Evening star. [volume] (Washington, D.C.) 1854-1972, 1908-08-23

in this respect have been only partially
realized, but the leaders Of the manipula-
ton found it easy to put prices up. and
with the aid of cheap money placed at
their command by the banks and trust
companies they extended their operations
and put into effect broad. general play.
At the present time there Is an immense
speculative long interest in the stock
market and considerable shifting about
of ownership thereof. The great leaders
of the manipulation have been In and out
of the market two or three times, captur-
ing huge profits only to yield again to
temptation and reinvest in the securities
they had sold. Meantime semi-profes-
siOnal public made up largely of rich men
have become interested in the market,
seeing how easy 1t was for the big fellows
to make money, and they are now proba-
bly, carrying the largest end Of the deal.
Although realizing that the tremendous
advance which has already taken place
in the stock market must have discounted
any Improvement likely to be seen in gen.
eral business for at least another six
months ahead, banks and bankers are
showing very slight alarm over a stu
alton which might appeal to some as be-
coming hazardous. The counsel and ad-
ceiving scant attention. They have been
wrong for three or four months, and
therefore they are looked upon as false
prophets and apostles of evil. They have
The dance goes merrily on. To shift the
simile, the skaters are proceeding with
their carnival unmindful of the fact that
the Ice is getting thin and that they may
be in danger of breaking through.
The banks and trust companies being
behind the gamble with the public money.
it appears that the public is really in the
market, but unknowingly. and not partic-
ipating in the profits.
4 \
There is much testimony which is con-
sidered good in Wall street going to show
that Mr.. Hartman has sold out Union
Pacific holdings in New York Central and
reinvested the money in other quarters
presumably in Erie. Wheeling and Lake
Erie and the Pittsburg Terminal securi-
ties. For several days New York Central
certificates of stock in strange and un-
mission houses through banking houses
identified with Hartman affairs. AT the
date of the last annual report Union Pa
cifc held in it's treasury a little over
10000 shares of New York Central stock
worth at par 81, 2S5. 0OO but which cost
$40, 634. 600. an average of about 1856. Cen
trail sold up to 10 last week, from which
point there was decline of nearly $40
share. If Mr.. Hartman got as much as
1O5 for the lot the transaction still shows
A little matter of that kind is hardly
worth a mention in Mr.. Harriman's lit
erature pertaining to Union Pacific high
financing. The little wizard having trans
and Wabash has no further use for the
Vanderbilt system. He found his position
with New York Central not entirely to his
liking. He was entirely unable to exer-
else any sort of control over that COM
pany or it's policies, and he is never quite
himself unless he is the whole thing He
was. therefore. quite willing to sacrifice
$4,OOOOOO of the money of Union Paciflcs
stockholders to extricate himself from
seat of unrest. Possibly, however, he
may have saved the stockholders further
loss by unloading their Central when he
did, for the system is losing money hand
over fist and may go considerably lower
before bottom is reached.
Wall street is not quite SO sure as it was
that Mr.. Taft is going to have a walkover
in November. Down here they had him
elected and inaugurated UP to two or
three days ago. Recently. however. re-
ports have been seeping into the street
that all was not unanimous for Mr.. Taft.
These reports originate not only in the
west. but in many of the republican
strongholds of the east, where apathy is
street is slow to grasp the real signifi-
canoe of these kind Of bulletins. but it be-
gins to show symptoms of uneasiness.
Down to date there are no signs of
no telling what may develop, and many
people look for one or more election
The waning of Wall street cocksure-
ness over the November result is not en-
tirely to the displeasure of the republi-
for Snch awakening
was considered necessary to an unloosen-
ing Of the purse strings. The campaign
war chest has been filling all too slowly.
1t is an old trick of campaign managers
to throw scares into the party in order to
bring out the votes and the contributions
A knowledge of this fact has made Wall
street slow to believe the disturbing re-
ports 1t has been hearing from the coun-
for precisely this sort of demonstration.
One of the real clements of strength in
the stock market all through this recov-
cry has been conviction that when good
times come for the railroads they will
get back not only all their former volume
OF business, but that the tonnage will
Yield higher revenue. In other words
that freight rates will within the next six
months be moved UP to Is per cent, and
SHdl tHc IOduS Will De getting
to $15O,OOOOOO more than ever before per
annum. The process of uplifting the
freight rates is slow one and is still
meeting with opposition, but the result is
reasonably sure. The railroad officials of
high degree say that the shippers and
the public generally are realizing the JUS
tice of the railroad end of the question
and are admitting that they ought to pay
more for transportation when all the ele-
ments of cost of such transportation are
greater by 80 to 30 per cent than five
years ago.
With the cost of production that much
heavier 1t stands to reason that the fin
ished product should bring more. This is
the argument being brought to bear by
the railroads, and they say it is producing
the desired effect on the jury. If this
process of reasoning is correct then there
is good ground for some of the discount
Ing of the future. which has been and is
being reflected In the higher prices COM
manded by railroad securities on the
stock exchange.
The determination Of the Standard Oil
Company to lay new pipe lines which
will cost about $4,000 coo is being highly
commended by members of the Sunshine
Club. who like to see deeds accompany
brave words and optimistic professions
The expenditure of $13. 1000, 900 of Standard
Oil money will certainly do a large
amount of lubricating of the Industrial