Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1909-06-04
Market Reports
NEW YORK STOCK MARKET.
Features of the Days Dealings in All
The Leading Stocks.

New York June 3.-The local securities
market today was replete with sensations
and the causes lying back of the various
spectacular demonstrations made by the
price movements were kept yelled from
public knowledge. That such causes ex
listed and were of substantial nature was
taken for granted on account of the con-
vircing evidence presented by the tape
itself. 1t would be difficult to conceive
of any such reckless and prodigal Law
fishing of resources as would be involved
in a purely manipulative movement in
Southern Pacific such as its upward rush
of over six points today on dealings in
2O5, 600 shares. Neither was it supposable
that this demand was due to any sudden
realization on the part of a widespread
public of the merits of the Southern Pa
cific shares The principal buying of the
stock, moreover, came in enormous blocks
FROM individual brokerage houses. These
features of the movement prompted the
inference that the buying came from per-
sons informed of some forthcoming plan
involving the finances or organization of
the company. What that plan might be
remained in the realm of pure conjecture
so far as any authoritative information
to the public went. Rumors on the sub
ject dWelt on the likelihood of coming
increase in the dividend on the common
stock.
much was heard also of an intended
retirement of the preferred stock, al
though the privilege lodged in that stock
of exchange into common stock at par
vi
which might come to the company by the
retirement of this per cent. issue at lis.
which is provided for it with the alter
native of exchange. The change Of the
preferred stock for common would de-
prive the former of its prior claim to Z
per cent. dividends. but it would also en-
title it to share in any dividend diSburse-
ment above that amount.
The senior company, Union Pacific; was
tardy in responding to the excited ad-
vance in Southern Pacific and. in fact.
sold off at one time to a lower price
than it closed last night. Later in the
day it came into the movement more
fully. Before the Southern Pacific move
ment became fully effective in its sympa-
thetic influence on the general list some
degree of apprehension existed over the
dicate plan for introducing United States
Steel on the Paris Bourse. The removal
from the floating supply of the large
blocks contemplated by the Paris plan
has admittedly added greatly to the diff
ficulties of the short interest in United
States Steel.
The report from Paris of 900 shares
to be held would cover fifth part OF
all the outstanding common stock OF me
gigantic corporation and the trusteeing
Of this amount of the stock, even with
the purpose of selling other securities
bearing beneficial interest in the stock,
would imply "a he .ne waa tbe
added suggestion that this accumulation
might still be going on. to provide for
contract obligations to supply given
amount of the stock, Confident assump-
tions were INDUCED in that an early in
crease in the rate of dividend disburse,
ment might be inferred for, the United
States Steel shares. since the principal
banking interest in the property was
lending itself to the flotation of the shares
in the Paris market at a price implying
higher dividends than now paid. me
influence of the same banking house in
the administration of the corporations
affairs was held to Justify the conviction
that a desire by that interest to increase
the dividend rate would prevail with the
directors.
The remarkable six-point jump In Unit
ed States Steel preferred had no other
explanation offered for it than the in
crease in the security of the return grow
ing out of the extension In earnings. The
whole market became very buoyant and
animated before the close Of the dav. but
the influences ruling In all radiated from
the impressive operations in the Harri-
man stocks and in United States Steel.
Bonds were firm. Total sales, par val
ne, $lO,O7s.OOO. United States bonds were
unchanged on call.