Los Angeles herald., 1910-06-09
RAILROAD POLICY
AFFECTS MARKET
SpeCuIatorS Undecided Whether
RetrenChment Plans Will
Be Carried Out
COPPER PRODUCTION LARGE
Surplus Stock Added to by May
0utput-Crop Reports
Are Favorable
I assv, ia ted l TVssi

NEW YORK June S.-There was some
speculative hesitation reflected in the action
of today's stock market, partly due 10 the
rapidity of the advance of the day before
and partly to the conflict of opinion over the
situation created by the railroad rate settle
ment The contrary views expressed by rail-
roads themselves were responsible for the con-
flict Of opinion, especially the announcement
by President Browne OF the New YORK Cen
trail that work calling for S5,00O,OO0 eNpendl-
ture and orders for freight cars, which had
been held up as n result of the rate lnjuhcuoh'
would be resumed. in contrast with the state
ment OF President Ripley Of the santa re
that his company would not depart in any
degree from the policy of reuenchment oe-
cided after the action of the government
against the rate advance. London Joined IN
a substantial way in the early selling brought
about by these conditions.
The heavy selling of st. Paul and the dis
couraged feeling expressed in a published In
terview with capitalist prominent in that
party were corroborative of the conviction
that divergence Of opinion existed between
prominent groups in the financial world.
Much attention was given TO the matter OF
railroad earnings as they would be anecteu
by the postponement OF the rate advance until
approved by the commerce commission ana
the probable period OF that postponement
That the advances would ultimately become
effective was the usual assumption.
Railroad earnings for March are the latest
for which comprehensive returns have been
received by the commerce commission from
as per cent of the total mileage OF the
country. The increase in gross earnings in
that month over March of last year was
shown to be s31, ,5S5. SOO or 1854 per cent and
in net IS, 900 O0O or 1l.62 per cent Last year s
earnings for March had registered the shrink
age of about S340O0OO In gross earnings, and
so. 00O, 900 In net earnings.
The May statistics Of the Copper Producers
association offered little ground for encour-
agement. the months production having been
the largest with the exception of October OF
last year for any month since the association
was formed. deliveries meantime having re-
mained stable at about the level of the last
three months, with the result of another OF
1s AL 800 pounds to the surplus stock of the
metal The total surplus which is thus
brought up to 100 425.9 .973 pounds nevertheless
represents only about six weeks consumptiye
requirements at the present rate OF demand
Quotations for coppers were lower. both In
London and New York. An increase of pig
iron stocks In May in spite OF curtailed pro-
duction Induced n prediction by the Iron Age
that the blowing out of furnaces has not
gone sfar enough.
favorable view was taken Of the gov
ernment crop reports. Money was easier. but
foreign exchange recovered In response TO
selling of stocks for London account and in
spite OF predictions of a reduction in the
Bank Of England discount rate tomorrow.
Bonds were firm; total sales, par value,
50 2O6l. 900. United States Is registered advanced
Il per cent on call.