New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1907-02-15
"Cnlistcd.
Closing prices Of active bonds dealt IN. with
STOCK MARKET OPERATIONS.

Hirher prices for American securities in the
London market were effective influences IN
shaping the course of values IN the early trading
on the local Exchange, but the Improvement was
not maintained beyond the first hour. the up
ward movement failing TO attract aggressive
support from the substantial speculative inter-
ests or buying for public account In the greater
part Of the rest of the day the tendency was
in the direction of lower quotations. declines in
many of the active issues amounting TO per
cent and more with the most pronounced losses
IN the conner shares. Great Northern. Northern
Pacific. Missouri Pacific, Pennsylvania and
Reading. Union and Southern Pacific were not
affected by the declaration Of the semi-annuaI
dividends at the rates established six months
ago-namely 2I5 per cent for Southern Paclnc
and 3 per cent for Union Pacific, the payment
on Union Pacific being made from earnings 10
the extent Of per cent, and from income from
Investments to the extent of > per cent. These
declarations were In line with general eXpecta-
ton and their failure to attract buying OF the
shares concerned was therefore not surprising or
Disappointing. Union Pacific. as a 10 per cent
stock. ought TO be selling far above its current
price. assuming that the dividend rate VIII be
permanent, and the fact that It's price practically
has declined ever since the elimination Of the
advance following the placing Of the stock on
10 per cent basis certainly does not reflect much
confidence on the part Of investors IN the ability
Of the company always to maintain the present
rate. which at the time Of its declaration was
not approved OF by the greater number OF con-
servative financial interests. The general market
closed fractionally above the lowest, but there
was little life in the final trading and no iudt-
cation Of good support
That the Bank Of England expects further
demand for gold from the United States is re-
F.f "a
institution not to reduce the minimum rate of
discount in the face OF an exceptionally strong
weekly return Figures presented at the week
" meeting Yesterday showed a proportion Of
reserve to liability Of 1929 per cent compared
with 1852 per cent at this time year ago, when
the discount rate was i per cent, against the
present quotation Of per cent and maintain
ing the rate therefore at the latter figure indi-
Gates an intention on the part Of the bank 10
exercise every precautiOn at a time when both
the United States and South America arc in
the market for the precious metal Sterling eE-
change at this centre was weak yesterday
under the influence of pressure of bills against
London purchases Of our securities. but the
actual position Of the money market did not
suggest the probability Of the adoption Of ex-
traordinary means by local bankers to attract
gold to this side Of the ocean. II the need arises
for the importation OF the metal there viii be no
serious difficulty in securing consignments from
the London market, inasmuch as this country
has a comfortable credit balance abroad, which
is being increased by purchases Of American
securities for foreign account. Foreign capital
IS more disposed to enter our Investment market
than recently reported, and, in addition, Euro
mean SPECTATORS are taking advantage of the
low prices prevailing here to accumulate specu-
Iative accounts in American rails, the steels
and coppers, which 1t IL believed, win yield
handsome profits in the course Of the next few
weeks, owing to the presence in the market Of
q more aggressive bull party. whose transactions
are based on the theory that liquidation has
been completed, that some currency relief meas
IRE will be adopted by Congress before adj
journment, that there viii be no reaction in
trade Of harmful character and that with the
end of the present Congress the public Will be
moro willing to come into the securities mar
kets
Reports received from the iron and steel trade
present no reason for encouragement over the
future position OF the industry. There has been
no development that might lead to the conclu-
sion that profits viii be less IN the current wear
than in 1906 while the same thing may be said
Of the copper industry In which prices for the
metal are governed by actual trade conditions
rather than by speculative manipulation. Con-
per is selling at % cents pound. compared with
is cents at this time last year, and the chances
are that the quotation will go higher before INV
material reaction sets In. owing to the world
wide demand for the metal and its great scarcity,
in the chief distributing centres. Copper shares
on the Stock Exchange as Industrial investments
may be selling high as some conservative
estimates Of the worth OF these securities allow
but 1t Is a noteworthy fact that tho stocks are