Norwich bulletin., 1909-06-09
FINANCIAL and COMMERCIAL.
GENERAL IuPwARp TRENp,
Movement Was Narrow
Market Leaders Aggressive.

New York, June S-The stock mar
kst occupied the effort today largely
with the factors applying to sEdivId-
ual stocks pending the appearance of
the government report on the condi-
ton Of the grain crops, after which
there was q transformation Of the pre-
vious tone. With aggressive upward
movements in such influential market
leaders as the Hartman Pacif1cs and
Reading, and a good advance in United
States Steel. the general upward trend
was to be expected, though the gem
eral movement was narrow. The rath-
er urgent pressure of speculative
liquidation which came upon the mar
ket at the last yesterday was not push
ed when the market opened today The
scarcity of stocks, according to The
phrase of the professional operator,
turned the traders around to the long
side of the market naturally. Reading
was the early aggressive leader with
persistence OF the reports of the
second preferred stock by exchange
for common and first preferred stock
each in half portions. The talk of pro-
posed dividend increases was inf1uen-
tial in various stocks, including Atehi-
son. A special incentive for pushing
up Atchison IS seen In the automatic
rise which results In the stockholders
rights to subscribe to the new con-
vertfble bonds The privilege of con-
version Of those bonds into Atcfiison
stock makes their price conform to
that of the stock Baltimore and
Ohio. Louisville and Nashville and At
lantio Coast LAne also responded 10
dividend increases. In Missouri, Kan
sas and Texas the motive Of the adj
vance was the reiteration of ruTnors of
buying for control by one Of the large
railroad systems. United States Steel
was again the subject OF reports of ac-
cumulation by the Paris fotation syn
dictate. The buoyant- rise in THE South
ern Pacific stocks was due to the re-
ported action of the directors looking
to the retirement Of the preferred
stock The privilege OF exchange Of
the preferred stock into common stock
rather than accept the 115 in cash at
which the company Is entitled to call
the stock, would mean, of course, the
substitution Of a per cent. charge on
the present volume of preferred stock
in place of the 7 per cent. now paid in
dividends on that stock. In the event
of the expected increase in the COM
mon stock dividend, which the rise in
the price of the stock seems to fore
shadow. the charge of the conpany's
treasury would become the same. Also
the exchange stock would have the
right to share in any future increases
~-.sr the per cent. dividend rate. The
beneft Of the finances Of the company
seems rather obscure. On the other
hand, the right to call the preferred
stock for retirement expires next year,
80 that il would have permanent pref
erential rights to per cent divider5s
if not retired before that time. The
alternative offered to preferred stock
lders of 1-2 per cent bonds with
a $50 cash IN addition would effect
an annual saving to the company. If
accepted by all the preferred stock
holders, of about $1,000 GOO. The pub
LEGATION of the government crop report
on the prosperous course of the spec
ulation induced by these special move
ments Reen disappointment with che
showing OF the condition estimate for
winter wheat and the acreage estimate
for spring wheat induced general SELL
ing Of stocks and brought prices back
10 about where they left on last hight.
Different state crop reports ON June
conditions appearing recently ha9
aroused hopes of a showing of I'M
proyemenL IN the percentage showing
of The governments report. The sharp
deterioration from 1915 to 60.7 which
occurred during May was regarded as
somewhat sensational. The work Of
advancing prices accomplished In ear
ly part of the day was practically IN
done by this late selling sht
but there was some final rally. Bonds
we're irregular. Total SALES. par vsFfe
tT,a62,o00, United States. bombs wore
unchanged on call