The Washington herald., 1912-09-03
MARKET WA|T|NG
ON VERMONT VOTE
Eyes of Wall Street Focused on
Presidential Contest in
Indicator State"
BIG sPEcULAToRs BACK SOON

New York. Sept. 2-The eyes Of Wall
Street will be focused tomorrow on Yer
mont for its cue on the probable result
of the Presidential election.
Conservative bankers have ascribed the
failure of stocks to advance and discount
better crop and trade conditions as due
TO the presence OF the statesmen at
Washington. but now that Congress has
adjourned. they say the market should
become more animated following the Ee-
suit Of the Vermont election.
Brokers expect that many Of the lead
ing SPECTATORS and big operators will
return from Europe this month, and their
preference will probably be reflected In
heavier speculation on the New York
Stock Exchange. Many persons say the
market does not need the big specula-
tors, but II Is a fact that outside IN
terest In dealings on the exchange Is
never 20 keen as when the big opera
tors and speculators are dealing IN thou
sands OF shares daily. 1t Is the activity
resulting from their dealings that makes
the market and attracts the attention of
the general public. Until these gentle
men return no bull campaign or increased
attendance In commission houses can be
expected.
Railroads Prosperous.
Perhaps the most favorable feature the
past week has been the glowing re-
turns reported by the largest railroads
of this country. The large increases in
gross confirm the genuine improvement
in trade. The revenues of our arteries
of commerce will continue to increase
up to the latter part OF October. II is
between the first OF July and the end
of October that they earn the surplus
profit with which to pay dividends on
the common shares. Between November
l and June 80 almost all of the returns
are consumed by the payment OF oper-
ating expenses. taxed and fixed charges.
With a continuance OF better earnings
sentiment with regard TO the railroad
shares will take a turn for the better.
for the apprehension felt in connection
with the Panama Canal act VIII be for
gotten.
preparations TO take advantage OF the
bright future by selling additional Sc
curities in substantial amounts.
The new financing will include many
millions OF short-term notes that will
expire between now and the end of
January, but comparatively little new
capital will be needed TO take care OF
these issues. because most OF the funds
now invested in those obligations which
Will mature Will undOuDteOly De REIN
vested in the new issues.
Bonds Sell Low.
With high-grade bonds selling at the
lowest prices in years il is a foregone
conclusion that whatever new offerings
are made they will bear higher rates of
interest than were obtained five years
ago. otherwise they will not be digested.
The outlook for the owners OF indus
trial certificates is very bright, especial
ly those concerns producing steel and
copper. 1t Is expected that within a
short time dividends will be started on
Bethlehem Steel preferred and resumed
on Republic Iron and Steel preferred
The heavy tonnage being received and
turned out by the United States Steel
Corporation will Danish all doubt as to
its ability to earn its dividend. Owners
of copper stocks will also get better
treatment in the future. According to
we'll Informed interests the Amalgamated
Copper Company will increase its divi-
dend to per cent. Amalgamated has
always been treated with suspicion, but
an increase in its rate to per cent.
would do much in revising investment in