New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-11-01
FINANCIAL MARKET
Owners of u. S. Steel Stocks Not
Selma Their Holdings.


ON q light volume of trading STOCK
market prices in the larger nnnioer u
issues moved toward a higher Level IN
tho hest part of the day, fnal ngures
showing net gains in most OF the ac'i'e
shares The metal stocks were well
taken and the chief buying, outside OF
that in Reading and Union Pacific was
renorted in United States Steel, Amerl-
can Smelling and Amalgamated copper
the last named showing unusual Vital-
inv. and encoura ging in its movement the
belief that large interests were accumu-
Ia,in1 II On the theory that Improvement
:, the conner metal trade might be
looked for. Copper prices, ACCORDING u
mon identified with the copper industry
have touched bottom. The Street was
bu,,ish on the American Tobacco Com
many issues. on the general idea that the
government as represented by Attorney
General Wickersham was faVorably IN
clined toward the companys proposed
reorganization plan. and that the genera
:, heme of dissolution and reorganization
as presented by the attorneys for the
concern would be accepted by the court
one of the notable features of the mar
let in the last hour was the advance IN
American Tobacco preferred. Through
ont the day the bonds were strong, while
on the curb the common stock enjoyed
noteworthy improvement. The strength
in these securities was an important
factor in developing confidence in the at
eument that dissolution of corporations
IA conform with the Sherman law Will
= be attended by business disintegra-
ton. The whole market. with only Few
exceptions. was strong in the final trad
ing under the lead of United States
Steel common and Union Pacific. BY
rising 10 5j14 Steel common regained
more than one-half of the break that
followed the announcement of the action
of the government against the United
States Steel Corporation Weakness IN
American Cotton Oil common was &C
COMMANDED by the old rumor that the
dividend would he passed on that issue.
Notwithstanding semi-depression in the
iron and steel trade the United States
steel Corporation reports net earnings III
the quarter ended September 30 Of SD
90. 72j. and a surplus after all charges
and dividends of $2I4I,494
Holders of the United States ste l
securities apparently believe the govern
ment will lose its suit against the big
steel concern. They are not selling their
stocks. while substantial interests are
taking the offerings of small spectators
who are anxious TO get out of their COM
mitments. The Wall Street Journal"
in A careful analysis of the tangible as
sets of the United States Steel Corpora
ton. finds such assets are sufficient TO
i1uidate the preferred stocks and the
bonds at par and that even on the ap-
PRAISED valuation Of the government,
which can be regarded as extremely con-
servative. substantial equity remains
To- the owners of the common The re-
cent report Of the Commissioner of Cor
porations on the United States Steel Cor
poration placed the valuation Of the con
Germs iron ore holdings at an absurdly
low price. and according % the best in
formed men IN the trade the value Of
these ore properties is more than SlO0,-
600 600 in excess Of the government 5
estimate. which would give the corpora
ton tangible assets Of upward Of 81 302, 70
600 600. which. with an estimated in
crease in assets in the present year Of
500. 900 600. would represent liquidating
balance for the common stock Of more
than 1903 100000. or about 81 on this
issue.
There are thousands Of email investors
who hold United States Steel preferred.
AMI fortunately they are not throwing
their holdings Of the stock on the mar
ke;. They show good sense The
chances are steel preferred will sell well
above its present level before the gov
eminent suit reaches its final settlement
in the Supreme Court In its decision on
Monday on the question of the power of
ever state commissions in the matter
of the federal safety appliance act in re-
gard to railroads the Supreme Court
virtually eliminates state commissions
from the control Of railroads. practically
leaving complete supervision in the
hands Of the government. 1t is not
likely the transportation companies will
take exception to this ruling. AS long as
wa have an Interstate Commerce Com
mission il should be supreme in the mat
ter OF the regulation of the railroads. for
the good reason that there are few com
panies that do not do an interstate bust
ness. The country is moving toward "A
just and equitable federal supervision of
al, corporations i'm the interest of the
people.
SUNDAYS NETWORK TRIBUNE
h..IoI .nN.,k.r. lInitad