New-York tribune., 1910-04-27
FINANCIAL MARKET
Foreign Exchange Rates Move
10 Hiuher Level.

The generally accepted belief that crop
damage reports had been exaggerated
and that the United States Steel Cor
poration would place its common stock
on a straight Ia per cent quarterly divi-
dend basis were responsible for sharp re-
coveries in Yesterdays early stock mar
ket. the upward movement being mater
ially aided by the technical position ot
speculation, which disclosed the exist
ence Of an unWieldy short interest.
Prices also were helped by the theory
that there would he no further important
gold shipments from this port. but the
Improvement was lost in part in the last
hour Of trading, when on heavy profit
taking sales and liquidation OF weak bull
accounts the general list receded. in
many cases reaching the low point made
in Mondays break. though showing re-
newed strength IN the final trading.
United States Steel common was sup
ported in the neighborhood Of So. and the
character Of the buying suggested that
inside interests were quite willing 10
take the issue on all declines. and that
purchase at prevailing quotations re-
nected the declaration Of regular quar-
terly dividend Of Ia per cent. which was
announced after the close Of business.
The net earnings Of the steel Corpora
ton in the first quarter Of the year
amounted 20 S3T.616 $40. compared with
S40.911 800 in the last quarter Of 1900,
-
in well informed circles. where estimates
were based on the heavy earnings in the
December quarter and the quieter ten
dcncy Of general business since the be
ginning of 1910. The United States Steel
CORPORATION has earned in the nine years
Of its existence an average OF about
So per cent on its common stock, while
IN that time IL has paid an average Of
o3 per cent. and the action Of the
directors therefore in placing the issue
on a fat ; per cent basis is wholly in
line with the wisdom and conservatism
that always have marked their manage
r11ent of the property. Wild specuators
who are predicting enormous dividends
or the common stock in the future
in other directions. as the finance COM
n1ittee of the board Of directors wisely
announces that II is its policy to pay
only \ per cent in the future. with extra
dividends when earnings Justify such
payments.
While il may be premature TO assume
that the shipments Of gold yesterday
and to-day mark the end Of the cur
rent outward movement Of the metal. the
developments Of the last twenty-four
hours suggest that IL further exports
should he made in the immediate future
they will be confined 10 relatively small
totals The Bank Of England has re-
duced its price for American gold eagles
20 7es I'd. the decline. together with the
prevailing rates for sterling in this mar
ket making il Improbable to send the
metal 20 London, though in view Of our
growing adverse position in foreign trade
quotations for foreign exchange later in
the season may advance 20 a level that
would cause resumption Of exports
irrespective Of the position OF the Bank
Of England. which has been materially
strengthened IN tNf iabl Two NffkS as 4
consequence Of receipts Of gold from the
! United states Sterling was strong yes
terday, with an advancing tendency. and
money rates remained a. relatively
easy level
The detailed statement of the country's
foreign commerce for the nine months
ended March 81 supplies adequate rea-
son for current conditions in the foreign
exchange market. and 81 also furnishes
q striking reflection OF tie buying power
Of our people. imports Of merchandise IN
that time increasing 10 the value of
S23:5 oss 40i, ss compared With the cor
responding period in the preceding year.
against an increase in exports TO the
amount of $50 5000 Imports Of crude
materials for use in manufacturing show
= gain of S113 80 e05. manufsctures for
further use in manufacturing 2 gain ~
S54 30 os9. end manufactures ready for
ocnsun-rfion q gain Of SCI 63l .es2. Til.
5n,- important fs.ling - n exports in
The last rlne months IS n toodstuas. as