Omaha daily bee., 1908-12-24
NETWORK STOCKS AND BONDS
Rumors Of More Railroad Consolida-
tons Encourage Speculation.
VOLUME OF BUSINESS is LARGE
Market Is spOtty ut Times, Owing
Partly 10 ReactionRry Tendency
of Some of the Minor
Issues.

NEW YORK, Dec. 3.-The speculative
community remained convinced today that
Important r~ealignments are in progress or
~ contemplation In railroad relations. The
ilrst effect of the announced purchase OF
control OF the Colorado d Southern by the
Chlcago, Burlington q Quincy had a mix
cure Oh mlsgivings as a possible prelude TO
e. renewed outbreak of the antagonisms
winch figured in the Northern Securities
settlement. That misgiving has passed
come to be accepted as an unmlxed en-
counagement to speculative enthusiasm. Its
inlluerce was very manifest today, as
yesterday, IN the continued circulation of
rumors and conjectures in great variety
as TO possible further mergers and alb
oLptlUhs' me southwestern railroads
were the favorite subjects of these rumors.
out almost any one of the minor railway
systems which have struggled at a disad-
xanuage against the disfavor OF the larger
y steIns was considered available for sub
Jection TO these ruinors.
me market was fspotty at times. owing
Party 10 the rcactionary tendency OF some
OF me minor stocks which figured most
prominently IN the rumors OF yesterdav
ne usual favored mediums for speculative
actiyIty also were belated in their response
~ tne upward movement and were pressed
TOT sale In some cases. 1t is noticeable
also that an active speculation Is in
pIogress IN bonds of a class which might
pe Iltted from a condition Of doubtful Sc
Surlty under the separate control Of smaller
financial organizations into a higher grade
seCuIlty with the .company's affairs in con-
wi BbA hNlpl III IlIkI GIHHA
credit. II is the enormous transactions in
Uonus o tthat class which rave swelled
Ihe volume of the bond market for two
Gays past to almost record proportions.
me speculative element in these dealings
Was plainly manifest in the violent reac-
IONS which occurred today in the prices
OF some or them which rose most yester-
Jay, the price movement being quite as
wide in some of these cases as in the
shares. At the same time. the investment
demand for first class bonds continues ex-
cellent and the ready absorption of new
pond issues as fast as they are offered con-
stitutes one of the strong underlying con-
dltlons OF the present financial situation.
80 long as this condition is manifest and
tne call money market is kept free from
yloient fluctuations there is little influence
ielt from the more immediate changes In
the money market. Large incursions are
stil being made on the cash holdings OF the
banks. Today's subtreasury operations dis
closed a withdrawal of $3,5S4, 900 from the
banks, undoubtedly due to a further nav
ment OF subscriptions to the Panama bonds.
rms brings the loss of the banks on this
account for the present banking week up
TO $4,000. There is a falling off in de-
mand for time loans and an unwillingness
70 pay the current asking rates which
argues an expectation that easier terms
Will be procurable after the turn of the
year. There seems confidence that supplies
OF banking funds would be forthcoming
from outside sources before money rates
had risen materially above the present
moderate levels. Examples of the day's
movements were those in Brooklyn Transit
on the revival of the often repeated rumor
OF a dividend declaration impending and
IN bethlehem Steel on a story that Andrew
carnegie would resume active business by
taking part in its affairs. The market
moved no aspect at any time OF what Is
called holiday dullness, the days business
proving a large one both in stocks and
Bonds were irregular. Total sales. par
value, $lO,6S6,O0O United States bonds were
unchanged on call.
Number of sales and laAdinp ouotatIon,
on stocks were: