Omaha daily bee., 1909-06-24
NEW YORK STOCKSANDB BONDS
Price Movements Are Considered Re-
markable in Several Cases.
UNION PACIFIC RECORD PRICE
Rumor OF Intention 60 Retire Pre-
ferred stock f. Cause Of Movement
--Other Prominent Railroad
Stocks Are Active.

NEW YORK, June 2c.-The intense dull
ness Of tOday's stock market served to
obscure the Importance Of the price move
ments which were remarkable in several
tone was Influenced by sympathy
with the notable strength I'm these spec
il stocks, but more distinctly by the tech
nical factors in the position. The conclHs-
ion Of the London Stock market settlement
with no casualties as a result Of the heavy
declines since the preceding settlement re-
moved a cause of apprehension and brought
in some important buying Of stocks here
from that source.
The movement that attracted most notice
In the days market was that in Union Pa
cific preferred, which moved to a record
price and one out Of line with its in
vestment return compared at the current
money market. Rumors Of an intention
to retire the stock were given to account
for its rise. 1t Is supposed hat the pur-
pose to retire stock would be to avoid the
embarrassment Of claims from the pre-
ferred stockholders share in a distribu-
ton Of investment holding by the company
of other shares. Such distribution was
under official discussion at one time when
the company was under scrutiny for al
legged violation of the Interstate Com
merce law in holding those shares. The
company has no explicit right reserved TO
retire the preferred stock at a fixed price
as was the case with Southern Pacific
preferred and it was assumed, therefore,,
that a plan must be attractive to preferred
stockholders to induce their acceptance.
The days rumors had to do with a sup
posed offer OF one share of Union Pacific
common stock for two shares of the pre-
ferred stock with rights of conversion into
common stock, presumably at a price ABOVE
the current market quotations. There was
nothing like official or coun-
tenance for these rumors, but they were
extremely effective with Union Pacific and
revised consideration OF various other deal
rumors. This, was Of effect in adVanelns
Wabash preferred, Reading, New YORK
Central, Atchison and others which have
been the subject of deal rumors. A divl-
dend guarantee for wabash preferred, in
return for control by some other com
pany; a segregation Of assets and an in
creased dividend for Reading; a compre-
hensive holding company for the Wander
bilt railroads.; Pennsylvania control or
Atchison; such were some OF the STOCK
market rumors which came TO life again
In the days dealing. American Wooden.
preferred, declined sharply on the reported
sale of additional preferred stock by the
company.
The pronounced dizziness which has de-
yeloped in the demand for copper was
responsible for the backwardness OF the
stocks of copper companies. A good deal
OF discussion was heard of the movement
TO secure the enactment of the corporation
earning ytax and Washington reports tha'
statements of earnings by the corporations
were TO furnish the basis for the tax were
claimed as promise of softening of the
terms which was feared at first OF the
powers Of inquisition into corporations u
20 with the proposed law.
Bonds were firm. Total sales par value
SO. 1853. 1000.
United States bonds were unchanged on
call.
Number of sales and leading quotations
~, otoCkS uynra as follows.