New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-05-05
STOCK MARKET REEVES.
Prices Go SkyWard on Reports
of Bond Sales Abroad.
RAILWAYS ACTIVE IN PARIS
Decline in Foreign Exchange
Partial Confederation of
Negotiations.

The gloom which had overhung the stock
market for many days lifted yesterday,
prices rising sharply on reports of the
placing abroad of bonds of various rail-
ways to an amount around $780, OOO.coo.
partial confederation of these reports being
apparently given in a sensational decline
in the foreign exchange market, where very
heavy offerings of security bills were made
Demand sterling closed on Tuesday at
4S740d4 S745. and after the official close
sold down as low as 4s7, falling in the
early trading yesterday another twenty-five
points. the maximum decline being nearly
three-quarters of a cent A late rally
brought the closing price to 1896. which
represents loss of more than a cent in
the pound sterling in the last week and re-
moves for the present the possibility of
further exports of gold.
Goldman, Sachs & Co. and Kuhn, Loeb e.
Co. have each within few days placed
New York City revenue warrants to the
amount of 100000 in London and Paris.
and exchange against these warrants fig
ured among the influences depressing the
sterling market. London, after a long
period of selling, has during the three bust
ness days Of this week been an extensive
purchaser of stocks in this market, pos
sibly advance knowledge of the bond
negotiations, its purchases on balance yes
terday being estimated at sixty thousand
shares: and these operations also accounted
in considerable part for the acute weakness
in foreign exchange yesterday and late in
the preceding day.
Paris Buying Railway Bonds.
No official confirmation of the reports Of
railway bonds being sold abroad could be
obtained yesterday from either the COM
panies concerned or the bankers. but they
were widely believed to have substantial
foundation. The Chicago Milwaukee & St.
Paul, it is understood, has virtually com
pleted negotiations for the sale in Paris of
the s50,ooO,0oO convertible bonds which the
company was reported a week ago as about
to bring out. and official announcement Of
this transaction is expected before the emu
of the week.
The Cleveland. Cincinnati. Chicago & St.
Louis Railway Company. it is also under
stood, has placed in Paris SS,0o000O or
100000 or the S20OOO.OOo debenture bonds
authorized by the stockholders in Novem-
Der the proceeds of the sale to be used in
taking UP the s5,OO000O of notes maturing
en- June / and in paying off about A,0ooGoO
of floating debt. The Southern Pacific is
said to have about completed negotiations
for the sale of S15,0C0Go0 of its refunding
per cents and the Union Pacific about the
same amount of its refunding Is, large
part of each issue to be placed abroad. The
Missouri, Kansas & Texas is also ru1nored
to be negotiating for the sale to foreign
bankers of a bond issue of So. 100000 to
s30oo0,oo0.
The effect of these transactions in bonds,
If they shall be carried through, would
naturally be to relieve the local market of
a heavy prospective burden. well as to
place the foreign exchange market in such
a position as to insure for this centre a
supply of gold in the fall. if it shall be
needed
Listing Americans Abroad.
Two more announcements of listings of
American securities abroad were made yes
terday. Ladenburg, Thalmann & Co. an
nounced that negotiations had been con-
Guided for the listing of s125,000,o00 National
Railways of Mexico second preferred stock
on the official list of the Paris Bourse. on
Monday, and the National Bank fir
Deutschland and the Dresdener Bank. both
of Berlin, have arranged to introduce
Southern Railway per cent general mort
gage ana 0eNelOp1ne1J DDIluS III b6Tlll
Henry P. Dawson. of ]. P Morgan & Co.
who returned from Europe only a week
ago, sailed for Paris yesterday the Adri-
attic. It was rumored that the trip was in
relation to the placing of American bonds
in that city, but it was later learned that
his mission had to do only with the Canton
Hankow Chinese loan negotiations, with
which he has been occupied during many
weeks
The entire stock list shared in the adj
vance accompanying the reports of great
sales of American bonds abroad. the i'm
provement continuing during the session.
Some of the chief net gains were 37a points
in Southern Pacific, points in Union
Pacific. Reading and Consolidated Gas, "a
in Northern Pacific, Canadian Pacific and
Rock Island. 2as in United States Steel com
mon. 2Ih in Louisville & Nashville, 9Is in
Chesapeake & Ohio. and ia each in Anal
gamated Copper and American Smelling
and Refining.