the most popular
Ipeoulatiye bond Issues introduced to the
Wall Street public. The bonds were issued
n 1901, convertible dollar for dollar into
Union Pacific common stock at any time
within Ave years. after which they were to
become redeemablo at io2h up to maturity In
eli. They at once jumped into favor. partly
On account Of their intrinsic merit and partly
.n.,.o - tho faoIIItx xxhiOh fhav aHnFdad