The Washington herald., 1912-08-03
GREAT sTRENGTH
IN THE MARKET
However,, Prices Ease Oh Slightly
in Afternoon-steel Common
not So Strong.
LEHIGH VALLEY MAKES RISE
LEH1GH VALLEY MAKES RISE
Ry BARRoN sERvIoE.

BY BARRON SERVICE.
New York, Aug. 2.-rhere was great
strength and activity for this time of the
year shown in the market to-day for
several hours after the opening, but In
the afternoon prices eesed on slightly.
Steel common was not as strong as many
OF the other large issues. showing slight
losses when the others were gaining, but
this was because of a heavy volume of
realizing sales.
Lehigh Valley made spectacular rise
OF over two points during the first few
transactions as q result of an attempt
TO squeeze out some OF the short interests
in the stock. American Can and Inter-
national Harvester were strong. while a
number Of specialties like American Malt
preferred showed good advances. Ameri-
can Cans advance was said to be due to
the manipulations of the same pool which
moved it from 12 to $ last winter. and
which has taken Il from "a 10 around 40
during the last few days.
Atchfaon's Net Earninxs.
The net earnings OF the Atchison for
the fiscal year ended June 20, ssz.2 900.
will leave available for common divi-
deHds i9st about the 1-2 per cent on
that issue predicted by President Ripley
ments on the slse 400. 900 common stock at
s 1-2 per cent would be S14. 100 900. The net
earnings available for common dividends
in 1911 Were sl5.62.377, but as the total
net this year showed loss of s,0i9.5S0.
allowing for other charges the same as
in 1911 were sl5.6s2.ST but as the total
should be small margin over 1-2 per
cent. Business is SO improved in the
roads territory that il is predicted that
the 1913 fiscal year should show better
earnings than even in 1863. when the
balance on the common was 12.1 per cent.
The New York, Westchester. and Bos-
ton Railway opens a new line in New
York to White Plains to-day after three
years Of construction work.
The annual report of the Chicago and
Northwestern will show $11. .467, $50 sur
plus for dividends, of which the So. 3s5. 100
per cent preferred will take all but
ss,67s.f22. which is 500. .21S in excess Of the
per cent dividend paid on the common
stock. This Is the smallest balance after
dividend payments shown by the road
since the 1906 fiscal year. There Is $780,
1l7.214 common stock outstanding. and
after the per cent payment on IL, the
preferred receives an additional per
cent, If there is any balance sufficient
to pay II. The preferred is really
per cent issue with the provisional
Fer cent extra, but per cent was paid
on 1t the last year.
The time money market has been grad
ually hardening in anticipation of an early
call for funds for the interior to start
the crop moving. but call money ~rates
continue easy. as there is still plenty
OF money in the banks for current loan
ing needs.
Earnings of the international Harvester
Company for the first seven months of
1912 indicate a record-breaking year, and |
tala ar-v1irr ma he in, fafl
coo. AS IA per cent was earned on |
the common stock in 1911 and only per |
cent paid in dividends. and with earnings |
continuing large. much talk has been |
heard recently of an increase in the rate /
to per cent
Disappoint the Bears.
Directors of the Chicago. Milwaukee
and st. Paul, in declaring the regular
semi-snnual dividend of I-2 per cent
on the common stock disappointed a
number of bears who had counted on a
reduction Of the rate II not a total
passing of it for the coming half year.
If such an action had resulted, a bear
raid on the entire list would probably
have resulted, for this issue has come
to be regarded as a standard Investment
medium. while other st. Paul securities
would have been impaired in value If
the dividends on the common stock had
been curtailed.
The earnings for the fiscal year ended
June 30 fell far short of dividend re-
quirements, out. the directors took their
action with the rosy outlook for the
coming year in view, rather than the
1911-1912 returns before
them. The crops in St Paurs territory
promise to be record-breaking, and all i,
other advance signs of prosperity for
the road for the year to June 30. 1913,
speak of a aArenewal of earnings above
dividend requirements. It is probable
that IL the directors had held their meet
ING as scheduled a week ago. that there |.
might have been more likelihood of a :
In :he dividend rate but with s
IN the past ten days the crops have ad- I
vanced SO far that the outlook for a ]
good harvest In the St Paul territory is :
now far more -assured.
Sir Thomas Shaughnessy, president of \
he Canadian Pacific, the stock of which \
has been furnishing a market sensation e
his week, says that rumors of a new I
stock issue are absolutely without foun- I
iation. He says that Canadian crop y
conditions could not be better, regarding I
10th quantity and quality. IA