Evening star. [volume] (Washington, D.C.) 1854-1972, 1909-11-14

d lckItIIndtc OeI0dHu ITOIn every UuSHIccS
and commercial quarter for money. and II
is worth all the owners are able to
squeeze out of the borrowers. The best
that lenders have been able to procure
is about 5 per cent. There have been
days when higher quotations have OBJ
tanned for call money, but transactions at
a higher figure than per cent are small
in aggregate volume. Nevertheless, It
suits the mood Of the stock market to fall
In with the idea that speculation must
work easier. 1t can truthfully be said
that the banks at this particular moment
are against speculative expansion. They
do not care to over-extend or to be placed
in a position OF really aiding and abet-
ting the high rollers on the stock ex.
with exact fidelity to facts that nobody
with credit and standing il being turned
away from tho banks II they want to
borrow money. Money can be had in
any amount and for time periods to suit
the borrowers. Meantime, the stock
market actually IL awaiting the pleasure
OF the banks and the great field marshals
Of manipulation. The situation suits the
gent Of professional bears on the ex-
change.
Record Work in Earnings.
At the same time it may be mentioned
that every railroad and industrial on the
list IL doing record work in the matter
Of business and earnings. In some in
stances the gross income may still be
little under the high figures of 1907. but
there is hardly a case in which net earn
ines are not far and away better than
ever before. This shows very much
better operative efficiency than during
the loose and extravagant regime imme-
diately ante-dating the 1907 panic. The
New York Central. for instance. has a
record of nearly $12.0o0.O 600 more net In
come for the first nine months of 1909
over the corresponding period OF 1908.
The New Haven shows about 81 500, 600
increase for the last quarter over the
corresponding quarter of 1908. And SO
it goes through the whole list. Rock
splendidly favorable showing In net and
gross. Southern railway looms into the
foreground with a remarkable showing
of returns to owners Right here, be-
noted that very live tip is abroad of a
big speculative campaign pending in
Southern railway. Among the low pric-
ed railway stocks Southern IL one OF the
most attractive On the list. 1t has long
been one of the pets OF the Morgan
house. and. as that institution is at the
present moment the most influential fac
tor In Wall street. friendly ear is given
to all kinds of reports affecting things
under the Morgan wings. 1t is now
fbhC tic popuidI tHluS W DHSlSt tndt
every speculative movement has its
origin and direction in the Office Of ]. p.
Morgan & Co. Among other things. that
house is supposed to be more than
friendly to the speculation in copper
stocks and to be giving financial backing
to the grand scheme involving the mer-
ger of q group of the biggest copper
producers. This report may or may not
be true. Before betting too heavily on
the accuracy Of the story intending in
voSfnrA
Futile Bear Effort.
The bears in the railway list are try
ing to make capital out OF the agitation
which has been started for an increase in
wages Of railroad employees. They have
not made much headway so far. 1t seems
to be taken for granted very generally in
railroad quarters that the workingmen
employed in this mammoth industry are
entitled to participation In the increased
business OF the roads. They shared in
the hard times and now that there is
return Of fairness II Is considered only
right that they should be taken into ac-
count. Railroad arrangements will no
doubt attempt to find excuse in this i'm
pending wage uplift for an increase in
freight rates. but they will have to de-
pend most largely on increased business,
increased efficiency OF labor and a cor
responding reflection in the bookkeeping
TeSultS. re country Is IN no mOO0 10
stand for important advance in the cost
Of transportation. The readjustment il
one which il not likely to seriously affect
the interests of the stockholders in rail-
road properties. The country is on q for
ward and upward swing and the demands
Of labor are not at this stage looked
upon as unreasonable, oppressive or in
furious to the employing interests.
The underlying strength of Industrial
stocks Is one of the marked features Of
= he NO Co iypta ia lxr1 ~
the enormous activity In every branch OF
manufacturing industry that everybody
refuses to be frightened by tight money
talk or other bearfsh influences. Being
ed States Steel Corporation. Of course.
comes in for the largest amount Of ad-
vertising on this account, but 1t Is real
ly no more entitled to notice than any
of scores of other properties represented
on the stock exchange list OF securities.
Without single exception. every iron
and steel company, every equipment con-
Germ and. in fact. every establishment
In the metal lire IL making money hand
over fist Better than that. the pros
people OF good judgment care to figure.
OF course. the companies that were the
most wisely and conservatively handled
during the two years Of depression are in
the best position. Conspicuously in this
class may be mentioned American Car
and Foundry. and this can be said with
out disparagement to others In the same
line. 1t is stronger i'm cash and reserve
than ever before and there is the best Of
authority for predicting an increase in the
common dividend to 5 per cent In the
very near future. 1t Is earning net near
~ as much as the big steel company,
which is harvesting the coin at the rate
Of more than 20 per cent. on the COM
mon. and paying per cent.
Bigness Of the Boom. i
Here is something illustrative of the
bigness Of the Industrial boom: In Octo-
Der there was shipped down the great
lakes 6.e0O.OOO tons OF Lake Superior iron
ore. This was an average OF about go
600 tons for each working day. This out
put required the loading Of 1920 ships of
5000 tons capacity bach during the
month. or about fifty vessels for each
working day. II was necessary to load
at the mines and unload at shipping ports
each workday 5000 cars OF capacity OF
fifty gross tons each. The cost of this
transportation to the lower lake ports