Evening star. [volume] (Washington, D.C.) 1854-1972, 1911-01-01

just before the Maine election but when
the returns from that state came i'm it
gathered strength again and advanced
strongly until after the November cleo
ton. Although the stock market dis
counted the November verdict with the
accompanying backset to Mr.. Roosevelt s
radical views. the campaign was unques-
tionably disquieting in its effect upon
Since the week following the November
elections. the market has gradual,
worked off. although the tone TOWARD
the end of the year developed considerable
firmness. This was due in large part tt
the reinvestment of moneys to be dis
tributed in interest and dividends alons
about the first of the year. sum ag
gregating $22J 100000, a record breakin;
total. by the way. A great many people
lacked the patience to wait for the actua
receipt of their January income, but in
vested a part of it in advance.
feature Of the year-end is that stock:
are found to be heavily concentrated il
the hands Of strong syndicates AND
groups Of rich capitalists with unlimited
bank standing. The public, according tt
the commission men and brokerag,
houses. is not largely interested in thu
speculative branch of the market. Ii
other words, the public is not carryin:
any considerable part Of the floatint
supply. That fact accounts for the lacl
of pressure which is SO often remarked
these days. The large holders seem quit,
willing to stand pat and await develop
ments.
Freight Rate Decision Vital.
According to Wall street, the most i'm
portant development ahead is the de
cision of the interstate commerce com
mission on the rate question, due abou
the list of February. Upon this resul
may depend the policy to be pursued b,
railroads in the ordering Ofsnew materia
and in the general conduct of their bust
ness. They would like to go ahead will
the expenditure Of large sums of money
but will not feel free to raise the neceS
sary capital unless increased income is
assured by governmental consent to ar
increase in rates. That, at least, is the
present impression. 1T may be that il
the event of the commissions refusal t
allow a rate advance that readJust
ment will take place alons; different lines
nancy, scaling down of dividends anC
the enforcement of economies in Other
directions. Indeed there are many who
take the ground that this is the course
which will have to be pursued and thai
its inauguration will mark the beginning
Of permanent advance in stock quota
tons and the beginning also of wholesale
business Improvement in every depart
ment.
The money situation ruled what may
be termed comfortable, most of the
year. There was time in the early fall
when bankers looked forward to the possi-
b.lity of close money during the crop
moving season. They rather expected
there would have to be forced liquida-
ton Of the western situation" but moth
ing serious happened. Banks in some of
the western states were overeXtended,
but under the urging of the controller of
the currency at Washington and of state
banking authorities banks very gener-
ally adopted q more conservative policy.
Loans are still larger in certain parts
of the west han they ought to be, but
as the country Is enormously rich and I'M
doubtedly Solvent, 1t is not felt that the
limits of safety are being crowded too
severely.
Sales on the New York Stock Exchange
for the year approximate 1e5.OOQOOO
shares, as against 212.OO0.O0O shares for
1909. Bond sales also show a heavy
falling off in the aggregate. Bond prices
have ranged somewhat lower this year
than last, d fact due very possibly to the
steadily decreasing buying power of the
dollar incident to the enormous gold in
flation which is going on day by day
and hour oy hour every year of our
lives.