New-York tribune., 1908-08-09
The Financial World.


still more difficult anywhere. to avoid not mere
Iy optimism but enthusiasm-glshy prophecies
The metal stocks are the toast Of the week
United states Steel has done well. Amalga-
mated Copper has done better, Smelling shares
have overdone everything Within the scope of
a half hour Smelling stock. a couple Of days ago.
tunned half a dozen ponts-a corner being
pretty generally suspected and suggested OF
course. we had rushing tales OF bear spectators
in distress forced to cover at tremendous sac
ri6ces: but actually at time and nOwhers
has there been indication that anything like
important short interest still tarries in the
ket.
What above most other things has disclosurs
in the market IS that interests strong enough 70
he financially independent committed in
large way to the bull side and playing With
/ the protection OF already largely accurnViated
profits they are undertaking performances
which ordinarily might be regarded as exceed
ingIy dangerous In a score OF stocks they nave
pyramided They have large profits on paper.
and feeling sure in every way OF themselves.
confident Of their strength devoted to the be-
! lief that business conditions are already trs-
mendousIy improved, they proceed In their cam
paigning literally careless Of opposition What
is consequential-what under ordinary ctrcUm-
stances might be regarded curious In the eN-s
trerne-is that they have In their copartnership
the positive, active. cooperation OF pTe-einhenr
banking houses Cheap money Is their SAFE
guard.
What moreover is to be considered as sigui-
fying in the logic Of this bull campaigning Is ths
heIief TO which leaders are committed touching
the relations of the public 10 the market They
nor onIv admit that outsiders have not yet cone
into the market they proclaim the fact as essen
TALLY OF the most considerable arguments N
their favor They urge that the public IS strong
enough TO buy-that all the public needs TO in
cit. it 10 buying activity is evidence that qu0-
tations can still rise, and. their argument pro-
ceeding they aver that there WIZ 4e e1rly puoslc
response. public participation IN the market oy
very reason of the fact that quotations continue
to advance Avarice. they urge, is the surest or
all influences
over against what specifically must be -
garded as dubious. however, is 10 be set the fact
that the market in its present development has
the confident support Of varied conservative IN
, terests II isn't merely the speculative group
that believes the current betterment to be war
ranted believes it entitled TO proceed materially
still further The very foremost Of international
banking houses can be quoted as approving the
markets broadening out
in its development that it has had the leadership
of standard stocks like Union Pacihc ana 81
Paul in the railway list and OF United states
Steel among industrials- Nnal, - Iloleoxet- i - -
been Enthusiastically advantageous appears III re
very clear values belonging to virtually every
stock conspicuous in the recent rise. We hdv7
not had the rushing up or droves OF "oElNi7sS
things As whole the market in its improve
ment has been headed by Intrinsic worth Wnen
here and there efforts have been made 10 boost
rnara garobIing games the markets response
has been dull and rejectfuL Ihe character u
the market has been right
One notable feature of the present market-s
feature exceptionally inspiriting g-shoWs in the
expansion Of transactions in bonds-investment
proceedings And what is consequential in this
regard fs that we have in the market extremely
favorable opportunities for the bond INVESTOR
! Take for example. the First and Refundins
Mortgage four per cent gold bonds OF the MIS-
souri Kansas and Texas railway. quoted yester~
day around rs. In many unusual regards tnlS
bond has investment attraCtiveness- IL IS nrsc
lien on SIS 100000 OF rolling stock comprising
20 per cent Of the entire equipment Of the rail-
nav cornnanv and worth twice the whole aulodn-t
of these bonds issued Additional security OK
lists I'm the terminal properties on when IL Is =
first lien alone of sufficient value 10 secure u
outstanding bonds And six hundred miles or
railroad lines further secure the issue-on WnlCh
the bonds are a second mortgage Under th9
direct regulation Of the Interstate CommelcN
Commission the railway company Is ChaIs..e
operating expenses and paying mCnInIy $9'.'V'
to an equipment replacement tund-IFiS Iuiid -
nY,rchase new equipment fast as any Is PCL
ont Of service The amount IN this fund June
40 1908 approximated s1.0OO.0OO with lTaL-
weston the port terminal OF the Missouri Nan
saa and Texas system ranking second only 70
Nev York as a port Of shipment from the United
States and the natural seaport for the terrIt0ry
embracing the grain section west or the MIS-
sissippi these refunding four per cent bonds are
fntrfnscalIy worth much as the old fourS
selling close to par.
to an investment bargain like this. by reason oI
the fact that European interests are knoWn =.
have become interested in the opportunity :"
offered With Missouri. Kansas and Texas So
curities I'm particular favor at London ana by i
Amsterdam il is easy to understand Whal -
signiAed bv INQUIRIES which have come INTO OUT
market this week regarding the system : nonuS;
One banking house is known to have optloIai
orders to take very large amount OF t,lIs
funding issue-and the mere execution OF ltS -,
order would be bound to result in very SUI
stsntial advance in the market value--for IhsIo
are barely S5 100000 OF the authorized issue noy
outstanding. Anywhere under 30 sucH a 80 oor.,
is an exceptional bargain-and alert IN eSto-
here will anticipate rather than follow ioIes'
appreciation of this fact II would not oe SUI
prisfng indeed were announcement TO De llauII
AT any time that important lnJerIla una
hank was bidding en- bloc. for more bonds ma. t
are available From any standpoint the cuFIeNN
price Of these bonds Is simply amazingly '0"'
In further general market buoyancy al ths
Hartman stocks likely TO continue acuN7
participants The Guggenhein speCialtIes proin-'
ise similar good report Of thenselves-thls par
tIcuIar group being advantaged by the partner
ship which the Messrs- Guggenheim have oeeh
able to make with Thomas w Lawson MI
Lawson has redeemed some almost hopeless
prospects in that quarter. incidentally Wan
street begins to show disposition TO quains
its attitude of superiority towards Lawson
develops one rather interesting characterisuc
the stock market characteristic of making go'N-
Apropos OF the Lawson -Guggenheim coaii'io"'
IL is notable that there develops a new popN
Iarity for standard mining properties geneFaIy'
Nevada properties gain quickest in favor "''
fsId Consolidated shows new strength
Nevada Consolidated there Is the advantase
deveIopments indicating values beyohu -
have hitherto been forecast In this propSSl,y a.
Holland banking interest has just been aoie e,-
ACQUIRE an important interest and IS negotlA' ss
FOR further holdings Almost identical IS ,5 W