Martinsburg statesman-democrat. [volume] (Martinsburg, W. Va.) 1906-1921, 1912-08-09

THE STOCK MARKET
By Hugh M. Creighton


y 4 = = y i = y
Call money continues available at
the same reasonable rates which have
prevailed for many weeks, but there
is noticeable advance in rates for
time money and commercial paper.
Commercial paper is being bought
moderately, but rates are firm. Money
will commence to move toward the
interior the coming week. The tend
ency of money is decidedly toward
highe rates
The future of prices for stocks
hangs on two important factors
crops and money. Besides these two
prime factors, a movement in prices
might result from decision by the
Commission now arbitrating the rail
road engineers demand for higher
wages on any radical declarations by
the presidential nominees defining
their position on various questions of
Importance to the business world.
AS to the crops, present conditions
forecast total agricultural yield
equal to last year, although both the
cotton and corn crops are late and
will require favorable weather to ma
ture a crop equal to present estima-
tes
Regarding money, the outlook is not
so favorable. Commercial paper can
now be said to be upon firm per
cent basis. Time money has also ad-
vanced. This hardening in rates Is
against prices. The continued low
rates for call money would only seem
to indicate that somebody is willing
to loan someone else money at an at
tractive rate with which to buy some
bodys stocks. The market has super
| fetal appearance. Even the Steel
Corporations repore this week, which
showed earnings up to expectations,
failed to stimulate prices. A move
ment of importance seems to be form
ing. but despite our splendid crop pros
poets and positive assurance from
reliable sources that nothing averse
to business will be forthcoming from
the political arena, it would seem to
be a time for great caution.
ANSWERS TO INQUIRIES.
Illinois Central Railroad Shares
Earnings applicable to dividneds on
the stock of this company for the year
ending June 10 are estimated at about
per cent. This compares with 1885
per cent the previous year. This de-
crease in earnings was the result of
! labor troubles and floods in the Com
pany's territory which seriously cur
tailed traffic Both of these happen
ings were unusual and decreased earn
| ings materially. Last years earnings
exceeded dividend requirements more
than s3,OO0,O00 This years earnings
will fall short about 81 100000 Taking
the two years together, the average
margin of safety is satisfactory ! be-
believe Illinois Central shares will
prove a very profitable purchase on
any decline of Importance.
Goidfield Consolidated,-This Com
pany's net earnings, according to re-
ports for May and June, are barely
sufficient to cover the reduced dvi-
dend rate of soc per quarter. | would
advise holders of this issue to dispose
of their shares.
Southern Pacific Railroad Shares
Earnings for the year ending June 30
will equal about IL per cent on the
Common Stock, about / per cent less
than the previous year, but we'll in ex-
cess of the present 6 per cent dividend
rate. These shares should prove a
satisfactory investment Besides an
apparently assured dividend return
there is also a possibility that an ad-
ditional profit can be had from an ad
vance in the price of the stock.
Cincinnati Gas & EIectric.-This
company has the record of having
paid regular dividends since 1853. At
the present time through lease of its
property. stockholders receive guar
anteed dividends of per cent The
Columbia Gas 4 Electric Co. which
has recently passed under the control
of syndicate OF New York Bankers
closely associated with the Standard
! Oil Co. owns a majority of the stock
of the Cincinnati Gas & Electric Co
At the present price of Cincinnati
! Gas & Electric around SO it is an at
/ tractive Investment with large specu-
lative possibilities.