Evening star., 1912-03-10
ENCOURAGING SIGNS
Increased Earnings by Rail-
ways Reported.
EFFORTS AT COOPERATION
Doing Away With Losses Caused by
Guerrilla Management.
MUCH DEPENDS ON THE CROPS
Denial of Gossip That Business Is
Poor, Profits Small and Col
lections Slow.
EFFORTS AT COOPERATION
MUCH DEPENDS ON THE CROPS
BY n. ALLOWAY.

NEW YORK. March 9-Not in a dec
ade has Wall street been so much in
doubt so mystified. as IL is just now. 1t
seemed so sure around new year to the
professional contingent upon the New
York stock exchange that there was
sure profit In selling other people
stocks short it was so clearly a mat
ter of taking easy profits up on the bear
side, that almost universally the talent
of Wall street ranged itself upon the de-
preston side and put out contracts TO de-
liver any stocks which they themselves
did not own. They relied upon the long
catalogue of national ills. They saw an
archy abroad They could discern no
where any ray of hope. So, just on the
merest human impulse. they sold, and
SO d heavily. every one Of the stocks
which has conspicuousness. Especially
they rushed their campaign against steel
trust shares, the copper and smelling
issues and railway stocks of status like
New York Central. The market wavered
bit. This encouraged further short
commitments. Quotations generally fell
incidental to such free offerings. Then,
naturally enough, the raiders again dou-
bled their bear bets.
They were sure of many bad things al
ready IN evidence, llley were eNCH CA
of worse things imminent. They were
certain that all the big corporations were
about to register largely decreased earn
ings. They were advised that federal
prosecutions were Overhangng score or
important interstate corporations. They
realized that Germany was grilled by
financial complications. that England was
confronted with capital-labor snarls al
most unprecedented, and that French IN
vestors, whose funds were scattered the
~ nor L.. A
to demand the return OF loans ana IN
vestments from everywhere OUTSIDE or
their own national boundaries. Most that
the bear oracles then proclaimed mas
since been revealed = amplined, aggra-
waited sensationally Still further grue-
some chronicles have been added from
other parts of the word. Japan schem-
ing to pay bankruptcy commissions 10
ohIain international financial nenc.
China plunged into chaos. its throne de-
molished. its soldiery perverted into
looting mob: Mexico seething win tur
moil upon our borders, threatening 10
drag us even into war.
Ner The record runs not at all as the
wise one foresaw. Instead OF declines we
actually have advanced. TINS week re-
ord is signifying. One stock over Wmch
adyersity champions mCst chortied mas
risen half a dozen points stralgntwas.
Indeed every prominent issue upon the
New York Stock Exchange list is gamer
They who were sure at new year are
sorry in March. They who saw only Dlue
things find now the bluest spots upon
their own bank books. They gambled up
on American adyersity: iheir suesses
were wrong with penalties.
Foremost Capitalists Interested.
What can be relied upon beyond perad-
venture is that the interests now holding
the mass Of what are technically called
floating securities''-those who bob In
and out of the stock exchange market-rep-
resent the foremost capitalists in the coun-
trv. They do not have to be afraid. they
do not have to gauge fluctuations; they
are secure by reason Of their own imam
cial strength This. 1t Is true. does not
add to the intrinsic vaiue or the seeuraes :. ,es
they own, but at the same time II does
put the securities they hold absoiuteiy
above all danger marks. for day Dy DAY
developments, however disturbing, are IN
effective influences not agains. .ne m
trinsic value but the market value.
There are reasons a-plenty for appraiser
disturbance Much that is bad has crept
into the financial situation. ihe germ OF
trouble is readily discernibie. but as
between 1907 and 1912 there exists this
one potent difference-in 1907 securities
were distributed widespread. the public
was loaded. in 1912 American securlties IN
bulk are in the hands OF the rlcnest meil
the country knows. Neither have they
bought sentimentally. Every financier OF
Importance who can be induced to discuss
the current situation is assertlVe tnat tne
future holds cheerfulness. that develop
ments of consequence fmpend out OF
which benefcent results are bound to
proceed. While Wall street has been
weeping and wailing, while the proIes-
sional element upon the. stock eHchahge
has insisted upon assuming tnat 'nere
could he no escape from market col
lanse it will be in time disclosed tnat
there has been continual. persistent actiVi-
tv upon the part of corporation fnanciers
End of Railroad Wars.
While business has been dull in the
market there has been no duiiness In
the inner Offices of those who controi
the finances of the railroads and in
dustrial combinations. In season We
will have official announcements In
long line, all in a line scoring progress
land In conspicuous instances eXtrdor-
dinary progress) made for the better
ment of our business companies. James
j. Hill has a batch Of such announce
ments Railway systems which have
been his competitors have become ms
allies-where competitive losses have
been scheduled there now opens the
way for cooperative profits. In the
southwest. similar situation will be
found, BENJAMIN F. Yoakum and his
coadjutors having scored tremendous
accomplishments. eliminating destruc-
tive rivalry, converting what was out
go into income. The disruption OF
what has been known as the Gould
system will be found in the end prov |
ing to be a clarifying element. In.
word. we are likely to have in the
register of the next few months at
testations of the fact that railroad
wars are ended, that rates have become |
standardized. that dividends are no
longer imperiled by the subterfuges
and sacrifices which old-time guerrilla
management too often imposed
There already begin to show some of |
the encourag ging results OF new re- |
gime-earnings reports by important |
RAILWAYS recording increases In net |
figures
Much Depends on Crops.
Much will. of course. depend in the |
making up of 1912 final results upon |
what is the agricultural situation. II
crops prove to be what now is ex-
pected by the trained farm experts of |
the country, we will have nothing to |
lament for the outlook, according to
these authorities, is practically perfect |
as of the viewpoint at this period .of |
the year Here and there our agri-
cultural sections last year had dis
jority the farmers profited above what
has been the average. This year there |
will be benefit for the farmer at many |
points by reason of the aggressive in
terest which the bankers of the west |
and south are taking in plans helpful
TO AGRICULTURAL expansion. Burdens of |
finance have throughout recent years