The Washington herald., 1913-02-01
WALL STREET GOSSIP

NALL DlhEEl UVOOlf
Morgan interests are reported driving
I'm the shorts outstanding in Steel. The
shortage is said to have covered to the
| extent of 80 per cent only.
to by some of the floor specialists in Cop
per shares.
A pool is said to have accumulated
large line of UnIdn Pacific. We find evil
dence of a very friendly sentiment to this
stock in the right quarters.
Attention is being called by big commits
sion houses to the good TRANSPORTATION
weather and the increases in railroad
| earnings reported and likely to come.
1t is rumored in floor trading circles
| that Northern Pacific and Great North
ern will be found at much higher levels
in the next thirty days.
The increasing issuance OF convertible
bonds is reported to be in response to a
strong demand for that class of securities
| among investors here and abroad
The Rock Island party is reported to
be interested in the bun side of Read
ing and Lehigh Valley.
There is still a large uncovered short
| interest, which is undoubtedly getting
nervous. Whether enough buying will de-
velop to force further heavy short cover
ing or not is a Question. but II looks as
| If such might easily be the case. General
conditions have not changed, and there
is every evidence that we are still i'm
l.
more vigorous rally than any that We
have yet had. since prices began TO de-
cline in October.
The directors of the American Can
COMPANY yesterday authorized an is
sue of $1,000 90 fifteen-year per cent
gold dcbe3tur" bonds, redeCmablc 1t
lG2 II and interest, and a sinking fund
of $50, 90 annually Fourteen million dol
lars OF the deOenturs3 have Eeen sold
- the Guarantee TrIs: Company. of New
York. and Lee, HiS-insnn e. Co. of
Boston. 1t is presumed the issue is in
connection with the adjustment of accu-
mullted dividends IF Z FER cent on the
preferred stock
The reported plan for financing back
dividends Of the Can puts the common
stock in line for a dividend at once. BY
issuing the SlS,e0O 900 OF bonds the fixed
charges will be increased S6jO,cOO a year.
Even with this increase of fixed charges
the company would have out OF 1872 earn
lngs nearly 10 per cent on the common
declaration of per cent would be
ultra-conservative.
The Republic Iron and Steel Company
declared regular quarterly dividend OF
3-4 per cent on its preferred stock.
At a meeting of the directors of the
Southern Pacific held yesterday, the
resignation of William Rockefeller as a
director and a member of the executive
committee was accepted. The vacancy
caused by his resignation has not as yet
| been tilled.
Advance in Ligget & Myers due to in
creased earnings. Understood net for
last year in excess of . per cent on com
mon. Directors meet soon.
New York Central lines for December
total all lines operating revenue increase
50. .1S9. .36J. Operating income increase. sSI1,-
| 46l.
Shotwell-Now that the American Can
movement has been Justrned by develop
ment traders will naturally look for
activity in the other Reid stocks. LchiGh
Valley and Rock Island are both selling
at low prices and are worthy of attcn-
ton.
The bill for physical valuation of rail-
roads is likely to be favorably reported
by the Senate committee.
The reported movements of currency
this week indicate a gain in cash by the
banks of $4,000.
s f. Chaplin & Co.-While the market
showed a great deal of irregularity in
the trading yesterday, there was good
undertone manifested when the bear ele-
ment assumed a more aggressive posi-
tion in resisting the recent advancing
tendency. The fluctuations were of such
a backing and filling character and trad
ing was so large at times in such leading
stocks as Steel. Union Pacific, and Read
ing, it was very difficult for even the
closest observers in the board to follow
it: but every time there was an appear
ance of fresh pressure in the effort to
| break prices the support encountered was
| too strong for the success of the move
| men:.
In this way the market was closed firm
at about Thursdays final quotations for
all the active railroad and industrial
stocks. Union Pacific was one of the
strongest features, and closed a point
higher on the progress that is being
made toward finding a satisfactory basis
| for the dissolution of it's merger with
| the Southern Pacific.
With this matter satisfactorily adjusted
| a great weight of uncertainty will be
| removed from the market, so it will be
| in much better position to respond to
any new developments of a favorable
| character.