The Birmingham age-herald., 1908-03-23
RISE IN STOCKS IS SUBSTANTIAL Week Has Had Period of r. regularity and Nervousness THE ADVANCE MAY CON IINUE Efforts at Legislation at Washington Along Lines Affecting Labor and
 Corporations Have Affected
 the Market.
THE ADVANCE MAY CONTINUE

New York, March 22.-The action of the securities market last week was affected by what had been accomplished previous ly in discounting an improvement in con- ditions by the considerable rise in prices which had occurred. The attractive profits which had accrued on holdings bought before the rise induced muen selling to realize. and some moderate broadening of the speculative demand for stocks facilitated this movement. The dis position to take profits was sufficient 10 make it's impression on securities and the action of the stock market was un- settled and irregular in consequence. Add ed to this influence were some occur rences which raised questions of the rate and the extent to which improvement in business had gone.
 Action towards reduction of dividends in several cases centered attention on that subject and the probabilities were ean- vassed with some uneasiness of how far the tendency might extend.' The reduction of the New York Central dividend from 6 to a per cent basis was the most im- portant action in this line. There was also passing of the dividend on Cruclble Steel preferred and on Union Typewriter stock. and the reduction of the dividend on the Rio Tinto Mining company, the great copper mining company in the Eu- ropean field. It has been considered in- evitable for some time past that dividends on some of the railroad stocks should come down, and the prices of the stocks tp " " q supposed to measure the expected reduc- ton in the return. The sensitiveness Of prices last week to the news would in- dcate that some revision of estimate was in progress as to tie requisite change in prices called for by the expected changes.
 The question was affected by the re- ports of earnings of railroads coming to hand, the perssting rate of shrinkago Tn both gross earnings and profits disclosed and the obstacles which seemed to be of- fered to adjustment of expenses to the diminished earning power of the com panies The previous weeks rise in stocks was predicted to an important extent on hopes aroused by reports of conferences in progress at washington that permis- sion of the interstate commerce commits sion to the railroads to raise freight rate charges was planned, coupled with assur- ances that wages of labor might be se cured in a proportonate share of ill., creased return. Confidence In the stabil- ity of these projects waned in the finan- cial district, and fears have grown that the adjustment must proceed along the lines of reduction of wages, with the dis inv impression is created also that railroad corporations are inclined to entertain div idend reductions as a suitable policy to pursue as an acknowledged result in conformity with the enforced retreneh- ment of outlay for services on their lines.
 There were constant fluctuations of speculative sentiment during the week toward the efforts made at Washington to work out legislative programme for the amendment of the Sherman antitrust law. These efforts are supposed to seek to relieve the restriction of the law upon all agreement in restraint Of trade, and so as to permit those that are fair and reasonable and the legalizatlon of the boycott as a weapon of labor organlza- tions was suggested as an adjunct to the plan to secure the harmonzation of in- terests in its support. Reports of the varying prospects of the objects sought m this movement had some corresponding reflection in the security market.
 The revival of investment demand for new capital issues is still awaited. The announcement during the week or the Illinois Central financial plan, involving attractive subscription privileges to stock holders disposes of by one of many meas ures for new financing known to be im- pending and considered necessary for the carrying out of projects which are relied upon to furnish demand for commodities. The plan did not arouse an encouraging response in the action of the stock now ever.