The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1913-06-03
SERIOUS BREAK
In STOCK LIST
Canadian Pacific OFF Fourteen
foints-Foreigners Heavy
Sellers Of Americans.
LOCAL SECURITIES EASY
Georgetown Gas Resumes Dividend
Payments Of $1.25 Share.
Gossip.
LOCAL SECURITIES EASY
by L. A. FLEMING.

Wall Street suffered a serious relapse
yesterday.
The bears. after resting on their oars
for few days. found sufficient encolr-
aEement in the rush of foreign liquida-
ton, resulting from the disgust of our
foreign friends over the Frisco fiasco and
the discovery of speculative expansion IN
their own balwicks. 10 extend their OF
erations on the bear side with serious
losses all through the list.
With the first flash over the ticker
came the story OF Canadian Pacific. the
leading rail of the Dominion sliding
points and then more points in price UNI
der furious English selling.
When the New York market closed last
Thursday. Canadian Pacific was worth,
apparently. 22I share. The first sale
or the morning was nc 81 and from there
to 213 IS was the result of continuous
pressure on the market from London.
making the net loss Of about sti share.
From the low there was a slight come
hack. but nothing worthy of specia, COM
ment.
No one questions the value of Canadian
Pacific. 1t is a well managed, promising
property but yesterday 1t was under the
hammer-the one real good. high-priced
stock that our English cousins could dis
pose of on this side-that they will want
to buy back just as soon as conditions
brighten-and they sold IT.
The Smashing Wedge.
This. then was the wedge that split the
New York market. aided by the feeling
developed abroad by the ST. Louis and
San Francisco and the Berlin disclosures
OF speculative operations.
The street is beginning to hear from
many quarters over the fact that the
railroads of the country, or very many
of them at least. have capitalized and
nd
rave not made preparation for the lean
wears that have come upon them. Too
many short term notes have been put
upon the market without the provision
for meeting at muturty-the process of
rpfUnding has been going on 50 long.
that the halt called in the Frisco case
may he met elsewhere at almost any
time.
The Other side.
But there is another and a brighter
side The United States, with the aid
of new currency law. which seems 10
be coming speedily, will weather this
storm successfully. We have expanded
hut not seriously, and our foreign
friends. on whom we call when con-
ditions require. have their own hands
full and cannot help us. On the con-
trary they are selling back our stocks
to us. But our banks are strong. and
with the emergency currency law on
the books for another year and the
promise of new Law from this session
of Congress. the storm will be weathered.
Money is wanted in all cities. but the
banks have prepared for conditions and
ar, in good shape, with no overexpansion
. q loans.
The public is not in the stock market.
There are no weakly margined stocks
to be gunned for-these were knocked
down long ago. Stocks held today are
In the hands OF people who can care
for them: indeed. there has been less
margin calling during this break than
Tor months past
Our foreign trade is satisfactory. anC
our farmers have large amounts OF grain
for which there is always a market, yet
to send forward. 1t is unfortunate thai
the weather in the winter wheat region
in Kansas. Nebraska, Oklahoma, anc
elsewhere. has not been sufficiently mois
TO give promise Of the big yield reported
as likely a month ago
Soft spots.
Looking through the New York list
soft spots were nearly numerous n:
the securities themselves. In the leaders
Union Pacific was severely pressed, anc
welded 4Ss points from the finals o
Thursday. the comparisons being mad'
from the close on that day, the last pre-
vious session. From l441k Union Pacific
came back to 1854 in the last few min
utes of trade. Reading was low at 1914
practically ; points loss. with y re
covery Southern Pacific made it II
loss. St Paul y. and the Hills lalh.
Southwesterns gave a poor account o.
themselves. Frisco DDS actually rose
1ss hut Katy was ~ on: Illinois Contra
a point lower; Atchison ~; Chesapeake
and Ohio. a point; Missouri Pacific. 1&S
Kansas City Southern. u: Louisville anC
Nashville. \: Missouri. Kansas anc
Texas, 3 points.
The Industrial List.
In the industrial list nearly everythini
suffered. Stocks were for sale, and il
took concessions to sell them. Stee
common, ex-dividend ~ per cent, opened
at 5S9s. a fractional break. and sold OF
TO 57is. with u recovery. Beet Sugar
* lower; National Biscuit, points
Copper, ~; Locomotive, III; Contra
Leather. 1; Car Foundry, u; Colorado
Fuel. ): Can. IL: Bethlehem Steel. 1alIs
Chino Copper, L: Mexican and CaIifornIs
Oil. more than a point; Pittsburg Coal
n point of
Strength was shown in American Tele
phone and Telegraph preferred. Contra
Leather preferred. and United States
Realty-the three bright spots in al
array of general weakness.
The best gain of the day was in West.
ern Maryland preferred. which advanced
IA points. It has not shown on the
sales list for many days, and the sale
yesterday at OK marked the advance
noted.
There was some rally from the low
points. and the feeling on the stree
seemed to favor more extended recov'
cry with the opening today, but bearisf
sentiment is general. and the hope OF
the market lies in an overextended shor
interest that might be run in IL Europe
stopped selling stocks
London. Paris, and Berlin. especial,
the latter two cities, sold $4,000 share:
yesterday.
Foreign markets closed weak South
ern Pacific was about the only stock pro
tected.
The day was large one in point oi
trade. $4,000 shares being recorded.
Railroad earnings do not keep pacs
with the added increases in operating
eSpenses-caIl IL what you will
Georgetown Gas Dividend.
dividend of >s1.25 a share was yes
terday declared on the stock of tn,
Georgetown Gas Company legally held,
which does not include the $50 shares
owned by The Washington Gas Company
President Letter. Of the Washington
Gas Company: vice President Reside
and Director Ord Treston were in al.