The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1910-02-13

Thunder Storm Clears At
mosphere, But All Breakers
Have Not Been Passed
By I A FLEMING.

the New York stock market -sSL Ndoll-
day there has been Cd gradual clearing
Of the financial skies
II is not probable that there viii be-
any sustained bun movement, @-ry ad-
vance to the high levels of the closing
DAYS OF 1893 and yet there is str0ns rea-
son 10 hope Tor twO-sidcd tradi- -snar-
ker. a vast Improvement over one ts2St
has been so onc-sidcd as 90 have
wearIed All but the satisfied and riotoUs
bears
There IS announcement iu me lower
ing rates for money, a necessary and
most useful factor in a bull market
Tbe prevailing rates are 50 low that
there is again an opportunity for the
careful operator 70 buy good dividend
paying stocks for the difference be
tween the interest rates and the divi-
deud returns
There is also encouragement I'm the
fact that many sore spots have received
such drastic treatment that they are
not likely 10 break out again. and that
incura bic maIadIes have been CTadi-
Gated through the enforced liquidation
of weak pools and dangerous combiua-
tfouz-
A study of the price oranges viii sur
prise all but close watchers ofthS ticker's
tale. in the fact that there have been
so many good gains dvrin- tho last
ureek-whilc many Of the leaders have
been making a brave struggle ID recover
the losses sustained on Monday last
The advances have been largely in the
second railway group-not among the
leaders, although Reading the Hills.
Rock Island, ETies- ara some other
leadiuc rails have moved U0 in the van
o. the procession
To say that the marked is ove- the
Shuals-tuaI all = clear sailing ahead
that caution should be thrown @ the
winds and stocks bought right and left
would he daring indeed Moreover, IL
might lead TO sanity Investigation
There are breakers ahead. but they do
not look as dangerous TO the investor
taking his securities ont Of the market.
paving for them and locking them
away
There are TWO clouds on the horizon.
largely discounted as TO their effect
There Is yet a third In the railroad bin
and a fourth in the Federal incorpora-
ton proposition
There are those who do not believe
that it VIII b. possible 10 bring either
Of these measures TO the poilt Of pass
ing At this session Of Congress some Of
Jne legal fraternity have NOT hesfJaced TO
drive the spike Of uncOnsttutiOuaIiJy
through the Incorporation proposition.
Both measures are under the IucIfEhr
Of public opinion, and AIr- Taft has mis-
fingers on the pulse.
To is likely that this very u-zitaucT
has EUu something 90 do with the re-
co-crC in securities that n -a= enceUr-
aged ne big interests or ne street 10
HabLjtate their security holdings. for
one must question and se-ioFlSIr- any
assertion that the big interests did no.
Iiqui6ste I'm advance or the svaIanChe-
al least part Of TEei- imueUSr hold
IuE= They knew, once their supporting
props were removed from rho market
that IL would fan OF its own weight
TTI-k-E0Uid interests. that they were
not going to stand under the market.
bat wCrc going TO give 10 a free hand
ana that lt would Hc profitable 10 help
it along And they did.
Wall Street did not expect -p hear
thing from the PTeeIl=lt III his adj
dIcSS az the Lincoln cc.euLlIi'1 IN New
oT- CITY last llG1t- inherent IN .hs
slightest from previous HttcTGE-eS- That
small section of the trading clement
that did was doomed 90 disappearance
T Gr Executive does not believe DO TvU-
U5uE amUrk-nut If the eufp-J-t.rn.n- Of
-Ec law IS not consistent with the meth
od of carrying on business then Il does
not speak well for tine present methods
of conducting business. and they mast
lee changed 10 conform 10 Tie law
That's plain enough Ana the inter
probation OF the law VIII Pee handed
down one of these days 10y the supreme
Perhaps it viii not toe a. bad ss ez-
reCfD- when Il does cons I'm times
TrIS1 decisions nave been turned - adj
5IHJs Ec-rrey VIII he iu The future. and
trc dropping nj values from the hiSu
range fn 40 least. modest quotations ON
dividend nsyme.uIJ-s has alScoynJet
tn-r-
IT you arc looking for Il possible
source OF troGrTs You may nU1 IT an the
Increasing cost of operating railroads
s Paul gross -arUinus increased - per
cen, for tHo las SIX months of 1859 and
transportation expenses increased Is
por csn. For the same De~io5 and re-
1rrrfn= 20 The same returns. Atcfisou in
creased To- per cent ON gross and 1S-S on
expense Northwestern Increased 10
Der cent on gross and IsS per cent on
cost Of transportation Rock Islands
figures were 50 and - per cent, the
charge aere being exceptional Union
Pacific increased la-5 per cent on gross
ard l23 ou expenses. while Southern Pa
cites gross moved up s. Ier cent. While
tie cost of transportation =f4agyed the
extraordinary EEcrease OF 80 p-t cent
when the railroads were WORKING from
both ends tc make bon ends meet
maintenance charges UFrr f5iSr- -a-dctI
rs far as possible Wees were s-llf
somewhat. but not Srrl--TS-E
Tire high cCSl of f5v5-r s- ta= ar-u-
rreut advanced by tie -c1ri-- lea--
users OF all COmmod5tiss. FOR tn Increase
Ir DEMONSTRATION chaT-es-.l-e ai-l cos
or living Is the argument advanced sy
employees Of railroads for higher wages
and tGe railroad corpora -1oUS are nft
astE ways- HOW loa- e-iI this go or
without affecting divide udS-
II looking for precautionary signs yo,I
might and them IN q IeSSeuiUz volume
Of busiHeSS-Jhe natural sequence oI
the ciSiurhIuG Influences TeGlatInS from
stock market presenting ali the ap-
iearauceS of an inciuieut pane.
There is much 10 be said in favor
Of a better market in the buying thar
Is coming from abroad The lower
prices OneT capitalists Of tire old world
an opportunity To- secure returns an
their funds tHdJ they have n0T had FOR
many months The repeated reductions
iu the Bank o. EuolalG raue of dis
Cusrui. have encouraged this buying
Thrifty France mas thrown off the
food disaster as d e were nothing
70