New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1909-08-03
FINANCIAL MARKETS
PUBLIC BUYING STOCKS
Nc1c High Records by Many Issues
Call Money FirmGr.

ON a heavy volume OF business stock market
prices showed decided strength In the best part
OF the day, with final quotations in most issues
at or near the best. New high records Tor the
wear were made at the opening under the in
auence Of active buying for commission house
account and aggressive speculation for the rise
by strong pools and room traders, these opera
tions subsequently attracting enough realizing
sales 10 bring about reactions IN all parts OF the
list without, however, upsetting bull plans or
encouraging operations for the decline The
strength Of the bull position was reflected IN
the almost complete indifference shown by prices
10 the adverse government report on cotton con-
ditions. In an ordinary market report snow
ing a condition percentage OF only trife more
than IL against ten-year average Tor August
OF sos and SO at this time year ago, would be
accompanied by a sharp break in Stock EX-
change prices and the fact that the only effect
OF this showing on stocks yesterday was tenn
porary check bull activity doubtless will cause
extreme rejoicing among the people who beIieVe
that the current bull campaign VIII run on IN
definitely Southern Pacific made a new high
record on a heavy buying movement that had
for its basis belief that the directors OF the
southern Pacific Company Will increase the divi-
dend 10 a per cent basis. though there was no
intiInation from official sources that anything OF
the sort was contemplated at the next dlvldend
period The railway equipment shares were
strong throughout the day; also the United
states Rubber issues, the Erie stocks Northern
Pacific and Great Northern. Union Pacific and
Amalgamated Copper closed az small net losses
and United States Steel at fractional net gam
The general market showed increased strength
ana activity in the late afternoon, with heavier
dealings reported for public account in all parts
OF the list especially in the industrlals. ana 10
some extent in the Erie issues. which were
helped by the opening of the Hudson tunhei 10
the Erie station. The Erie has six suburban
lines converging on the Jersey side, and the de-
velopment Of new trafHc on these lines as re-
suit OF the tunnel connection promises TO De
heavy.
,ersisten+ strength Of Reading. a 4 per cent
stock that is selling on a basis that returns
less than 2a per cent 10 current buyers. Is tound
in a rumor that the Central Railroad OF Ne"
Jersey. which Is controlled by the Reading soon
will offer a block Of stock for sale to cover re-
cent expenditures made by the company, est
mated in the peighborhood CT S1oOOOOOO. such
an issue doubtless would include valuable rights
for the present stockholders, and as the Reading
owns Sl4.5 .O0O Of the S27,431OOO stock Of the
Central Railroad Of New Jersey the first named
company would secure handsome profit on the
operation, especially as the Centrals shares are
selling at more than go, and in that event II ~
not unlikely the Reading holders might come IN
for a distribution that would Justify the current
high price OF Reading common The Reading
COMPANY has outstanding S23OOOOO Jersey
Central collateral trust bonds secured by It's
Sl4 $4,000 Central Railroad of New Jersey
stock which cost S23200o00 ont Of q total au-
~ Central stock should be made the Reading
would be in a position TO sell some collateral
bonds az an attractive price. and with the pro-
ceeds buy its proportion Of new stock based on
IT'S present ownership of the shares under terms
that would WELD the Reading per cent II sub
scriptions were made at par. as they doubtless
would be Any financing that may help the
Reading will increase the value of the assets OF
the Baltimore g. Ohio and Lake Shore & Michi-
gan Southern. as these two companies virtually
control the Reading throGsn the ownership OF
S60665O0O OF it's Sl400O0Oo0 share capital in
large part preferred stock. There Is some
reason 70 believe that eventually the Reading
preferred stocks will be retired. Reading COM
mon is worth Its current market price only on
the theory thar present buyers will share in some
big melon.
CAN money rates showed firmer tendency
yesterday, but borrowers were able 70 secure all
the accommodation they desired az attractive
figures. The Ehowing OF the banks and trust
companies IN Saturdays Clearing House state
ments suggests the approach OF the time when
stocks based Ola the price OF money will not look
attractive 10 spectators as they do at pres-
emf, and reflected an active borrowing move
ment from the trust companies for Wall Streor
account. The current speculation in stocks
promises 20 reach large proportions but in view
Of the demands that must be- made upon the
money market for outside needs in the late
summer and autumn and the prcba bility OF the