Evening star. [volume] (Washington, D.C.) 1854-1972, 1907-02-19
BULLS AND BEARS
Special Dispatch to The Star.

Special Dispatch to The Star
NEW YORK. February 19.-It is gener-
ally conceded that the declines In the stock
market yesterday were due chiefly to re-
newal Of aggressive operations by the bear
party. The head Of q large stock exchange
house said this morning that the same OPP
orators who were instrumental in carrying
prices down q few weeks ago were the
principal sellers OF stocks yesterday. Spec
ulative sentiment was depressed more by
the rumors OF forthcoming note issues
than by any other development newswise.
A prominent banker in commenting upon
the report that the Pennsylvania railroad
had placed $50.006000 notes abroad,
promptly expressed the opinion that IL the
reports were true t would materially re-
lieve monetary conditions on this side.
-.
Spectators took a pessimistic view also
of the failure of New York bankers to Sc
cure any part of the new gold which ar
rived in the London market yesterday.
Bankers intimated that they are not dis
posed to bid for European gold at the pres
ent time. They claim that our money mar
ket can be taken care Of without resOrting
to the Importation Of gold, and that 1t
would be unwise to further increase the ap-
prehension which London and Paris bank
ers seem to have regarding the large
financial requirements of our railroads. One
foreign exchange expert, in discussing this
question. clearly intimated that New York
might have secured very large part of the
gold which arrived in London yesterday II
our bankers had been disposed to bid for it.
k*
President Harahan of the Illinois Central
Railroad Company is in town this morning
and when asked If his company proposed
any special financing in the near future
was inclined to be somewhat evasive. He
said that nothing of this kind has been done
thus far. but he was not entirely certain as
TO what might be done little later on.
W. w. Gurley, general counsel for the
Chicago Union Traction Company, is still
In town. 1t is understood that the principal
questions now receiving attention by the at
torneys of the company is the agreement
under which trustees, recently appointed
will hold the stock of the Chicago Railways
Company, the new company through which
the Chicago Union Traction Company will
be reorganized. provided the referendum
vote on the new ordinance is In the affir-
native. Between now and April 2. the
date Of the spring election in Chicago,
the attorneys and the controlling interests
in the Union Traction Company will devote
their time chiefly to perfecting the proposed
reorganization plan that it may be made
effective as soon possible after the cleo
ton In the event OF the ordinance being
adopted by the people.
X
A banker who has looked into the Mis-
souri, Pacific situation very carefully says
that he can find nothing wrong of an acute
nature. So far as he is able to ascertain
the actual earnings of the company are
equivalent to per cent on the stock From
two different sources comes the statement
that little Importance should be attached
to the recent report Of selling of Missouri
Pacific by the Sage estate. 1t is understood
that when the stock was selling at about
80 in its upward movement to 125 prior to
the resumption of dividends, Mr.. Sage sold
large proportion of his holdings, believ-
ing that the stock was sufficiently high on
the basis of the earnings and outlook at
that time. There is good reason for believ-
Ing that when he sold his stock he had no
direct information of the forthcoming re-
sumption Of dividends. There is equally
good information that he never bought back
any considerable part of the stock which
he sold In the neighborhood of 80. Conse-
quently. according to our authority. the
Sage holdings of Missouri Pacific during the
last five years have not been as large as
were generally supposed.
"a
The rumor from the southwest that the st.
Louis Southwestern has passed to E. H.
Hartman is easily believed in Wall street
because not a few shrewd observers have
held to the opinion for some time that one
or more active groups of railroad bankers
and operators would become large buyers
Of the Gould stock, realizing their intrinsic
value and great possibilities which ap-
parently have not been fully developed 1t
Is understood that at the present time 1t
would be absolutely impossible to buy con-
troll Of the Missouri Pacific in the open
market. At the time of the contest be-
tween the Gould interests and Joseph Ram
sey for control of the Wabash 1t was DEM
onstrated that the former did not control
the property because the actual ownership
OF majority of the voting securities in
clude debenture bonds, as well as stock.