New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-03-17
The Financial World.

4fsS tftfh~ttso W ftR.
Wall Street experience has new records IA,
week we have had a panic. People Of 49,
language urge that description Ike this So
harsh. Actually it IS mih1 Panic or ths 80
sort Wall Street never before knew; panic =.
preaching it IN consequential way seldom MAJ
ertO figured for, unique in it's searching dastr,,.
tiveness. the panic Of this week is unprecedent.s
For at least two days the security u,a-l..
was without support. strength or sense: for -
least two days plUnging spectators had everv-
thing their own. way. True enough it is thar A.
the end Of the week wholesome reaction SHOW.
many conspicuous recoveries; but-measur,ns
the facts Of the situatiOn-what by wav -
rally has taken place may be considered hus
the natural rebound from the extraordinary a.
preston That there Is large short interesr
in the market nobody doubts. Nobody win doubt
moreover. that at the end of the week manv
had for their inspiration only the theory that
the market was oversnld. that advances ver.
due; and this leaves a status OF debatabiHty. II
is anybody's guess as 10 what the market n.
morrow. or fer some time to come may Co
whether confidence will inspire accumulation or
nervousness incite new liquidation.
Thus as TO the immediate market nothing liz,
certainty is available: it is improbable that iuss
made. interests Ct size viii incline to be patient
Intrinsic things are not accountable for thu
present, and Dit may be for a good while ia
Gomez they who are OF consequence in the IN
vestrnent world and they who count most in
speculative activity will be disposed to inactive
ity. Yet in the long run as to things eventual.
there must be opinion. conclusion. business con-
duct based on the absolute certainty that IN.
DERIVING conditions are all right. that CONNER
caly, industrially. financially. the country IL
splendIGiy superior TO whatever before has been
approached.
In some railway earnings recessions are shown
gross increasing, net decreasing. But records
OF the sort are exceptional Theorizing pessi-
mists insist that serious suggestiveness 50 ap-
pears. Practical railway managers make state
ments altogether to the contrary. Their view
is that almost forthwith the pace OF net figures
win Overtake the gross expansion: and the fact
looming over all else is that business IN every
department. in every quarter or the country, is
expanding. And this. more than most ether
things, reflects the natural general business stu
ton.
One signifying feature OF the stock Exchangs
week shows in Steel Corporation quotations
Both the preferred and common stocks re-
cord substantial advances. and transactions ap-
pr INNATE one and half million shares. Nat
ural enough is exhibit like this, 50 extraOrdi-
nary aTe the disclosures OF the annual financial
statement issued toward the end OF the week.
figures like these appear there: After payment
Of all fixed charges and preferred and common
stock dividends. and after extraordinary aPprO-
priatiOnS for the construction OF the Gary plant
-assIiuSt which no new securities are issued-a
free surplus of S97,O00.O0O is held January first.
Figuring the actual net revenues or the cOrpO-
ration. it is seen that with unusual apprOpria-
tons discontinued net revenues would now be
providing over Is per cent upon the common
stock Subsequent the transactions OF lqgl
year the wonderful current figures OF the
present quarter. They exceed $4o,000.0O0-
~vOt'1 management virtually perfect business
management is cTystalIized in the administFa-
ton OF he United States Steel Corporation.
What Judge Gary accomplsnes there tails hard
" one whit short OF miracle And cOfnctdent
with the splendid accomplishment Of skill ard
Intelligence is the open exhibit Of the cOmpany's
tffcd by independent outside audit The ideal
corporation is the United States Steel Corpora
ton.
Now. as 70 this weeks performances on the
Stock Exchange: Prices fell to pieces. IncOher-
ence was everywhere Nobody understood any
thing. Quotations staggering away from values,
assumed to reflect not one thing other than the
ramming and jammIng policy OF bear specula-
tors whose audacity finally had been able to pro-
woke a wholesale Udufdatfon II is popular COM
Tnent that this smash has been a sacrifice for
rich men only-that the tnsider. the general pub
lie. has not been involved And that may 90
suggested. We have had an orgy. We have had
senseIess destruction. They who are strongest
have suffered mOst-but the scythe has not neg
lected the lesser ones And in this phase OF the
situation there is bearing on the markets future
for buying power is surprisingly disturbed
Much ado IS made OF the proposed conference
between President Roosevelt and some railway
presidents: one Of these gentlemen. unfortunate
~ happening to be at the White House non per-
soma grata, may be an embarrassment to some
of the corporation associates. However, whatso-
ever may be the determined procedure. relative
~ insignificant is likely 10 be the resuit-for dis
appointment awaits hopeful souls who may be
resting ;pon the theory that any group Of clever
gentlemen can by descending upon Washington
Of a sudden revolutiOniZe the administrations
hal pan policy. Schedules, exhibits speClcuS ar
suments. however obtained and however varied.
can cut no figure in determination OF this issue
at this time in these circumstances All thai
President Roosevelt has declared for is protec-
tion of the public interest; and every time tR4
critics have assaulted him they have made way
merely for specific disclosures that have brought
him Justification Precisely the fact is, as JOhn
c. Wilson in The Wall Street Daily News yes
terday succinctly wrote: The railroads nave no
cause to fear Roosevelt unless they fear the
square deal
Why affect indifference as 10 what controlling
elements in the situation are? Not only at
Washington but throughout the country is ap-
probation OF the fact that there are groups O.
ffnanciers who regard il Legitimate 70 eN
ploit the pubHc-the shipper and the investor
alike What was disclosed as TO Alton finance
upon the witness stand tells with horrifyins
plairness what no after attempts ar modihca-
ton can affect It Is said that all these thinss
have been known. recognized" in finance a"