The Washington herald., 1911-11-07
Steel Report Helped Market.

Last week, born in gloom. was a pc
riod Of happy disappointment, according
\ to a well-known New York financial
writer in Bache's Review. circulated here
by A C. Plant & Co.
The gloom of the steel suit" he writes,
continued to hang over the market the
first few days of the week. The report
of the steel corporation, showing net
earnings for the quarter ended September
30 of S29,5O2.7 .725. was much better than
expected, and this agreeable disappoint-
! ment gave the first uplift to the market.
Then followed the unexpected favor
able action of the Attorney General
toward the Tobacco plan. The indications
now are that the court will approve in
the main the propositions of. the company
with some possible notifications. This
should give a working plan for corpora
tions on which to model their action un-
der the Sherman law, and has induced
feeling that business will grind out the
serious problem before 1t gradually in the
face of whatever opposition.
That there is a turn politically against
the drastic antitrust sentiment is shown
in many ways. The speech in Pittsburg
of Martin Littleton, a Democrat, men,
Der of the Stanley investigation commit
tee, advocating the repeal Of the Sher-
man law in the interests OF the business
of the country, is the first important ex-
preston from the political world of some
sympathy for business. The business
vote is not to be ignored.
The report to the Railway Business
Association from forty States. whose leg
islatures met in 1911, show that marked
favorable tendency has developed in the
policies affecting railways in the various
States.
THE country Is a heavy creditor Of
Europe. Money is easy, and stocks of
merchandise have been reduced to alb
normal condition.
"An these things have given a favor
able turn for the moment TO security
prices, and their consideration caused
during the week very large covering of
short sales, and this has probably been
the main reason for the advance. The
worst news has so far been discounted, |
and very favorable news would undoubt- |
edly create a distinct further uplift.
THE covering of short sales. on the
other hand, has weakened the technical
position, but on reactions it would be
easy for large interests to support and
carry the advance further. And this may |
be the course pursued until at least Con- |
gress time comes around
Costly.
Important factors contributing to the |
increased operating expenses OF Baltimore |
and Ohio during the past decade are
found in those items Of expense directly !
connected with the maintenance and |
operation Of locomotives. Including To-
comotive maintenance, wages OF engine |
men, engine house expenses, as we'll as
fuel, water, and other supplies for loco
1t cost 81, ,S16, $50 to run the COM
pany's locomotives 81, ,20S 959 miles in 1902,
while during the past fiscal year locomo-
tives have run 64, ,403 miles a a cost of
20545, Oh. or 31.S cents per mile, COM
pared with 20.7 cents per mile in 1902
The advance in expenses accounts di-
rectly for 1856 per cent of the increase in
operating expenses during the decade
Among the various items, maintenance
expense shows the largest Increase while
wages of enginemen and fuel now :bsorb
a considerably greater portion of gross
ago.
Change in the ONCE.
During the coming session of Congress
a complete reorganization of the Office
Of the Comptroller Of the Currency will
be made. At present it is thought the
Comptroller exercises too much inde-
pendent action in the matter of appoint
|
The national banking act and the admin.
stration of banks that have failed in
Of financial institutions that |.
nave received charters from the Federal
government will be greatly amended.
Much dissatisfaction has arisen over
he administration of insolvent banks.
Ind Congress has determined to make
equations governing these matters. It !
s charged, among other things, that poll
icians have been permitted to reap fees
hat were not warranted by services rem
Tered as receivers of insolvent banks.
Demand for Cotton.
A total of 12,51s,112 bales of cotton, OF
90 pounds each in weight, will be needed
o supply the demand Of the worlds :
markets up to September l, 1912. This :
is based upon reports from j
consular officers in different parts of the 7
world. About two weeks ago Gov. Col !
Iuitt, of Texas, asked Secretary of State
Knox to gather a report upon this SUBJ I
ect from American consular officers for $
he use OF the conference Of governors