New-York tribune., 1910-01-22
FINANCIAL MARKET
Z. S. STEEL ADVANCES.
Banks Enjoy a Further HeaUy
Gain an Cash HOLDINGS.

The low levels established by stock
market prices in recent days have at
tracted fair amount Of genuine buying
of first class securities for permanent
investment account, but they have failed
to induce an active speculative inquiry
from the so-called public. Advances in
yesterdays operations represented fur
ther covering by the shorts and efforts
by prominent interests to bring about
higher quotations at which stocks taken
on the decline in order to check the re-
cent downward movement could be liqui-
dated at good profits. Though the best
informed people in the Street do not
look forward to an active bull specula-
ton in the near future, they are inclined
to advise purchases on all reactions, and
believe that in the event Of a resumption
Of liquidation stocks will be worth buy
ing on a scale down to hold either for
speculative profits or for investment pur-
poses, inasmuch as after the entire
cleaning up of the present situation little
will stand in the way of improvement in
prices unless adverse factors develop in
money, business and politics, of which
there is no indication at the moment, ex-
cept as regards unrest among laboring
men. If the Stock Exchange will reform
itself legitimate commission house buy
ing for speculative account will increase
If the Stock Exchange does not reform
itself it will invite the control Of specu-
lation by law, an economically unsound
proposition.
Net gains in the active list ran from
! to 3 points. with the chief strength in
Analgamated Copper, Reading, the Har-
riman and Hill shares, Chesapeake &
Ohio. the local gas stocks and United
States Steel, the last named issue ad-
vancing rapidly on large transactions in
the afternoon on buying based on the re-
port that the directors of the United
States Steel Corporation at their meet
ing next week would increase the divi-
dend on the common stock to a per
cent basis and would declare an extra
distribution to the stockholders Re
Gently il was understood in we'll in
formed quarters that the directors would
wait until the end Of the first or second
quarter before advancing the dividend
and some people in the Street were un-
kind enough to say yesterday that the
exigencies of speculation had Influenced
them to change their minds. Earnings
of the corporation in 1909 and the pros
poets for the current year warrant an
increase in the rate, but some conserva-
tive interests believe that it would be
better policy TO postpone a further ad-
vance until later in the year. The di-
rectors may not increase the dividend at
this period, hut they may, however, de-
clare an extra q of ! per cent, so as to
bring the payments for last year up to
the full per cent for the twelve months
The Hill shares were among the leaders
in the upward movement The Street
was we'll supplied with bull tips at the
close of business. and the smaller traders
were quite convinced that the large in
terests again were working for big rise
in prices. despite the fact that on the
advance heavy sales were made by peo-
pie who supported the market in the re-
cent decline.
According TO the known movement of
money in the current week the local
banks have gained more than $1,000 900
in cash holdings. due to a large flow OF
currency to this centre from the interior,
chiefly from the South Heavy remit
tances from Southern points represent
merchandise purchases here by mercan-
tile houses AT New Orleans and other
cities. the transfer of bank surpluses due
to sales OF cotton and the participation
of the South in the cotton speculation in
the local market. which in the last two
weeks has involved an active movement
of money 10 New York In response TO
calls for margins. Receipts from the
West were light and were offset by ship