Evening star. [volume] (Washington, D.C.) 1854-1972, 1911-03-19
America can look at the information
situation with complacency.
Taking Securities Abroad.

At the same time Great Britain and the
continent are taking immense blocks OF
our securities, which still further helps
US out Other countries are not only buy
ing our agricultural products and in
creasingly of our manufactured goods,
but they are taking the bulk Of our gold
output much the same as they would any
mercantile commodity. During the last
eight months we shipped more than 500,
100000 gold more than we imported. The
statement has been made by one OF the
Guggenheims that the banks OF the world
have pretty we'll filed up their gold re-
serves and will be taking very little more.
Somebody seems to have use for the
royal metal, however, It does not go
begging and must be finding its way into
enterprises looking to the development OF
the earth's 1nnumerable resources. This
Of many students OF finance. has thus far
been only a benefit to the world. It is
the great tonic and nerve force and is
performing q wonderful mission Tor ad-
vancement. The uplifting process has
been almost stealthy. The grand results
and while the great central cause is
understood its action as reflected in stock
market operations and in general busi-
ness is almost beyond the grasp Of the
popular mind.
In the narrow stock market sense the
effect Is seen in the absorption Of masses
Of securities. and they are passing out
Of the sight of the street and beyond
the control Of market machinery. Some
months ago moneyed people representing
the inside view and comprehension OF
things began licking up the surplus sup
plies Of stocks and bonds and tucking
them away. This stuff does not come
out, no matter what amount of unfa-
vorable news is put into circulation.
Helps Out the Bulls.
The bullish situation is helped out by
and abroad. There is abundant capital
to finance the stock market through
almost any emergency Specially favored
people can get sixty-day money now as
low as 2A. and there are instances where
even that low figure has been shaded.
Call money ranges only fractionally
above per cent, and as the great mass
Of stocks are selling on a and per
cent basis 1t will be seen that there is
IA good, safe scalp in buying stocks on
borrowed money and holding them.
This. however. does not account for the
larger mass of stocks that have been
bought during the last three or four
months. The bulk Of the certificates
have been bought outright. paid for and
taken out Of the market. Commission
houses complain that they are making
next to nothing on their interest account,
which down to q very recent date was
the most profitable feature of the brC-
kerage business.
The market reception Of the cut in the
New York Central dividend turned out
exactly as expected. 1t has never feazed
confidence. Central stock itself regained
3 points from the low figure to which
1t was raided on the announcement, and
the whole market showed that the Incl
dent had been discounted. Other roads
might do the same thing with equal as
surance Of no i'll effect either on prices
or on credit. At the rate the roads are
earning the money, however, they may
be able to get along without any such
reduction
Atchison. for instance. is showing es-
pecial signs Of strength. growing out of
the belief that it will be able to sustain
and maintain payments to stockholders at
the present rate. The Jeremiahs who
represent the conversational departments
Of Baltimore and Ohio, St. Paul, Great
Northern and Northern Pacific continue
to backcap their own stocks and dis
courage investments in them.
Border Trouble a Deterrent.
The Mexican revolution and the mill
tary demonstr alton by the army and navy
of the United States is having consider
able market influence, although it has not
taken the form of liquidation. or even
thought Of liquidation. It is acting, how
ever, as q deterrent to activity. People
are holding off and awaiting develop
ments. This has made the market dull
for most Of the week. although for two or
three days prices advanced sharply under
the impetus of short covering. while
original speculation was apathetlc the
army Of bears succeeded in building up
n,,ff INN short intaraSt When