The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1912-12-04
MISUNDERSTANDING COMMERCE
WALL STREET GOSSIP

II ALL O1NHEt uUpUll
Foreign investment absorption has
taken place in Southern Pacific since the
merger decision on the theory that valu-
able rights will accrue In the dlssoIu-
ton. -
Banking interests deprecate the fur
Their advance Of cotton ON the belief that
il will curtaiI operations at A. fine when
the tariff is also likely to. check the mill
prosperity.
Canadian Pacific has paid for ten years
an average OF more than II per cent
annuaIly~t to stockholders In dividends and
rights, and 1t is said in Montreal that
the record will be maintained.
Important economies arc reported to
have taken place in the United States
Rubber production works, putting the net
earnings on very strong basis.
"A decided replenishment of cash re-
serves in the banks Is needed to restore
easy money" says a big interest.
Private advices hom London. Paris.
and Berlin say there is no likelihood
whatever now OF a European war over
the Balkans Further gold is expected TO
be released abroad in consequence,
Uptown professional traders appear
again to, be selling Steel on all the raj
lies.
The market has fluctuated erratically
all day, weakness and strength alternat-
ing and price changes were small Union
was a feature at the opening, advancing
nearly one and a half, while Southern
Pacific was weak from the start, selling
down three points from last nights clos
ing level
One firm disposed OF some 5000 shares
Of Southern Pacific. 1t subsequently rail-
lied moderately, but was under pressure
all day.
Reading was strong. touching 173.
Money renewals We're at per cent.
The market was fairly active early, but
quieted down in the afternoon.
A good party tells us that the Steels
will go much lower.
There is story around that the gov
| eminent has deposited S6,OOOOOO, and will
deposit 100000 more.
Financial circles now expect further
railroad segregation. A general readjust-
ment is to follow the Union Pacific deCi
sion. II is said preparations are being
made voluntarily by certain big systems
TO divest themselves OF equities. This
means melons. Reading is mentioned
prominently in this connection.
The Supreme Court decision In the Tn
ion Pacific merger case practically brings
Fy,F4 81,
relations with the Central Railroad Of
New Jersey. and also New York Cen
trails with the Michigan Central and
Pennsylvania with the Panhandle and
Norfolk and Western. 1t also furnishes
sure indication that a government suit
will sooner or later be filed against the
New York, New Haven and Hartford re-
garding the legality OF its control Of va
rious subsidiary lines OF competing
character.
As consequence. general sentiment on
the markets position. and just how the
stocks Of the various Hartman lines will
fluCtuate from this level. could hardly be
more mixed and uncertain than at pres
ent. Talk OF segregation Of Union Pa
cifiC's assets for the benefit OF the COM
mon and preferred stockholders was used
to support them yesterday, will doubt
less continue to be effective to-day.
There is talk about the Street that II
satisfactory terms cannot be arranged
by the Union and Southern Pacific own
ers for the acquisition of the Central
Pacific and Union Pacific interests will
take over the Western Pacific, which
runs from Ogden to Frisco. Just as does
the Central Pacific.
Under special rule the House to-day
called up for debate the Adamson bill
on physical valuation of railroads The
bill is the same reported out by the COM
mittee on interstate and foreign COM
merce and placed on the calendar last
spring.
Interboro Rapid Transit for October
gross operating revenue increase, s2l2-
3s9: net operating revenue increase, S173,-
3lf.
Sixty per cent of operations in Union
Pacific Is being done by traders.
A committee of managers of fifty-two
railroads east OF Chicago discussed with
firemen to-day new wage demands, time
schedules and working conditions.
There were exported through the port
of New York last week 1,674,OO0 bushels
OF wheat. not including 5000 sacks and
barrels of flour
House resolution asks for Investigation
Of the alleged traffic agreement between
Grand Trunk and New Haven.
United States Steel strike situation
in Pittsburg district shows more &C
tivity.
The production of the Phelps Dodge
Company's Smelters in November was
IL, SIS 937 pounds, compared with 1885,
90 IN October.
The Atchison declared regular semi
annual dividend OF 2 IL per cent on its
preferred stock. At the directors meet
ing nothing else of public interest was
acted upon. The directors are naturally
highly gratifed over the returns that
are coming to hand. The latest advices
indicate that the outlook for winter
wheat in the Southwest is as bright as
1t was at this time last year.
When the committees Of railroad man.
ayers and fremen met yesterday In the
Engineering Society's Building President
Carter, of the Brotherhood of Locomotive
Flremen presented several amendments
m the original demands which yaro