The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1909-01-17
RECOVERY In STOCKS
More Pronounced in Cotton
Oil and Fertilizer.
CHESAPEAKE AND OHIO GAINS
Makes New High Record on RumOrs
OF an Increase I'm Its Dividend
Bank Statement shows Substantial
Increase in Surplus Reserve-LarEe
Gain in Cash Being Made.

New York, Jan ia sharp recovery
occurred in the market to-day, more pro-
nounced in certain stocks enjoying q
comparatively narrow market, like those
OF American Gotten oil and the ferti-
Iizer companies, than in issues usually
most actively deal in. and il was alto
gether uncertain at the end whether the
rise in the general list resulted from
anything more substantial than move
ment 70 cover shorts, such as might be
expected 10 occur at the close Of a week
in which those operating FOR decline
made repeated assaults on values with
out achieving pronounced success
Merger of Concerns.
The strength in the stocks OF the fer
tillzer companies, American Agricultural
Chemical and Virginia-Carolina Chemical
was attributed TO the progress Of plans
for merger Of these and various other
concerns in the fertilizer and cotton of
industries. and while it was said that the
American Cotton OIL Company would not
be included in the consolidation. the
stock OF this company was the strongest
OF all, because OF the expectation that
the merging Of independent concerns into
the new combination would eliminate
some OF the worst forms OF competition
from the Oil-making industry
Increase in SURPLUS.
Chesapeake and Ohio made a new high
record on Tumors OF an increase IN It's
dividend, and the traction stocks were
strong on the progress Of plans 10 re-
habiiitate the local surface street railway
system.
The bank statement. notwithstanding a
large increase In loans and deposits.
caused chiefly by a transfer Of loans from
the trust companies 20 the banks. showed
a substantial increase in surplus reserve
al Unexpectedly large gain in cash hav-
ing been made during the week The
preparation for the Russian loan caused
a further fall on French exchange in
London
While it could be said Just as IT could
last Saturday in reviewing financial and
commercial conditions Of the week that
colder weather had stimulated business
and thai Al least TO notable change for
the worse had occurred in these affairs.
Il IS. nevertheless. undeniaLle thar one
cause for the hesitation and uncertainty
displayed By the stock market in the
greater part OF the present week has
been a general. even If Incorrect. i'm
preston in Wall street that business over
the country as a whole is not as active
as II was sixty days ago
Relative PexxfmiSm.
II must be observed that basis for what
may be called relative pessinlisnl Of
this kind Is not afforded in the reports
OF bank clearings, nor, indeed in any
definite quarter in which information
may be addueed; and the feeling re-
ferred TO probably consists mostly Of
disappointment over the fact that Ger
tain extremely rosy hopes Of picking ID
OF business. which were commonly in
dulged in Immediately after the result az
the Presidential election was known. have
not thus far been fulfilled. The tendency
stu Is in all large business enterprises
TO make haste slowly and to practice
economy; and the net result Of II Is nor
very evident that while confidence az
70 the business future IS stiH undimued
emphasis IS perhaps laid more strongly
upon the fact that the Improvement in
business viii be slow.