Evening star. [volume] (Washington, D.C.) 1854-1972, 1908-02-20
AND BEARS
Special DisPst ch to The Star.

| Special Dispstch to The Star.
NEW YORK, February DIT is real
lied by even the most optimistic specu-
lators that as long as decidedly weak
positions develop in the stock market. as
was the case yesterday with the Gould
| stocks, it will be impossible to establish
| a generally higher level Of prices Sc
| curities that not very long ago were re-
garded as attractive purchases both FOR
| investment and speculation. are now be-
ing very carefully scrutinized. and not
a few of them have been set aside as
being undesirable purchases for either ac-
count.
In other words. both investors and
| spectators are becoming not little I'M
certain regarding the position and sta
biity of considerable number of Sc
| curities whose position, until within the
last few months. they regarded as prac-
| tically unquestioned. 1t is understood
that considerable Missouri Pacific stock
was bought in the Sos on the theory that
| the company would not discontinue its
| cash dividend, and that both for invest
ment and speculative purposes the stock
| should be re garded as cheap. 1t Is be-
| lieved that some of the most recent SELL
ing was of the stock purchased above 90.
interests which had believed that the
Wall street situation was very thoroughly
liquidated some time ago are now coming
to realize that there were weak spots in
volving the liquidation of large amounts
of securities of which they had little or
no knowledge. From what they have
learned in recent days they are afraid
that still more selling of this character
must be carried on. Consequently they
say that it goes without saying that until
this liquidation has been completed there
Is little use of predicting a material uplift
In prices. 1t is granted, Of course, that
from time to time. as the pressure upon
the market whole or upon q par
ticular group Of securities is lifted, there
will be moderate rebounds, but little more
In the way of advancing prices is looked
for in the near future.
In some circles 1t is thought that If the
decision today in the Fish-Harriman case
is unfavorable to the latter the effect
upon the speculative market will be ad-
verse, inasnluch as some railroad men
are of the opinion that such a decision
would work adversely In the case of a
| considerable number of other railroads
that are the owners of the securities of
foreign corporations.
On the other hand. the indications are
considered by some we'll Informed people
to be highly favorable to an adjustment of
the controversy between the two railroad
men named, irrespective Of the character
of today's decision. This belief is held
notwithstanding the jocular form Of denial
of Mr. Fish. published in the morning
newspapers. to yesterdays late reports
that settlement had been reached, or
at least a. modus vivendi.
X
Commenting upon the announcement
from Chicago that 100000 employees Of
the railroads that center in that city
may have their wages reduced. a d.
rector of a prominent eastern rail-
road said yesterday that tho adjust
ployes must receive further serious
consideration on the part Of directors
before the present depression in business
Is over the earnings Of most of the rail-
roads will be we'll down to the average
OF 1904, and he points out that the wage
basis Is much above the average OF that
year. Although large numbers Of men
have been laid off by the railroads and
the wages of others reduced somewhat
he thinks that it will be necessary to
carry the adjustment considerably further
before reasonable proportion between
wages and earnings is arrived at.
~
In the opinion of conservative students
OF affairs. this wage question, the fnanc-
ing of the imperative needs of the cor
porations. particularly the railroads, and
other questions that have grown out of
the conditions that were steadily devel-
opinR during the last two or three years.
and which came to a crisis last autumn.
Will receive much more attention than
the day-to-day movements of the stock
q fhn 1p1y
receiving less and less attention. and T.
is believed that the speculative market
VIII continue to be largely a negligible
quantity for some weeks to come.