The sun. [volume] (New York [N.Y.]) 1833-1916, 1907-07-28

Tn creates attention. Iney represeuVcu,
it was generally agreed, n shifting OF trust
compan funds that Is customary whenever
the call money rate drags along az n nxure
close to 2 per cent. That Ia the rate the banks
pay on deposits OF trust company money
and even though the call money ratio De
slightly above IL trust companies often prefer
TO accept the stated ? per cent. TO the annoy
ance OF caring for the call loans. Their with
drawal from the call money market shlfcs
the loans to the banks. but at the same time
increases the deposits OF the Clearing House
institutions so that ordinarily the balance
10 about even.
The gain in surplus was but sl7o.eO much
smaller than had been predicted. n re-
ported surplus was %. 25s, e7S as against SIS
500, ATS in the corresponding week OK 1908.
The surplus is none too large " there Is .
determination to accelerate the activity and
widen the range of tho market. but the street
considered 1t ample for purposes OF the near
future. and the sessions only display OF
sctivity and strength followed the publica-
ton Of the figures. Otherwise the market
was very dull. with few price movements OF
interest and almost none Of Importance.
The aggregate Of sales for tho week was
s.0se 900 shares, OF which 1877. 900. or CLOSE
TO 90 per cent, were In Union Pscihc ana
Southern Pacific. The market throughout
was distinctly a Hartman market. with
speculative interest centred on the Harri.
man stocks and the general tendency OF
prices influenced principally by them. South.
ern Pacific gained ~ points In the week ana
closed within q fraction OF the high point
reached on Thursday. but after transactions
OF more than 700 900 shares In Union the net
gain for the week was but ~ points. Inc
volume OF transactions In both stocks poihts
to a vast amount Of manipulation and brokers'
throughout the week were alert Tor signs OF
absorption Of the stocks by the outside pubic.
As far as can be learned there was no great
demand stimulated by the prominence OF the
shares and IL is iikel that those In charge OF
the movement did not anticipate absorption
In any large volume. Under the market
conditions that have prevailed this year IL
is Inevitable that distribution proceed slowly.
That there was some distribution is generally
agreed, and many observers OF the market
are Of the opinion that In this way the move
ment was as successful as could have been
expected.
The assurance OF an increase in the South
ern Pacific dividend to Q per cent. coupled
with predictions OF maintenance OF the 10
per cent. rate on Union. alters the market
position Of the stocks relative to each other.
The contention that on the basis OF Invest
ment return Union should sell at double the
price OF Southern 10 now without force.
American Ice lost ~ points yesterday on
q single sale OF 100 shares. The stock went
at IS as compared with a price well above 90
in December. The price was the lowest
since April. 1905. and was the more significant
because it followed q number OF sharp de-
clines occurring whenever. apparently. long
stock Is put on the market. There has long
been curiosity as 20 the source Of this long
stock. A broker who has watched the trans
actions very closely said yesterday that In
his opinion the supply came from the lead
ing members OF q big irm which went out OF
business a while ago. The trm. 1t was said
took a fair sized block OF Ice from a customer
who had no other way OF settling his account,
and Two Of the firm members took over the
stock on the settlement OF the FIRMS accounts.
These men may be disappointed now. the
broker added. but IL they are anxious TO sec
a sharp advance in the price all that IL neces-
sary is the sale Of a few hundred shares moro
than the amount In their possession.
OF the low priced railroad stocks Missouri.
Kansas and Texas has made the most en-
| couraging showing in the latter part OF the
week. In transactions Of 1000 shares the
common was particularly active and strong
| yesterday, scoring a net gain Of az points.
Apparently authentic estimates represent
the company as having earned 5H per cent.
on the common in the fiscal year ended June
80. The common has never paid a dividend.
and the initial dividend on the preferred wac
declared last year. The preferred is limited
TO 4 per cent. and Is selling on a 8 per cent.
investment return.
Last year there were reports Of quiet sccu-
mutation Of Missouri, Kansas and Texas for
James J. Hill. who IL was said wanted the road
for the Burin gton. through which IL would give
a Gulf outlet to Great Northern and Northern
Pacific. There were also reports that the
Rock Island was anxious to secure the prop
erty. No such reports have accompanied
the recent advance, but there are reasons
| for believing that important banking interests
have very large holdings and though not
perhaps In a position to assert absolute con-
troll are still influential enough to prevent
acquisition OF control by any hostile faction.
Charles NJ. Schwab was quotedsa a. saying
Of the steel situation that conditions are sound
and that IL there is any recession ip business
IL will not reach large proportions. Excel
lent, though not as good aslsst year. was Mr.
Corey's mme earlier in the week on the
same subject.
A brisk upward movement in Texas anc
Pacific yesterday was one OF the few bursts Of
activity observable In the Could stocks since
the market shook OF Its lethargy. The ides
prevails thet MIR. Gould Is still following the
policy Of permitting his securities to find theii
market level. The fact that these securities
appeared to he free from manipulation OF
inside operations OF various kinds was fire..
quently noted during the big decline Of tn,
late winter.
Critics Of the market still base their principa
objection on Its narrow range. If transac
tons In half a dozen stocks were excluded.