New-York tribune., 1910-11-27
ALLAWAY'S REVIEW

conspicuous. but even in the total "a.
the week nothing figures in an impor,,r.
wav. This record to some sr,a..
the resolution OF bear s,.,
uIators. who persuade themseIve. r..
a duh market is a market which three.
ems quotations. 1t is a bear conten,;.
that no public interest is discsru,b,.
And there can be no gainsayfnx ~
claim. Brokerage Offices are empty !,
outside" order is a curiosity. But w,.-
is equally plain Is that while the r,,,,-
is not adding to its holdings. whils !.
shows no inclination to buy. there cor.
from the public no orders to ssr
Liquidation is not anywhere suSpectah.
Bugaboo recitations scare nobody, a..
more. The stock markets deadlock II,
uation attests nothing clearer than tb..
the people who have stocks, hold ,ba.-
and own them, are content 70 rnaluta;,
their investment position. To diseovs.
a bear argument" herein is not seas,b,
Thus the present marking time cha,
acteristic Of the market would seem -
signify not hesitancy. nervousness -
any other manner Of bearfshnssz h,,-
actually calm assurance that il IA s,,.
and sensible 10 hold on and avail. car
fdently-that when change comes It wiz
be change TO the better.
Regarding United States Steel sscu-
ties-still holding best position In Tia
market-and concerning which this r.
view has been consistently confident m.
# the important houses Of the stoe,
Exchange in a special letter to client, a.
the close OF this week says:
The bearish element OF Wall s,-sa.
has lately attacked steel common bs.,
| ,erIy not only by selling 1t. but by criri.
cising what they allege 70 be uneoufs
ma hipulation They have sought NJ.
/ fairly 10 spread the suspicion that
number of big operators possibly sun
ported by the insiders. are trying % I'm
a bull campaign against bearish roF.
tions. IN our opinion there is 10 yrb
manipulation OF the stock There s-s
| perhaps twenty or more active urosss
| siOnal room traders who live upon Stasi
common; each of them viii trads in from
5.Ot0 to 10000 shares a day. in and out
and that explains its activity and urori.
I
abnormal about it, AS 70 the merits of
! Steel common. the stock seems to US IA
| be cheap at the current price Operating
| about 20 per cent OF its maximum ca
pacity, the United States Steel Corpora
! ton is actually shipping more goods
| than il would have been bic 10 produce
at its utmost capacity only three or -four
years ago. This IS due to the eapacity
| that has been added which was entirelv
financed out OF surplus earnings. nota-
bly, the modern Gary plant. on which 10
| new capital has ever been borrowed.
/ the Steel Corporation can make TIE
showing it does make for the eurrsHt
| wear with only 40 per cent Of its esDac-
iitv employed. the showing likely % be
/ made when its capacity is fully en-
pIoyed gives the future OF the common
stock a wonderful promise Predictions
/ as 10 how soon there VIII occur such
| revival in the steel industry as TO r.
/ employ to the utmost the full capaeity
OF the Steel Corporation are perhaps
hazardous. but it fs safe TO assume thai
as soon as the railroads once more ar.
able to borrow capital on reasona5s
terms their buying Of steel products VII
be very heavy, and all the heavier IL
having been delayed The per csri
dividend on Steel common Is now being
earned with very large margin over
with a minimum of patronage from me
railroads"
Al the close Of the week tentative AZ
tnouncement is made OF comprehensiH
| fnanciering for the Hartman railroaG
Something like $50. .OOO. .OsO IS the amount
involved in the initial move; but though
IoficiaIly not SO stated. this IS merely o.
way OF preliminary. What is proposed
land will soon be disclosed. has TO Do
with the readjustment OF relations De-
tween the Hartman systems TO an sx-
tent going tremendously further. VIVA
will be of especial consequence 10 ts
security market is involved in plans for
| the capitalization OF equities and sur
pIuses and earning capacities not hitner
10 publicly scheduled. Hidden asseS
running 10 hundreds Of millions OF doi
liars will come into view More than IN
is not al this juncture 10 be found oui
but IL is within conservative anticlpa
ton that very material additions W.
ha shown 10 the current market vasas
Of the foremost Hartman issues IT,
Pacific and Southern Pacific naturaAs =
the lead
It becomes evident that in many ih
nortsnt railway quarters proceed hS'
plans of varied scope There az
likely 10 be some notable dissoiut'D'
Iof intimate corporation RELATIONSHIP
There are certain 10 be NUMBER =
new copartnerships. alliances. merssN
yagua hints are heard OF what IN .
banking world is believed TO re =
working out Of plans for rela'l'n>D'
between the st. Paul and The 81 N0-
& San Francisco systems. since
i1atter saparated from Rock isiana =
raiIvrav world has been cOntlhuaNS
the oui vive for Frisco eXpailSiOi- '''~'
row unes-and this present rumor dS'S
c,a-ins il with St Paul evokes no 81
nriss Such combination Would Do -.
,,raI enough. Profit for both p4I''
pa nts is readily calculated y; ,.s-borl o.
| 90 reach into the South anu elAO~s
the Southwest, and s. LOUIS
| Francisco can coincidentaiiy S0'''''''
facilities OF the first order IN eve.
,roatabIA section OF the Northwest
a deal like this now suggested t'lVi.
fair swing for the genius 'ha'
brought 3. F. Yoakum during the POS
decade into the position Of prin'a''
railway mana ger and developer I.iiV
ont the empire OF the SOUTHWEST
During the present "eeN
ought 10 be recorded toward 'ne u7'-.. -
solution Of the New York CIV -
transit problem. II has eecoi'7