The Montgomery advertiser., 1909-06-07
FINANCIAL REVIEW

New York. June 6.-There was a sudden re-kindling of the speculative spirit in the New York securities mar ket last week and toward the end of the week this Issued in state of ex- citement not witnessed in the market for over two years past.
 Various incidents served to waksn the market from the semi-torpid state, but apparently 1t was these projects that introduce the United States Steel stocks to the Paris market which was of most effect. This was supplemented by the belief that important plans were working out, looking to the harmoni- zatton of relations between the great trans-continenta1 railroads.
 The great reserves of French capital comprised in the numerous small accu- mutations of that thrifty people are the most inviting field of supply for that attractive commodity known to the financial world. Not only does 1t furnish an abundant supply, but in- vestments once distributed among French holders find Judgment so te- nAcious and free from the usual vicls- situdes of constant shifting by spec ulatlve maneuvres that stability is thus insured for the financial affairs of cor porations thus shared in.
 This field, however, is regarded as the most difficult of access by outside enterprise owing to the combined ef- fleets of the extreme conservatism of the French investor, and the rigid re- quirements of the French law and the bourse regulations. The news that a way had been found by the United States Steel sponsors to thread this labyrinth appealed immediately to the speculative sentiment. Incidental fea- tures of the operation had almost as strong an effect on the speculative furore and nought has been lacking of distinct knowledge to leave room for the unauthorized differences which form the most potent factors in all specula- tive movements. Thus 1t was reported that the plan for entering the United States Steel shares in Paris would in- volve an accumulation of as much as 100000 shares for lodgment in a trust. against which certificates would be is- sued as the medium for transactions in France. Also. the price apparently paid for these shares by the syndicate was made ground for assumptions of the valuation placed upon them by the bankers connected with the promise thus inferred of early increased en- dorsements. The episode was regarded as adding greatly to the prestige of the stocks of the great American industrial consultations and to be the outgrowth of the power of resistance to the late severe depression, and of rapid recup- eration manifested by them. The ef- feet was seen in prompt advances of many of the preferred stocks of this class. United States Steel preferred led the way but carried many others with 1t.
 The outburst in the trans-contI- mental railroad stock had it's incep- ton in the formal agreement made between the Union Pacific and North arn Pacific for the joint use of track age in a region beyond Seattle. This was interpreted as a definite treaty of peace between the two great railroad powers and as furnishing final assur- ance against such a damaging conflict as was once involved in the contest for control of the Burlington. Inti- nations were circulated in Wall Street that the status of the St. Paul Pacific coast extension was definitely fixed at the same time. This group of rail- roads was affected further by an offer of $26,000.000 of convertible bonds and the consequent insurance of its fnan- cial requirements. Rumors of intend ed increase in the dividends of the Hartman railroad stocks and of m exchange of Southern Pacific preferred stock for the common. induced a gem erous speculation in those stocks.
 Little attention was paid to general conditions of business and industry. Nothing to disturb sentiment was re- ported. but nothing striking in the way of change occurred except the ex- pansion of the steel industry.
 Many orders in various lines Of steel