The Washington herald., 1912-12-19
WEDNESDAYS GAINS.
WALL STREET GOSSIP


campaign is being planned for Erie
with foreign backing. The buying is said
to continue to be very good. Reading
is still the big speculative favorite, and
tho regulars of the street are bullish
on II to the extent of buying on all drops.
Support stock continues to come out on
the recoveries when the large short in
terest bids.
The high return of Amalgamated at
current levels is causing skepucism as
to a maintenance of the dividend in Of
fees but there seems to be no lack OF
confidence in the Standard OIL circles.
Foreign buying is taking place in n. p,
and since It declined to a 61-2 return
basis.
Industrial specially pools with but
few exceptions are said to have been sat
upon" heavily.
Investment buying is reported to be
slowly increasing in the bond and high
class security market where the return
is 41-2 per cent.
l, is estimated that the Pennsylvania
Railroad gross earnings for the year end
ed June 30. 1918, will be at least S25.OOo,OOO
greater IMAM III inc 'eiS PiOSPe4ONS 'S0i
Of 1910.
There was a good deal OF comment on
the heaviness shown in Western Mary
land This decline was apparently due
to liquidation of tired holders somewhat
similar to the selling of Wabash-Pitts-
burg yesterday.
rates about ten points net higher on
sterling.
It is rumored that the Chicago, NIL
waukee and st. Paul Railroad is about
to take over the entire property and as
sets of the Chicago. Milwaukee and
Puget Sound Railroad Company and that
the parent company will be given a deed
Of possession in the near future.
The American Locomotive Company de-
clared a regularly quarterly dividend
of Ia per cent on preferred
100000 offered at per cent.
With the exception of Manning the
room is very beerish. reversing the po-
sition of yesterday.
The Lehigh Valley Railroad Company
declared regular semi-annual dividends
OF per cent each on its common and
preferred stocks.
The directors of the Distillers Securi-
ties Company meet on Friday. and In the
ordinary course action would be taken
on the quarterly dividend of IL 10 l per
cent While no official forecasts OF the
action that will be taken on this occasion
Is available. there is little expectation
that a payment will be ordered. There is
a strong disposition among the directors
to reserve dividends for the time being
for the development of the companys
business.
Electric Storage Battery declared regu-
lar quarterly dividends OF l per cent on
preferred and l per cent on common
stock, payable January TO stock of
record December q.
The market opened dull and irregular
and inclined to be heavy, and before
long pressure developed all along the
line. From this decline there was a
moderate rally, but trading grew very
dull. In the early afternoon stocks fuc-
tuated within narrow limits. OF a sud
den, like a bolt from the sky. to the
establishment Of all, it was announced
that the Reading directors had increased
the dividend rate from per cent to s
per cent. Instantly Reading shot up )
points. selling at 10. The rest Of the
Lehigh. and for few minutes great &C
tivity prevailed. Stock was freely sup
piled on the advance and the market was
fairly smothered, and within fifteen min
utes the entire list reacted. From a bull
standpoint this manifestation was very
disappointing, as 1t apparently induced
no buying except by A few frightened
room shorts. In the late dealings the
general list was heavy under the lead
Of 1In-
weak at about the low prices of the day.
The government will file suit Saturday
IN San Francisco against the Southern
Pacific against its oil lands.
Reading dividend is payable on Feb
ruary IL.
Better support will be extended to
the stock market toward the end of the
year, after money Accommodations for the |
disbursements Of January are finished" |
says a prominent firm. I'VE think big |
corporations will support for window |
dressing.
S. B. Chaplin & Co.'S letter:
The announcement by, the Reading |
increasing its dividend to the basis of |
per cent in quarterly installments Of . |
per cent, with the next dividend pay
dDie on feDruaTy i, 10 the stockholders |
of record of January q was a great
surprise. 1t could just as WELL however |
pay 10 per cent from its earnings of the |
past five years, and its present big sur |
plus.
Reading stock was selling around |
165 when 1t was announced, and jumped |
to 10 within five minutes on a whirl- |
wind of enormous trading. Then It fell II
back to lS1 IL later on heavy profit tax
ing.
The furry in the stock and in the |
general market which rallied about a |
point in sympathy was over before 2:45 |
o'clock, and prices were then reactinE |
rather generally under what appeared |
fresh pressure of scattered liquidation.
The incident OF Readings rise on its |
increased dividend shows the tendency
of the market to respond to good news |
It Is considered, however. as too early
70 initiate any real bull movement The
Bank of England is expected to raise its
minimum rate Of discount to 6 per cent
tomorrow, and this. together with the
tight and dear money market conditions
all over Europe and the weakness which
is now developing in the copper metal
market, makes the success Of such a /
movement too questionable at this time.
Chairman Lovett Of the Union Pacific
and Southern Pacific, told a reporter Of |
the New York News Bureau that no In
formation regarding the plan OF action
entEiled upon the managemnt by the
decision OF the, Supreme Court would be
given out to-day. Mr.. Loyett said that