New-York tribune., 1910-03-10
FINANCIAL MARKET
MOST STOCKS LOWER.
Realizing Sales FolIo5c Marked
4duances an the Early
Dealings.

Stock market prices moved toward a
higher level until the last hour Of busi-
ness, attaining their best strength fol-
lowing the announcement in the early
afternoon Of an increase in the dividend
on the New York Central shares to a 6
per cent basis. The action of the Van
derbilt directors encouraged the idea Of
advances in dividends by other compa-
MES in the near future, and traders
bought stocks on that assumption, the
effect of the buying being especially
pronounced in the high grade issues.
which also We're taken by commission
houses in fair volume for outside specu-
lative and investment account Wall
street believes that the directors of the
Pennsylvania Railroad will place the
stock Of the company on a : per cent
basis in May as a consequence of heavy
earnings and increased dividends recent
ly declared by subsidiary companies. the
stock of which is held in large part by
the Pennsylvania, while it appears TO be
convinced that Southern Pacific likewise
will move into the per cent class at
the next dividend period. Southern Pa
citic and Union Pacific shares were
strong features in the dealings yester-
against the high price OF the year of
204. made early in January, and a low
price in February of 17Sla. and it ap-
peared to be in good demand at its high
point for both accounts, despite the fact
that evidence of inside liquidation was
not lacking. Stocks are now being sup
piled by the people who bought when
prices We're from TO II points under
the existing level.
New York Central stock on its new
dividend basis returns Al per cent,
against As per cent tor the Pennsyl-
Yania, and it is likely that this return
on both stocks will be materially re-
duced in the course of the next few
months as result of higher market quo
tations for the two issues. If the Penn
sylvania company intends TO raise it's
rate TO Z per cent in May the price of the
issue doubtless will advance TO $50 or
better before that time, which would
represent an Investment yield of about
4.6 per cent. At the moment there ap-
pears little chance of either stock ever
selling on a sustained investment basis
OF > per cent, and for permanent invest
ment both issues are worth buying at
current prices. The general market sold
off before the close. and the earlier i'm
provement was lost in almost all the
active issues. New York Central and
Union Pacific alone among the promi-
nent stocks presenting net gains, though
showing ii material decline from top fig
ures. Realizing sales We're heavy in the
last hour in all parts of the list Money
rates were unchanged, while sterling
quotations were lower.
The farmers OF the West are holding
an enormous amount of grain in the ex
pectation OF peddling it out slowly AT
abnormal prices, and apparently they
believe themselves rich enough 10 main
tain their osition for an indefinite
period at the expense of the country al
large and the export market While
Russia and Argentina are shipping
wheat IN volume our own exports are
dwindling, the outward movement from
domestic port 10 date showing a reduc-
ton Of more than 25o00,OOO bushels
from the same time a year aeo. which
according 10 recent ideas. is due en-
tirely 10 the increase in consumption In
the United States. Figures OF farm re-
serves supplied by the government, how
ever. indicate that falling exports are
owing more TO the Withholding of grain
from the market than to the increased
home demand for wheat and corn. and IL
Is quite evident that inst aa long as
enormous supplies remain in farmers
hands practically prohibitive export
prices viii prevail The wheat crop Of