The Washington herald., 1909-01-14
RALLY IS OVERDUE
Market Continues of Weak
and Heavy Character.
RECEIVERS TOWARD THE END
Pressure to Sell Various Erie Issues
Again Dominating Feature-Appre-
hensIon Excited Regarding Re-
ceiVershiD-NatIOnaI Biscuit COM
pa1x Advances Six Points.

New York. Jan. 1s-At the end OF busi-
ness yesterday afternoon there had been
only one day devoted TO stock exchange
affairs since Jan. l. when the average
price OF the standard stocks had not
declined. The fact was one which might
perhaps s.S~e Induced certain considera-
ton concerning the general character OF
the security market. but K was commonly
held IN speculative circles this morning
that such g prolonged downward move
ment justified the opinion that al least d
rally IN the market was overdue
IN spite. however. OF reasoning Of this
nature the market during the greater part
Of the business day was Of the same weak
and heavy sort that il has been reCentiy.
little resiliency. being developed and with
intervals OF weary dulIness only between
periods when a decline was more or less
actively carried on.
Toward the close OF the day the mar
ket recovered Just as It did IN the late
afternoon yesterday the advances being
led by q brisk rise in New York Central
shares, but AT the end the greater NUM-
Der OF the active stocks showed fractional
declines, with larger reeessions in the
inactive shares.
Pressure to Sell.
The pressure 70 sell the various Erie
issues was again the dominating feature
OF the days market, although the final
rally practically affected Erie common
stocks and left TIE stock at an excep-
tionaI net advance in the general Sc
curity list.
The effect has undoubtedly been on the
part Of interests committed 10 speculation
for the fail in the market 10 excite as
much apprehension as could be regard
ing a possible receivership in the Erie
Company. this event being declared to be
the only alternative to an unfavorable
decision by the public service commits
sion upon the Erie's application for the
right 70 issue collateral trust bonds
Il may be, however. that some Hquida-
ton from speculative sources was intro
duced BY the nature Of the Erie's fnan-
cisi plan n TIE matter itself The plans.
II is understood, includes a proposition
10 the holders OF the general mortgage
bonds OF the company 20 fund the cou-
pons on these bonds for term OF five
years
This means. OF course that in the time
described no dividends viii be paid upon
the different classes OF Erie stock: that
is TO say. unless the business conditions
OF the road would change extraordinarily
for the better in the interim. The special
strength shown by the Erie common
shares right at the close OF the market
was due % rumor that the public serv-
ice commission had granted the appli-
cation 70 issue the bonds.
Advance ef Three Points.
A gross advance Of three points IN the
Wisconsin Central preferred shares: the
larger portion OF which was retained n
net, was caused by a general impression
that negotiations which have been pend
ing for some tine past were on the point
OF successful conclusion for the transfer
OF the control Of the Wisconsin Central
property TO the Minneapolis. St. Paul and
Sault Ste Marie Company, which Is IN
turn controlled by the Canadian Pacific
Railroads interests.
Il was commonly said that this arrange
ment comprised q guarantee Of an annual
Per cent dividend distribution upon the
Wisconsin Central preferred shares. A
further advance was also made BY the
Toledo, St. Louis and Western common
shares for reasons deduced. as duly de-
scribed IN this column yesterday. from
the Chicago and Atoms declaration OF a
per cent dividend yesterday.
Upon relatively large buying the Ma
1ion2i Biscuit common shares also ad-
vanced S points, for which abundant
cause vas 70 be found in the exceedingly
prosperous condition Of the company
business. Except as otherwise detailed
the days market was OF an Uninteresting
and professional sort