Evening star. [volume] (Washington, D.C.) 1854-1972, 1911-10-22
Bankers Have Unloaded.

came to the rescue of the market and
saved it from decentralization three or
TOUR weeks ago by buying huge blocks of
steel common has worked out of the
stocks taken on at that time. 1t is still
giving support to Steel and the other
stocks that are grouped around it as
prime favOrlteS in the stock market Not
Elat eXuberant kind of support that
gives the impression of a boom being
engineered from behind the scenes, but
rather of the stubborn sort suggesting a
desire to stand by position taken rather
than an attempt to marx up prices to
higher levels.
At the same time. however it must be
admitted that the public is In the market
on much more extensive scale than ii
is given credit for being The 51b to Z
per cent which is now obtainabe on
many reasonably safe investments is at
tracing people with money. Large sums
are finding their way from repositories
where small or no interest is paid into
stocks that yield excellent returns at
current quotations 1t is this kind of in
vestment that IS improving the backbone
of the market and making it proof against
the raids of professionals and the liquida-
ton of timid holders. Not that prices NAV
not go lower, but it is far from being a
friendless or discred.ted proposition 1t
is becoming more a theater for action in
specialties. however, and a disros ton is
manifest to apply the acid test to in
them in general groupings. heretofore.
Steel Trusts Surprise.
The move taken by the steel trust in
announcing it intended to abrogate the
lease fer Great Northern's ore deposits
was good deal of surprise 1t indi-
Gates another change of front on the
part of Mr.. Morgan's big combine and
a desire to avoid conflict with the govern
ment, although only few weeks ago
the king of high finance shook his 81
at the administration, figuratively speak
ing, and declared that the trust would re-
slst all. effort to move it from It's posi-
ton. 1t may be. however. that i'm YIELD
ing to the governments half declared in
tention to bring the trust to time the
big steel combine is also getting out of
a bad bargain.
Expert opinion has been divided from
the very first as TO whether the trust
hadn't got in bad in its dicker with ur
Hill for those iron mines. Mr.. Hill is
notoriousy a hard trader and it was cur
rent belief that he had outgenera led Gary.
Frick Morgan, Perkins and Their asso-
exorbitant royalty for the Northern
Pacific. At any rate the trust vi
get rid OF the payment of NIL
lions of dollars annually for ores it
really does not need. and it will be put
ting itself again on friendly terms with
the government at Wash ngton. Mr. Hill
on his part will recover possession of
his 100000 Co0-ton ore deposit and will be
looking about for new customer
May Have Customer.
For that matter. Mr.. Hill would have
the public and the steel trust believe that
he already has Il customer in view and
that he does not care a continental how
soon the trust releases him from the bar
gain. Mr.. Hill, it will be remembered
held a very independent stand all through
the long negotiations which resulted i'm
transfer of control of his ore properties
five years ago. His attitude influenced
several of the directors to vote for the
lease because they thought it would be
cheaper to subsidiZe Mr.. Hill and tie up
his ore deposits rather than leave him on
the outside to be disturbing element
Now that the trust management has de-
cided that the big corporation got the
worst of ii there are those who say that
the railroad magnate is trying to put
through another bluff. They even so SO
far as to say that he not only has no
customer in sight for his ore lands, but
that the mines will have to lie dormant
many many years unless he goes into the
mining business himself. One powerful
inside reason why the steel trust is will
ing TO surrender the Hill deposits OF ore
is the conviction that Congress next year
will put iron ore on the free list. The