Evening star. [volume] (Washington, D.C.) 1854-1972, 1912-12-08

| WnOie COuItTy ana IS not, dS he IIill-
mates. for the special help Of specula-
ton.
New money in Wall street is nutriment
to the whole United States. AS well
| might he object to feeding a spring lest
some of the water find it's way into the
bellies of Wall street hogs. or shut of
supplies from an irrigating ditch be
cause some of the water might fructity
weeds as we'll as the crops.
The one fact that stands out plainly
! is that S3OD0.O0O or $6O.UOOOOO lying idle
in the Treasury could be serving a use
full purpose In supplying the needs OF
! legitimate business, instead of being
locked up and kept out of employment.
Railroads Big Showing.
Railroads are making splendid reports
of business. Their earnings for October
and November have been the maximum
and prove beyond a doubt that every
wheel and car has been in motion. Traffic
! for December will be on a par with the
preceding two months, although winter
| may interfere somewhat with the prompt
movement of tonnage What they have
| lacked in equipment of rolling stock has
| been more than made up by the increased
| efficiency on the part of the transporta-
| ton companies. Nevertheless, the strong
companies are making preparations for
heavy increase in business next year
I Orders are in for an immense number
! or cars and locomotives for 1913 delivery
and more rails will be bought and laid
than in any previous year. The poorer
roads Will not be able to do SO much for
themselves and they will lay down hard
on the interstate commerce commission
and their representatives in Congress for
relief in the way of higher rates. How
this will work out remains to be seen.
In order to make it technically easier for
the weaker brethren the stronger roads
will put back into plant larger percent
age of gross earnings than usual. The
managers of the rich systems look upon
this sort Of reinvestment of earnings as
the best possible use to which they can
be put 1t is putting fat and meat on the
bones. 1t is making provision in good
times against lean seasons That has
been the policy always followed by Mr..
James j. Hill and is looked upon as the
essence of wisdom in railway manage
Baltimore and Ohio lead in the pursuance
of this wise policy among the great east
ern systems. This Is where their spare
surplus goes. after allowing for a liberal
margin OF safety.
Disappointment Is Severe.
The failure of American Can to cut a
large-siZed melon has been a severe dis
appointment to a very considerable gamb
ling element on the stock exchange. Wall
street gossip has persisted that the d.
rectors at their meeting this week would
in some miraculous manner finance the
accrued back dividends of 81 per cent on
the preferred stock and thereby let the
common stock in on distribution 1t
now appears that this talk was entirely
unauthorized. Can has been making an
immense amount of money the last year
officially stated at $1,OO0,OOO. 1t has been
the policy of the management to put back
earnings into plant and to expand its bust
ness. In this way an immense industry
hos <A1
beginning. and now that profits are &C
cruing as a result of ten years of wise
management. the future looks very bright.
1t was little rough on the gamblers
to let them nurse the delusiOn that the
Reid Moore-Graham party would reverse
its policy and scatter lot Of money
about in order to bolster up speculation.
but that was the fault of the man who
give heed to wild gossip rather than
take for their guide the known con-
sentative policy of the men actually in
control of the property. The incident
caused great deal Of comment but the
excitement is dying out.
Falling Off in Orders.
Experts admit slight falling off in
the volume of orders for steel and
IRON products. although the let-up is
from an extremely swollen condition
III OOoihCSo, anu Is SCdSOudDIe 0OtH
the steel trust and the independent
companies report record-breaking
receipt of orders during October and
November, with business enough on
the books to insure colossal production
for al least ten months ahead at prices
which will pay very large profits. Some
of the orders for late delivery include
| saving clauses in the event of tariff
reductions. The statement is made
that the United States Steel Corpora
ton took more than double the amount
of new orders in November than in any
previous November, and very much
larger than any single month in it's
history. Similar conditions prevailed
with majority of the independents.
The companies engaged in the manu-
facture of electrical equipment report
| orders in excess of the widest dreams
In the newer branches of manufacture
ing. that of automobiles takes the lead
The 1913 outlook is for the construc-
| ton of 100000 automobiles and $780,
900 tires. General Electric will earn
about sos. 100000 gross this calendar
year. an increase of 20 per cent over
1911 The promise for 1913 is for gross
receipts considerably in excess Of $780,
OO0. 900.
! The street is reconciled to the GER
tainty that Congress will confine it's
activities this short session to the
transaction of only routine business.