The Washington herald., 1909-02-08

New York. Feb. THE stock market
last week seemed. 10 be characterized by
an being OF that wave OF depression and
6iscouragemeBt that swept over the minds
OF speculative market interests IN the
week preceding
Il Is very noticeable that throughout
the deadlock in the market that has
prevailed now for practically two months
the operation OF all forces tending to a
decline n values, either as the result OF
speculative sales for the fall or OF actual
sales OF stock By real holders. has avsiled
but little
There have been many grounds upon
which q pessimistic view OF the market
for the time being might have been
based Trade in general in the Eastern
part OF the country has turned dull
The tariff question as a factcT IN the
business situation has IoOmed larger than
seemed likely Al the close OK last year.
The season has been marked by the
usual midwinter vacation taken BY
great many wealthy capitalists, and there
has been not a little disguised selling
q stocks by people who expected the
continuance in the early part OF the pres
net year Of the rapidly advancing market
which went on last November and the
early party OF last December. But the
substantial fact remains that after ali
no great amount OF stock has been
brought 20 market In consequence OF all
these unfavorable considerations.
Market Course Varies.
TIE market every now and then de-
olines q litte, and perhaps runs for sew
erEl days in q downward direction. Then
II seems 70 become what people in Wall
street call sold out, and the endeavors
OF Spectators TO recover the stocks that
they have sold lead 10 an advance. which
brings prices once more back TO the old
level
Il IS pointed out that certain stocks
seem high, considering the present state
OF trade in various quarters But some
how the people who own these or other
stocks which are in a less vulnerable Do
slIiOl do not seem 70 ike 10 sell them
and Lhe recurrence OF little periods OF de-
preston and elevation IN the range Of
market valuations leads 10 a current de-
seription OF the market, again using Wall
street terninology, as q milking af-
faiT-that is 10 say. one in which specu-
latiTe sentiment Is confused. and in
which people who Try 10 catch the sharp
turns" IN the market. which are con-
stantIy occurring, generally lose money
Gould Stocks Active.
The Gould stocks particularly seemed to
be the favorites in the speculation last
week. reason for the choice being. on the
face of things, the circulation OF rumors
that satisfactory financing arrangements
on behalf OF the Missouri Pacific Railway
Company had been, II not entirely com
pIeted, yet virtually 50.
There was also a general impression
that new financial interests were entering
into control of the Denver and Rio
Grande Railway Company. while the ad-
vance OF the Denver and Rio GTande
stocks afforded il and OF itself q reason
for an advance IN Missouri Pacific on &C
count OF the large ownership Of the latter
company n the Denver and Rio Grande
shares Back OF all this. too. Is a pre-
vaiIing idea IN the financial district that
the Gould roads in the mass are likely 10
experience better financial and operative
management in The future than they have
done in the past
Other stocks, such as the Chesapeake
shares, were also decidedly strong last
week for what appeared to be particular
reasons. and the rise n the last-named
stock vas naturally connected with the
very noticeable process Of absorption that
IS going or IN all the Rock Island bond
issues Conversely, the Amalgamated
Copper and Reading shares seemed rather
heavier than the majority Of issues.
Might InJure Business.
The adverse argument was brought
against the Reading that the business OF
the company may be injured by a posi-
be Unfavorsble decision by the Supreme
Court II the commodity clause" case,
and also that the work that must be IN
dertaken by the company in couple
OF months OF making a new wage agree
ment with rs men may be accompanied
with q sufficient amount OF strike talk
. and SO forth 10 unseUe the marker for
the stock
II can only be said on these points that.
hsve studied the subject. the Reading
Company is not Itself interested IN the
commodity clause" case now pending be
fore the Supreme Court, SO that a de-3-
sion Affirming the constitutionality Of the
clause may even help the Reading Com
Dsny, at least temporarily, by giving il
a greater share Of the coal carrying busi-
ness than IL now enjoys; but It Is the al
most universal expectation among lawyers
that the Supreme Court VIII uphold the
views OF the lower tribunals thai have
passed upon the case declaring the com
modify clause IN opposition TO the or
: gsnic law Of the land.
zDvroar c1-