Norwich bulletin., 1909-12-24
GENERAL LIST UNREsPoNslvE.
But There Were Violent Movements in
 Individual Stocks.

New Ycrk, Dec. 23.-The movements
 in indivio hal stocks which have made
 the feature of the stock market for
 several dszys past were even more vio-
 lent today. while the general list was
 even molfe inert and unresponSive.
 This may have been partly due to sus-
 picfon of the movements themselves,
 for whhlh there was no adequate ex-
 pianatioh in any known developments.
 Bankersl and officials of the properties
 disclainied any knowledge on the sub
 ject, orr refused to answer inquiries
 seeking: to obtain information. Read
 ing sec ond preferred was rushed up to
 IF 1-2I by leaps and bounds. There is
 a privilege of exchange of this stock
 into filist preferred ana common stock in equal parts and similar movements in thu second preferred stock have often been made before to the accom-
 panim lent of rumors that. this privilege
 was tst be exercised. What advantage
 would accrue to the company is not clear, as the dividend claim of the
 stock at present is limited to four per
 cent, while the half exchanged into common stock would share in the claim
 to the six per cent. rate now paid on
 that Btock, the remaining half sharing the limited claim of the first preferred to follr per cent. A the time of the reorganization of the company divi-
 dsnds even on the first preferred were
 problematical and the advantage at that IPnd at subsequent periods of transf brming the second preferred stock is perceptible. Moreover, the compsiny has the alternative right to retire either the first or the second preferred stock at par for cash. The
 holdings of the Lake Shore and the BaItiF Eore and Ohio in the company, by wffch control is exercised, are larger in the preferred stocks than in the common. Consideration of these facts aroused suspicion of the genuine ness oil the movement, though the buy ing wsbs ascribed to the bankers who have barge of the company's finances. Almost equal obscurity surrounded the volatileb rise in Rock Island The fail ure of the preferred stock to share in the moVement increased the suspicion felt tovFards 1t. Banking houses with Europaln connections were prominent in the tperations in the stock and this buying kas reported to be the sequence of the purchase of heavy calls for fu- ture delivery from German stockhold- CTS. It fs customary for foreign sell CTS of such calls to cover a part of their requirement. at the time of mak- ing the tale as safeguard. Old re- ports of the intention of the control ing interBst in the company to allot full voting rights to the common stock WOIe TOY NCu- OHu0T the pTeS6nf or ganizatioii the preferred stock elects a majority .pf the directors and the com mon stocN only a minority. The rise in Wabash preferred was connected with the Rock Island movement in the days The demand was alleged to come from Rock Island interests and this renewed the surmises of a coming juhcture of Rock Island and Lehigh Valley through the medium of the Waba1th. The early strength in Pennsylvania was due to the divi- dends of two of its subsidiary compa- nies. The preparations for the year end money requirements kept the call loan market stiff and had a restrain ing effect 0 b the speculation. The call loan rate <1lRnged from five and one half per ceInt. upwards. keeping alive the supposi1hon that flurries might oc- cur before lhe end of the year. The Bank of England return was weak in spite of cab. led reports of renewed a6f- vances of gold to the London market by the Banlt of France. The French banks $5,675A000 decline in gold hold ings was thlgs explained. London dis count rates however, declined and for eign exchange rates here were weak The New York banks have gained cash this week from the interior, according