New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-10-23
FINANCIAL MARKET
Stocks as a Rule Are in Fair De-
mand from investors.

specuator IL is worth noting that in
vestors are quietly absorbing shares and
bonds of companies of established divi-
dend reputation Notwithstanding the
bear talk heard in Wall Street regarding
the future OF our industries, there are a
few persons left who are quite confident
the country Will not go 10 pieces ana
they are backing their opinion with SUD-
stantial checks TO their brokers Tor the
purchase Of sound interest bearing Sc
curities. Efforts have been made III re-
cent days 10 frighten actual holders OF
stocks and bonds. but instead or the
looked for liquidation on this account
there has been a material increase IN the
demand for gilt edged issues. while there
also has been a semi-investment inquiry
| for stocks Of companies that give promise
Of returns at no distant period. The
buying Of Southern Railway preferred
should be included in this semi-invest-
ment movement. And in justice to the
Southern Railway Company, which is
doing wonders for the territory through
which its lines run. IL should be said the
results obtained by the management OF
the property and the disposition Of the
South 10 take advantage Of the Southern
Railways reconstruction work foreshad-
Railways reconstruction work fore
shadows a permanent per cent annual
dividend basis for the company's pre-
ferred stock.
The commercial agencies report no
business depression in the South. Re-
garding the South and the Southern
Railway THE Wall Street Journal" says:
After being behind the rest Of the cOun-
try for years. the South is now making
rapid strides in development which
should 20 far toward placing IT before
many years on an industrial as well as
agricultural parity with any other sec
ton Of the country. In this development
the Southern Railway. with its educa-
tional campaigns 20 better the condition
Of its patrons. has played no little part.
and is now reaping abundantly in stead
lily increasing earnings" The Southern
Railway earned about II per cent on its
preferred stock in the last fiscal year,
but the directors have refused 70 listen
10 the demand Of Wall Street for an in
creased dividend on that issue. The man
agement Of the Southern Railway is con-
terests Of the people who have money
invested in the c0mpany's securities.
| Spending surplus earnings on a property
/ for betterments and additions is a better
policy than that Of capitalizing the ex-
| pense account.
There is little use in discussing the
American Tobacco plan in its relation
10 corpora tons In general. but it IS
worth noting that the chief financial in
+erests IN the company are the heaviest
buyers Of American Tobacco securities.
And the same thing may be said Of the
current buying in the issues Of the
| United States Steel Corporation. The
/ big steel concern is putting its affairs in
order. It is quite confident II is not \
monopoly. but II is adjusting itself 70 a
basis that Will conform &c the interpre-
tation Of the Sherman antitrust law by
the highest tribunal in the land. Its an
|nounCement that Il intends TO abrOgate its
/ lease with the Great Northern ore Com
| difficulty in securing new ore supplies
The Steel Corporation has enough ore IN
[ sight 10 last its requirements for years
beyond the present generation, and its
I generalization, Cr
with the Great Northern ore Company
not only will eliminate the argument
that il has a monopoly Of the ore bust
ness in this country, but will free It
from a bad bargain The ore certif-
Gates declined q trihe more than 10
points on the Stock Exchange last week.
| against a net loss by United States Steel
common Of rs.
Most stocks show marked resistance 20
operations for lower prices. and notwith-
standing active efforts 10 bring about a
cheaper quotation level few issues have
presented substantial losses in recent
days AS an investment proposition high
grade stocks are worth buying at pre-
I fdl-lll- - Alf as NlllIt A-lH same lHlIE
may be said Of bonds a considerable
amount Of money is moving into securi-
ties that are not listed on the New YORK
/ Stock Exchange as, for instance. the is
sues of public utility companies Gas
companies, electric light companies and
traction companies are making money.
as a rule. and there is every reason 10
believe their profits will continue 10 in
crease from the very nature Of their
business. Capital is going into sound
public utility securities because they
represent companies that supply public
necessities. In going over the records
for many past years il is difficult 10 find
a case Of defaulted interest on bonds of
gas companies. The same thing cannot
DE said Of the railroads; and public uti-
ity companies in general present a SPLEEN
did record in the matter of making good
TO holders Of their securities.
Money rates remain at the same level
reported a week ago, and general money
market conditions at home and abroad
are unchanged. Our bankers continue
10 lend their surplus funds. or rather
their credits on merchandise account. 10
Europe and il is estimated loans Of this
character now aggregate Sl0OOOO,OOO
While we are using our surplus money
abroad our export trade continues 10
show a large increase over correspond
ing periods IN former years. In Septem-
Der the excess Of shipments Of merchan-
disc over imports amounted in value 10
more than S17O00OO0 the best showing
for any like month in the history of the