The Richmond Virginian. (Richmond, Va.) 1910-1920, 1912-01-11
BIDn IS OK
STOCK MARKET
COMMUNION ARIsISG FROM THE
F1nn DrvEnrs ATTENTION
FROM SITUATION.
TROUBLE is IMAGINARY
PRICES DOWN now. But REAL con-
sTnUCrIyE WORK Under
SAFE LEADERSHIP II
TO FOLLOW.
TROUBLE is IMAGINARY
By THOMAS G. sHeFwEIa.,

BY THOMAS e. sHoFWEId..
NEW YORK, Jan. lo.-Conditions
In Wall street to-day are best de-
seFihed by the remark at the-oid
man who said II have known much
trouble in my life, but most OF II
never happened" Governors or the
Stock Exchange after spending a
sleepiess night In the possibility or
being compelled to close the exchange
because OF the billion dollars worth
Of securities buried in the ruins or
tho Equitable Life building, held a
special meeting In the morning and
received reports from experts snow
tng that the securities are all per-
fectly safe. Therefore, business went
on almost as usual. but trading was
uncertain until official announcement
was made that all was well.
Confusion arising from the fire has
diverted public attention from the
fact that a very material reaction
has taken place in the stock market.
Union Pacific, for instance. at Its low
price OF Tuesday was 3 points under
ITS recent high level. Steel was
down four points from the top and
other stocks about the same This
reaction has been enough to satisfy
conservative friends of the market
and they are now willing to see
some constructive work done on the
exchange. There 10 evidence that
this VIII be carried on under leader
ship of Lehigh Valley. There Ia no
LONGER much doubt about the genuine
meas OF the report that important de-
velopments viii take place at the
meeting Of LshiEh directors next
week. In fact there 10 evidence that
An understanding has been reached
in regard to the market management
and the Rock Island interests WIZ
work in harmony with interests that
up to the last few days have been
holding alcof.
sseel Orders Go High.
Announcement by the Steel Trust
to-day that its untitled orders have
increased s42,sos tons In the month
Of Decent Der, together with unofltcial
Information that orders for January
were at a rate even heavier. furnish
ed a foundation for considerable OPP
timism. 1t 10 true. these orders are
taken At a figure 70 low ~ TO Yield
q profit that will not do much moro
than pay the dividends. but the enor-
NOUS income Of the Steel Trust from
other sources must be considered.
It's cement business 10 very profitable.
Of great importance. Furthermore.
the low prices Of Steel are really =
buli argument on business In general
because the railroads and the build
ing trade find announcement In these
prices to start enterprises that have
been held in allegiance for years. One
OF the great troubles of the country
has been the inf1exibie prices OF
steel.
Improvement OF the steel business
in the way of tonnage carries with
II the promise OF still further I'M
provement In the copper metal bust
ness. Producers report that the sales
for January are 40 large as to make
II certain that the surplus will show
u reduction at the end of the month
even greater than the reduction OF
last month, The metal IL now selling
at l4l-2 cents and 15-cent copper
IL only a question OF another week
or So Production will have to be
increased TO keep the price around
rs cents, and 1t is the expressed In
tention OF the big producers to keep
II ut that level Even AfsfAigasHated
Copper IL earning enough to JUSTIFY
a material INCREASE in its dividend.
and the low cost producers are en-
joying bonanza profits. Copper stocks
yet. II may be that a large part
OF these purchasers Of metal are for
speculation, but speculation always
runs ahead OF actual business, any
how. and when II persists Ii always
encourages actual business
Carnegie Helps Market
Andrew Carnegie helped the mar
ket by giving evidence before the
congressional committee on the proof
Of the fact that the steel trust was
not organized to restrain trade but
10 save the business from being alb
soIutely controlled by Carnegie This
has been the contention OF the lead
ers OF the steel trust all tho time,
and will be their chief defense In the
suit brought by the United States
government. Carnegie had planned
20 ruin every independent steel COM
pany In the country. but by organ
King the steel trust Morgan saved
them. Morgan got magnificent re-
ward, but the work accomplished
vas stupendoua.
Basxraryis In the Northwest have
had q depressing influence on rail-
roads, but as a result OF these bliz-
yards freight will accumulate to such
an extent that when the weather
clears up the roads will be able to
and the speculative possibilities on
tho hull sidA Of the market In great
in that connection. FurtheTmorC, Il
must be remembered that the rail-
roads are merely railroads now, and
not mysteries. a. they were q few
years ago. James J.. Hill has lost
his magic wand since ne let tho pub
nc look into the ore deal. e. H.
Harrimban has gone and Union Pa
cific Is no longer a speculative in
iuence in the. market. 1t Is being
operated magnihcently as q railroad.
bat Wall Street expects no financial
surprises from IT, With the L.shigh
mystery dispeiled next week. the So
raited spcciaittes wilt have TO be mar
ket leaders. because they are the only
things In which curiosity can be ex-
Cated.
This being the case. Consolidated
Gas, Ore Certificates, the fractions,
American Can, National Biscuit. Beth
iehem Steel, General Electric and,
! assya,ssss All. n z. faaiars aiss
ISsnver. may be expected to spring
into prominence.
In the Street, Number of shares
soid today. 43l.61e: a year ago,
3ai.34z.
Par ya1ue of bonds sold today, 81.
$4,000: . year ago. $2,97l.000.