Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-01-16
Bulls AND BEARS

Special Dispatch to The Star.
NEW YORK, January 16.-Perhaps the
most satisfactory explanation Of the sud-
den stinening in call money yesterday Is
that supplies had been purposeIy curtailed
because too many houses were financing
their requirements with too much call
money and not taking on enough or any
time funds. Some of the newer houses in
the street seem to have learned nothing
from the episodes of last month. and on
many sides one hears the brag: "Oh. we
have never found it necessary to borrow
time money in any amount to speak OF.
To what excuses this attitude may lead is
illustrated by the fact that one Of the new
stock exchange concerns that has been do
ing an immense business for d plung1ng
clientele was borrowing not far from $D.-
600 day on call at the beginning of last
month, when it was notified by some lead
ing lenders that 1t must take on more time
loans and less call money.
"a
Not few shrewd interpreters of the
signs of the stock market and readers of
the tape have believed for several days
that desperate efforts were being made to
break prices badly in behalf of a bear con-
tingent that found itself in very bad way.
Lawson was suspected of being the biggest
bear In the trap, supposing that he had
been operating as he had promised to do.
and this morning the convictions that had
been entertained about him and about the
course of the market received some con-
firmation from his little advertisement
promising to guess the next dividend on
Amalgamated and to tell what its effect
would be.
A weIl-known commission house, which
took a violent bear position on the stock
market a few days ago. was-a heavy buyer
of Steel preferred around top prices yester-
day.
A prominent wire house with good con-
nection in this city says today IN its let
ter: Europe is very buHish on our Sc
curities and recently IT has been a heavy
buyer of our bonds Some profess to be
nervous over the result of the conference
at Algeciras beginning today, but that is
merely an excuse for selling the market.
pose that any trouble will result from the
conference, and 1t Is certain. the con-
trary. to clear up the whole affair
<
The preliminary statement of the foreign
trade Of the United States for December and
for its calendar year is magnificent show
ing, even better than was indicated by the
statement last week Of the exports Of do
nestle products, The foreign trade state
ment shows that last month exports ex-
ceeded imports by S9S,553, 7O5, or almost Ave
times the net excess of exports over inn
ports for the year.
The Gulf and Ship Island railroad shipped
by vessel in 1905 from Gulfport, Miss, its
southern terminal. 207 614, 600, which, al
though slightly under the total for 1904, is
double the shipment for 1903.
-
The leading foreign houses represented
here have within a comparatively short
time distributed an aggregate of many mill
lions worth of American bonds. 1t is. in
fact, one of the significant features of the
investment situation that a large demand
for American securities has sprung up
among foreigners. Within the past week
European investors have taken large blocks
OF American railroad bonds, especially those
with convertible privileges
~
In their weekly market letter Alfred Mes
ire & Co. say today: ''There continues to
be heavy absorption of Reading by insiders
on all price recessions, and these hold the
greatest confidence in its future develop
ment. Northern Pacific promises we'll AL
though the annual report of the Southern
Pacific Company, issued in December, tend
ed to dissipate the hope of an early distrt-
button on the common stock intimations
come from good sources that dividend on
this issue Is perhaps not so remote as is
generally supposed.
1t would not surprise those well informed
on the company's affairs if this stock was
placed on a dividend basis within the next
three months. At any rate, 1t may be ac-
cepted as fact that banking interests
close to the management have recently en-
tered upon certain commitments which
would seem to clearly indicate their belief
that good profits are to be made on the
long side of this issue
THE United States Steel issues. in our
opinion. are destined to sell at consider
ABLY higher figures on their intrinsic merits.
based upon the unprecedented volume of
business being done by the corporation"
The Westinghouse Brake limited. has
paid a semi-annual dividend Of 10 per cent
and an extra dividend OF per cent. max
ing 20 per cent for 1905. While the divi-
dend rate here and in England is the same.
and the par value. f10, nearly the same
as Westinghouse Air Brake the English
stock is selling at 120, as COMPARED with
Isl to 1855 for the American shares. The
company pays an income tax to the British
government. Foreign stockholders got a
tax rebate, and 1t amounts to about So 40
On 100 shares.
The Mexican Central railway said last
September that 1t could handle S5 per cent
more traffic without increasing its rolling
stock. But since then it has had to order
loo freight cars to be delivered next sum-