The Washington herald., 1907-03-02
WALL STREET NOTES
Insiders Not Surprised at
Consolidated Gas.
FORESHADOWs GOOD NEWS

VIII Favor COmnany-RumOr SAYS
There Is joker in Proposed
LegisIatiOn-St. Paul and Northern
Pacific Act Like Twins.
New York, March brokers who pay
close attention 20 tie trading in Consoli-
dated Gas said they were not surprised
at the sharp advance in the stock in the
first hour Of business as rise had been
clearly forecasted by the hrmness which
the stock had shown during the past
week, even when something like demon
aHzation prevailed in the general market.
There was buying. they said, which
seemed to foreshadow some favorable de-
velopment, such as a decision against the
State in the 75-cent gas suit or legislation
Of a nature helpful TO the company, and
in the latter connection It was rumored
that bin had been prepared for presen-
tation TO the legislature that contained
Joker, which, if put through, would be
worth good deal more than was repre-
scented in move Of a few points in the
stock.
Here and there il was frankly asserted
that even on the basis Of 75-cent gas, the
company could Show handsome profits,
and that if returns were made out Of the
earnings from electric lighting there would
be no difficulty in paying on Consolidated
Gas a dividend rate considerably higher
than the present 4 per cent.
COincidentally with the squirt in Consol-
idated Gas, Anaconda was rushed UP to
296i5 and the trading element pointed 10
the two stocks as an Indication Of the
position of the Standard Oil interests-and
proceeded TO sell the market. For the
bulge in Anaconda no reason was given
except the wholly fictitious one that the
Standard OH interest had begun bull
campaign. but some of the traders pro-
fessed the belief that the stock would
come into more favor with the general
public when the method OF recording
transactions in 10 on the basis OF dollars
and cents per share takes effect next
week.
At present prices for the stock. the new
method OF recording prices would show a
difference Of only four points from the
high of 1853, the year in which control was
bought preparatory to the formation Of
the Amalgamated Copper Company.
During a considerable part Of the day
St Paul and Northern Pacific sold at
practically the same price. the quotations
crossing and recrossing one another fire.
quently, but seldom getting more than a
fraction Of a point apart Brokers were
undecided as to which stock had the
greater merit from the standpoint of in
trinsic value. and perhaps even more so.
as 20 the technical market considerations
which i'm both stocks We're regarded as
very much the same
One broker who showed more courage
than others in dealing with the question
replied when asked which of the two he
favored, Both are best ] would buy
them I'm equal amount, and then buy more
Of the one that Went down most"
The rumOr heard early in the week 10
.the effect that Fl. II. Rogers had decided
upon issuing 100000 notes of the Tide
water Railroad he endeavore0 10 dispose
Of 10 Norfolk and Western had no foun-
dalton IN fact and there Is another story
that may be equally unfouuded concern
ing the alleged Intention of Mr.. Rogers To
acquire an interest in the Virginia Iron,
Coal and Coke Company on behalf Of his
road.
Rumor says the decline i'm the latter
stocks early i'm the week was designed 10
generally is Inclined to regard them with
a good deal of skepucism.
In some influential circles doubts were
cast on the stories Of Reading financing.
and it was explained that it has been the
practice Of the company when purchasing
new ears to form car trusts and take the
certificates into its own treasury. If a
temporary need for money arose. there
would be little difficulty in borrowing on
these certificates. but so far as the best
informed local interests in Reading know.
there is no such need at present, although
the outlook for the anthracite trade is
50 bright that there is no telling what
the company may have to do in the way
of providing increased facilities before
the year is out
According To excellent authority. the
anthracite trade was never in better
shape than it is to-day A year ago the
coal companies were passing through one
OF the mildest winters on record and were
piling up coal in anticipation of a strike
on April !, 1896. Both these factors com
bined TO leave heavy stocks on hand
through the summer and fall. in conse- /
QuenCe Of which the earnings were rela-
lively poor. Now. however. as supplies
are low and prohting by its present ex-
perienCe. the Northwest is likely to pro-
vide early for next winters needs the
most active season in the history Of an
thracite mining in this country is antici- /
pated.
On this account interests which took a /
leading part in advancing Reading about /
100 points during the years 1904 and 1895 /
are again apparently bulls of the stock, /
although for year past they have had /
nothing to do with its movements.
The announcement that a prominent /
banking house had purchased $500 600 of 4
the Louisville and Nashville and 5000. go /
notes OF Atlantic Coast Line was by no
means unexpected, and. as a matter Of /
fact it gave general satisfaction. mas I
much as popular expectation had run in /
the direction of "a much larger issue By 4
both roads, Anticipation of heavy Dor
rowing by these roads had been one of .
the Dearish factors in the market, so .
when it was found that all that was
needed by the two companies was Sl1.-
100000 in all, the street began to realize 4
that some of its fears had been based
on only small foundation.
Already some brokers have bes,n -