The Washington herald., 1913-05-13
WALL STREET GOSSIP

A big trader remarks that the short ac
count in Union is likely at any time to
he placed i'm an uncomfortable position
by favorable facts or rumors concern
ing the dissolution plans. 4
The st. Paul. Minneapolis and Omaha
Railroad Company's $2.500,000 per cent
debenture gold notes offered by Rhoades
& Co. and White Weld & Co. at 81 IA
and interest were largely oversubscribed.
Earnings of American Cigar Co are run
ming at rate of Il per cent on common
stock compared with 2 per cent shown in
full year 1872 1t is thought likely in some
quarters that the dividend rate on Amer
lean Cigar common stock will be in
creased this year. This stock is now on
l6 per cent annum basis. American To-
bacco Co. owns 65 per cent of outstanding
common stock of American Cigar Co.
Last year was the first period in which
the American Tobacco Co. received any
dividends on common stock.
Moler-Some scattering fresh liquida-
ton and bear pressure developing in
stocks more on account of the dullness
than anything else.
Moler-In responsible quarters consid-
cred the best informed in the street good
bonds and the better class of railroad
stocks as well as the seasoned indus
trials not Influenced by the coming
|changes in the tariff are now considered
as on an investment basis.
With the foreign markets closed today
everything as regards the immediate fu-
ture course of prices depends on whether
the long-expected favorable decision to
the railroads will be handed down by the
Supreme Court before il adjourns this
afternoon until May N.
President Farrell, of the Steel Cor
poration. was the first witness called by
the defense in the Steel suit yesterday
The shortage is large. and quiet in
Ivestment and speculative buying is en-
terests The fundamentals arc shaping
favorably for betterment. Would buy
the leading standard stocks on recess
sions with the intention TO take mod
crate profits. Well-informed quarters
appear to favor purchases of cotton on
reactions Wheat and corn are offered
on recoveries.
The United States Supreme Court has
recessed until May 26.
Missouri Pacific earnings for the first
week Of May-Increase, $4,000; since
July l, increase, IS. S.sO5s17.
Representatives of the Eastern rail-
roads will have an informal conference
at 10 o'clock Wednesday, in Washing
ton, with members of the Interstate
Commerce Commission on the question
of the proposed increase in freight rates.
f. & G. Randolph-The market opened
dull and uninteresting and fractionally
lower. but as there was no liquida ton
the market rallied and during the fore
noon maintained fairly steady tone.
In the afternoon there was sufficient
pressure to force prices Off all along
the line, and as a result very general
fractional net declines were recorded.
Several stocks made new low records for
the year. namely, New York Central.
Pennsylvania, and American Sugar, the
latter being sold on the theory that a
reduction in the tariff would affect the
industry very seriously. Virginia-Caro-
lima Chemical issues were weak on talk
of new financing and probability OF the
passage of the common dividend and
possibility that the dividend on the pre-
ferred would be reduced. A generally
heavy tone prevailed throughout the aft
ernoon, but there was no movement of
prices of any significance.
S. B. Chaplin & Co.-There was rather
general disappointment over the fail
ure of the Supreme Court to hand
down the long expected favorable deci-
sion to the railroads in the Minnesota
rate case. AS the market needs the
stimulus of such decision, or the an.
nouncement of satisfactory dissolution
plan from the Union Pacific, to lift the
market out Of its present rut, there was
q resumption Of speculative selling and
renewed pressure from the leading OF.
orators still trading on the bear side.
While this selling was not particularly
heavy, it was large enough in the pres
ent narrow condition of the market to
carry stocks of l to ~ points. 1t was
noticed that Union Pacific and Southern
Pacific were the strongest stocks on the
list however. which gave color to
the reports current that progress is be-
ing made toward settling on a satisfac-
tory plan OF the Union Pacific divesting
itself of it's Southern Pacific stock, and
l.