Evening star. [volume] (Washington, D.C.) 1854-1972, 1907-07-05
BULLS AND BEARS
Special Dispatch to The Star.


NEW YORK. July 5.-Some stock market
observers are inclined to believe that the
operations of the well-known Boston specu-
lator will meet with a fair amount of
success 1t is known that one of his last
campaigns. which was in an outside mining
stock. was eminently successful. The buy
Ing orders. which followed his advertise
ment were received from points all the way
from Maine to Iowa. and 1t was authorita-
lively stated at the rate at which the buy
ing orders for odd lots came in during the
hrst two or three days. that the owners
or odd lots would. soon have had control
OF the company. 1t Is believed that he will
now have considerable support from his
Following throughout the country in the odd
lot purchase of the standard issues, which
practically every one regards as decidedly
cheap at present prices.
There Is some difference of opinion and
or course. no one really knows whether the
Boston Spectator is working on his own
responsibility or under contract with power
full financial and market interests If the
latter is the case, it is believed that it will
De well to watch the movements Of Anal
gamated Copper. If he Is in their employ,
IL Is assumed that the movement in this
stock will be a substantial one II he Is
trying to bull Amalgamated on his own
nook, it Is assumed with equal certainty
that he will get a far larger amount Of
stock than he has any desire of taking.
1t Is generally conceded that a movement
that would result in an extensive odd-lot
buying would be more beneficial to the
STOCK market at this juncture than anything
else that could be done for 1t.
Ihere are good many first and second
preferred stocks traded in on the stock
exchange which are paying dividends at the
rate OF 4 per cent or higher on par, and
on which the yield at present prices is
al the way from to 10 per cent or more.
Not few of these issues would seem
specially attractive. because II business
continues only fairly good during the next
year or two. it is believed that the divi-
dends on these issues would be fairly safe.
Consequently surprise has been expressed
II, IN. some saae circles that these shares have
or this being true. II Is understood that
any attempt to advance the market price
for them has brought out surprisingly
large amount Of stocks.
The most satisfactory explanation given
Is That the holders are not concerned re-
gardtng the safety Of the dividends but
that they have had these securities m loans
which they have been requested to take
up. 1t is generally believed that any SUBJ
stantial upward movement in the near
future would bring out large amount of
stocks OF all kinds which has been carried
for six months or more by the most pow
erful interests In Wall street.
\
Preparations for dividend and interest
disbursements Is term that Is freely used
prior to and some time after the begin
ming Of every quarter Of the year. 1t is.
of course, most freely spoken of in con-
nection with the stringency in the money
market. which Is almost Invariably appar-
ent at those times
1t is to be doubted. however. whether
many who use this term somewhat glibly
realize its full scope and Importance If
the facts could be learned officially, 1t
would probably be, found that not a few
corporations. notably among the railroads,
borrow the actual money with which they
pay the July l interest and dividends.
1t Is known that some of the strongest
railroads keep a special dividend and in
terest account. in which they set apart
each quarter the proportionate amount
sequently when the date of maturity comes
they are in a position to meet the obliga-
tons without negotiating loans. 1t Is also
known that 1t is the custom Of some rail-
roads during the spring months to put into
improvements and new construction all the
money that can be spared out of earnings.
and to, borrow the money needed for the
July disbursements on the condition that
the loans be paid off in installments during
the next two or three months.
If the latter practice is at all general, as
to see how the loans OF the banks, prior to
July l. are very materially expanded. 1t is
understood from railroad men that this
practice Is not common prior to other
dividend and interest periods in the year
as at the July period.