New-York tribune., 1909-06-02
FINANCIAL AFFAIRS
NEW STOCK RECORDS.
General Market Strong. 5cith Steel
and Union Pacific FcQtUrCS--
Money Easy.

Stocks onened strong and in the early trad
ing many issues sold at new high prices lot 'ie -
year. Union Pacific and United states steer
common being active features that renecteu
persistent efforts the part OF substantlaI IN
terests to advance quotations 1hough tHe
general strength throughout the list encouraged
some commission house trading, the puoHc was
not an active factor in the speculaIlph 'he
greater part of the business representing pro-
fessional operations that included the sort OF
manipuation that is common at times when tne
ueoDle behind the market are particularly alN-
ious to attract outside buying of securities Inc
element that sold stocks in the day appeared
o,,ita willing to take profits. and the volume OF
sales Of this character was large enough to pre-
vent important net advances. which In only
few instances ran beyond one point. Steel com
mon gained II. closing within a traction OF IT'S
best while Union Pacific was up 2ls, the deal
ings in these two issues amounting 70 232l7O
shares against total in all stocks Of 1O1,51S
shares The Hartman interview helped the
Hartman stocks and stimulated bulhsh senu-
ment on the entire list, while reports that
United states Steel securities would be listed
ON the Paris Bourse an important infiu-
ence in maintaining enthusiasm on the steel is
sues at the boiling point. st Paul was In falr
demand; also the railway equipment shares
Canadian Pacific and Ontario and Western and
500 common. the last named being bought by
people who always have been bullish on the Ca
madam Pacific and 500 stocks. Money condf-
+reroe ease both in the call and time depart
rnents of the market, while sterling exchange
though a trife under last weeks closing quota
tions continued to reflect the scarcity or bills
and an active demand for remittance. Some
gold was taken for export to Argentina, but
tho strength of Paris exchange on London dis
couraged shipments TO the French capital For
eign discounts were easier
Earnings of the Union Pacific, the Southern
Pacific and the Pennsylvania for the month or
April supply trustworthy evidence Of the indus
trial improvement under way in this country
the gains reported representing an increase in
traffic that covers q substantial proportion Of
the diversified business enterprises in the
United States. Gross earnings of the Union
Pacific presented gain Of S276,022, those of the
Southern Pacific gain OF S78S176, and those OF
the PENNSYLVANIA the lines east and west Of
Pittsburg a gain of S2,468.90 comparison being
made with the corresponding period in 1908. The
three companies made liberal expenditures from
earnings on the operation of their properties IN
the month under review. but with the exception
of Union Pacific large increases were reported
In net. the company just named presenting an
insignificant decrease AS the Union Pacific
for many months has earned in excess of its
dividend requirements, 1t is in position to take
advantage of large gains in gross to put out in
creased sums In expenditures for the good of
the road. which is now in better physical con-
dition than at any time in its history, but which
will require a continued policy of large appro-
priations for betterments, extensions and gem
eral improvements in order TO handle the heav-
ier traffic that must from the increase in
population and in industrial activities in the
country served by the company's lines And
the same thing may be said of all the railroads
in the United States. Conditions governing the
intrinsic worth of American railroad securities
are growing stronger a reflection Of which is
found in the quick response of capital to the Of
ferings OF new securities by the companies.
Industrial corporations of merit find no diff
Guilty in securing financial support for new re-
Quirements, and If the United States Steel Cor
poration should decide to issue mortgage bonds
secured by its Gary plant, which will be the
greatest steel plant in the world, it would find
ready market for the Offering. 1t is estimated
that under normal conditions the earnings OF
the Gary works will be large enough to pay in
terest s5O.OO0.OOO bond issue and on the
common stock OF the corporation. owing to the
low cost at which it will be able to turn out its
products The United States Steel Corporation
is now operating on larger basis than at any
production, together with the higher prices pre-
Vaflng, doubtless will result in net earnings for
the current quarter much larger than recently
expected. Pig iron production is running at
about IS per cent of normal, and it is believed
mills will be in operation. Demand for at
tractive new investments is reflected in tae
heaVy applications for the cumulative preferred
STOCK or the United Dry Goods COMPANY in
quiries being far in excess of the amount' sold
and In the successful sale of the Corn Products
hehning Company's per cent bonds