New-York tribune., 1909-02-02
FINANCIAL AFFAIRS
STOCK PRICES STRONG.
Break in Consolidated Gas Fails to
Affect General LiSt-N0ney
Rates Easy.

Transactions in yesterdays stock market were
light in volume and represented in great part
the operations Of the professional el2ment-
There was no indication Of selling pressure AZ
the opening initial quotations showing frac-
+ionaI gains over Saturdays closing figures
74-l,i1a throughout the FIVE hours Of business tho
general tendency was toward Improvement
chiefly as a consequence OF covering Of short
contracts which apparently had become urduly
extended. Commission houses had no orders
of importance for public account, the absence
of an outside inquiry and the disposition Of the
more important market interests to take no
active part in speculation being reflected IN q
total volums OF sales Of only 449,9O5 shares OF
which more than one-half was furnished by
ten stocks A sharp break in Consolidated Gas,
following the announcement of the refusal OF
the Supreme Court Of the United States TO grant
q rehearing in the S0-cent gas matter, was the
only incident Of the days dealings that attract
ed snecufative attention the decline being ac-
companied by the appearance Of good class OF
support that was effective IN carrying the quota
ton Of the issue 81 points above its lowest. the
net loss amounting to 2&. against a maximum
loss of 5sz. The decision caused no surprise in
the Street but advantage was taken Of II TO
hammer the stock OF the company. There was
q fair demand for Brooklyn Rapid Transit
which sold UP more than point also TOT
Denver &. Rio Grande. Chesapeake & Ohio.
Reading and the Hartman shares the buying,
however failing to induce outside purchases.
There was a material falling off in the business
in the bond department as compared with the
heavy daily totals last week. the Wabash re-
funding 4s the United States Steel sinking fund
rs and the Interborough-N metropolitan 412s sup
pIviny the only points OF interest The foreign
markets were firm, and cable dispatches lndi-
Gated an easier feeling In European financial
circles over the future Of monetary conditions
as a result of the practical termination OF the
strained relations in tha Balkan States.
Earnings of the Pennsylvania Railroad for
December show encouraging improvement as
compared with the same time in the preceding
year, both gross and net returns on the hnes
east and west Of Pittsburg being well IN excess
of the figures OF 1907 The course Of trans
,,ortation receipts on the lines Of the Pennsyl-
vania system supplies a fair indication Of gen
eral trade conditions fn this country as the road
handles a most diversified traffic and taps the
industries of the North. South, East and West TO
a larger extent than any other company in the
United States. Figures, therefore. Of the results
attained by the property for the twelve months
ended December 81 present trustworthy renee
tion Of the general business depression Of 1908
Gross earnings on lines directly operated east
and west OF Pittsburg in that time decreased
S47 1S9 600 while net earnings were lower by
81, ,376 100, the company's policy OF economy ana
retrenchrnent, including a l per cent reducton
in the dividend, ofsetting TO material extent
the loss in gross influence upon surplus
after all expenditures Of operating charges ana
dividends No tremendous expansion is looked
-&-~-"N--A
the current year but steady improvement Is ex-
pected as a consequence Of slow return OF the
country's industries to basis of Lormal work
ing capacity That the directors of the Penn
svlvania have confidence in the betieT or better
times ahead is shown in their decision to go
ahead with new construction work, bids just
having been asked for plans that VIII carry
further the four tracking Of the line between
Altoona and Pittsburg. The immediate general
traffic outlook promises increased gross receipts
especially on the Western ana Southern roads,
year there should be. unless all signs go wrons,
= substantial gain all railroads in the
country.
The new reserve law affecting the state bank
inc institutions Of New York went into effect
Yesterday. and a statement issued by the Su-
nerintendent of Banks shows that the strength
az these institutions has been augmented by the
addition of S1O3 100000 10 the cash in their
vaults and S130000G0 10 that held On deposit
with other banks In the Borough Of Manhat-
tan the reserves of the trust companies and
state banks under the new law have been IN
creased S96 979, 600 actual cash IN their vaults;
600 the amount now held reserve against
deposits being ample TO meet any demands that
MAJ be made for which proper reserve would
be adequate protection. The national and state
banks n this state are in exceedingly strong
position, their only complaint at present being
the inactive demand for accommodation from
mercantile and stock market sources. Money
rates yesterday remained at last weeks easy
level. while sterling exchange conditions sug-
gested further shipments of gold The Bank Of
England secured only half of the South African
market- most Of the balance going 10 Austria.