New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1909-08-05
FINANCIAL MARKETS
PUBLIC BUYING STOCKS.
Price Movements Reflect HeaUy Re
alizing-Time Money Frmer.

Transactions in stocks were heavy in volume
throughout the day on a movement of prices
that showed material advances in many issues.
but irregularity in certain parts Of the list
consequence of active profit taking operations.
At the close substantial proportion Of the high
priced railroad securities presented small net
losses. while among the second grade rails and
cheap industrials net gains rule were
corded noteworthy strength being shown in the
railroad equipment shares. The general char
acter Of trading indicated transfer Of interest
on the part Of the more important market
factors from the railroads TO the industrials and
further enthusiastic demand from public oper-
ators for about everything the list including
Union Pacific above 2O2. Reading al 1852. Illinois
Central. Pennsylvania and the Hill stocks The
public is using no discrimination in its purchases
and it promises 20 become the ultimate consumer
of some very fancy priced issues which show big
profits for the holders. who quite willing 10
part with them. 10 the last hour the stocks that
were features in the early dealings showed fur
Their strength. while a resumption of buying OF
Reading shares and another sharp advance In
Jersey Central interesting features Of the
late transactions The strength in the last named
issue. following advance of 10 points on the
first two days of the week created the impress
sion that there something more than idle
rumor in the report that the stockholders OF the
company soon would receive a substantial in
crease in the return on their investment. Buy
ing OF Pennsylvania was for the account OF pools
and a commission house following, while similar
operations were noted in the Erie shares and st.
Louis Southwestern. Bull traders were we'll
pleased with the way the market absorbed the
realizing sales in the day. and at the close were
confident Of further advances in the near future.
The gains in the earnings of the Union Pacific
and the Southern Pacific for the month of June
were factors that strengthened bull confidence.
though they failed 10 bring about heavy new
buying Of the shares Of the company by inter
ests who would be active in the market il the
increase in earnings foreshadowed an immediate
advance in dividends II is quite likely that
eventually Southern Pacific will be placed
higher dividend basis. while the enormous earn
ing power OF the Union Pacific and the increas-
ing value of fits assets. represented in invest
ments in other companies. may be counted upon
TO work In favor of the holders OF the common
stock The June earnings Of Union Pacific in
creased in gross s752995 and in net s541 ST..
against increase in gross for the Southern
Pacific Of s1.13S.ss3 and an increase in net OF
s343764 For the twelve months ended June 30
the earnings of the Union Pacific heavier
than in any preceding year in the history OF the
company. gross amounting 10 s7s.75o.4s2 and net
TO s3s,2343l4. the net gain being 1884 500.
Profit taking operations i'm yesterdays market
were heavy in Amalgamated Copper, American
Smelling Atchison. Baltimore & Ohio. Southern
Pacific and Northern Pacific. in which small net
losses were recorded Great Northern ore GER
tiicates were strong features on active pool buy
ing. In the bond market the marlborough Met
ropolitan collateral 4zs again made a new high
record for the year. the rise being based on the
fact that the Interborough Rapid Transit Com
pany earned last year upward of sl.500.000 above
the per cent on it's stock. which covers the in
terest on the AZ per cent bonds exchanged for
the stock.
Some OF the larger banks now refuse TO put out
over-the-year money at less than 4 per cent,
while foreign bankers who have large balances
on hand demand a rate slightly higher than that
level their attitude being based on the expecta-
tion OF much harder loan quotations in the near
future as consequence OF drain of cash on
Eastern reserve institutions for the account OF
the West. A better price for money doubtless
VIII encourage the issuance OF loan bills through
the medium OF the sterling exchange market and
though there is little probability Of any call upon
this centre for gold for European account I'm the
course of the next few months Il is not unlikely
that further amounts OF the metal will be sent
10 Buenos Ayres. while some may be shipped IN
Japan from San Francisco on telegraphic trans
fers from New York II was reported YESTERDAY
that the transfer OF 100000 on Monday 10 the
Pacific Coast ultimately would reach Jauan and
II also was reported in telegraphic dispatches
from San Francisco that Withdrawals OF cur
rency from the East in connection with the
financing of CALIFORNIA; crops would be some
thing OF factor in the outward movement OF