The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1907-02-21
WALL STREET NOTES
Holiday Expected to Make
Demand for Call Money.
BEARS IN ATTACK ON WABASH


shows Weakness-RIo TfntO for
First Time In History Goes Above
100 in LondoR-AOtes and Gossip.
New York Feb 2O-Friday being
holiday. loans made tomorrow will carry
over until Monday and consequently
brokers expect a relatively heavy demand
for call money on the last day OF bust
ness for the week, and this they think
is not unlikely to force the rate above
any recent level. In banking circles It is
believed the out-of-town subscriptions to
the Pennsylvania loan will be the means
Of bringing large amount of money to
this center and that, barring an outburst
OF activity in the stock market. easier
conditions should rule from now on.
Unfounded rumoTs of a hitch in the
Wabash refunding plan accompanies the
attack upon the securities OF this and the
other Gould roads. but apparently the
selling Of this group was nothing more
than flank movement of the bears who
saw their attacks In other directions met
with stout resistance. II could not be
said that their strategy enabled them 10
accomplish much. for while they sue
ceeded in breaking the prices of Wabash,
10 liquidation ensucd, and the only re-
suit was to leave the operators for de-
cline with paper profits that would either
disappear altogether or become largely
reduced if they endeavored 10 cover their
shorts.
In nearly all quarters the expectation
was entertained that the Aldrich cur.
rency measure would become a law at
the present session. hut opinions differed
as to whether or not the passage OF the
bill has already been discounted. The
weight of opinion, perhaps, favored the
negative side and the prospect OF a fur
Their advance. Hopes were entertained
that the measure would pass the Senate
in the course of the evening. although, of
course, there was no certainty that action
might not be deferred until tomorrow.
The annual report Of the Pressed steel
Car Company showed gross earnings
nearly double those Of the previous year,
while the net earnings were somewhat
more than three times as large The
showing impaired strength to the stock.
and with this American Locomotive SYM
pathiZed.
one story about the heavy selling of
Union Pacific during the present week was
that there was liquidation by "a large cap
it8list Interested in the Tidewater Road.
with the object of obtaining funds for the
prosecution Of work on that enterprise.
The story did not receive much credence,
because the TidcwateT only a few days
ago sold Sleog,0l0 notes. which IL was sup
posed would take care OF its requirements
for some little time and the general COM
ment ON il was that the bears must be
hard pressed for an argument which only
put out such an improbable theory. An
other equally absurd guess was that the
selling Of the stock was for the account of
the large London insurance companies.
OF all stocks on the list. Union Pacific
was the one that could be utilized with
best effect on the bear side. because Of
the impression that weakness in it was
sure 20 convey as TO the feeling OF large
interests regarding the coming invesuga-
ton. Among market factors at the pres
ent time is the possibility that she investi-
cation may unearth something of a dis
agreeable character. and the one that
bears pin the most faith TO, and cOnse-
Quently when they see Union Pacific weak
they feel encouraged. No doubt some OF
the weakness In the stock was due 10
their own efforts. but in all probability no
part of il was apparent, merely resulting
from manipulation intended to afford some
interest an opportunity to accumulate a
line not only Of Union Pacific. but of other
leading issues.
An operator who early in the day ex-
pressed the opinion that Union Pacific
should be sold till the cows came home.
when asked later if ne still held the same
views said. Il don't know, IL acts funny.
This was not very lucid. but IL repre-
scented the transition stage, and was what
could be observed in the street where
there was little else 10 attract attention
as bullish sentiment in the main
For the first time in its history Rio
Tinto sold in London above 100. or at
four times its par value. The strength
Of this stock caused "A mild revival Of
bullishness on Amalgamated Copper
among the trading element on the ground
that the conditions that made the adj
vance in the leading European cop
per stock bore with equal weight on the
leading American Copper security. and
should elicit an equal response from it
whenever the purely temporary circum-
stances that held it in check ceased to
befall.
1t was stated at the end of the day that
all the Pennsylvania notes had been sold.
that this and the decision TO close the
exchange on SatuTday-the only interest
ing announcements Of the day being pub
iished after the close of business.
Representatives Of Western roads say
that grain shipments which have been
held up for lack of facilities or on ac-
count of snow blockades will now come
forward so that the outlook is for ii
freight movement largely in excess of that
of last spring 1t is said that some of
the roads have SO far hauled only about
half OF the grain that should be shipped
over their lines, and that what was per-
force left over viii not contribute large
volume Of a credit that pays good rates
and that revenues will be correspondingiy
large.
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