Evening star. [volume] (Washington, D.C.) 1854-1972, 1914-03-01
FRACTIONAL ACTIVITY
FEATURE FOR WEEKS
Three Powerful Financial
Groups in an Engaging
Drama of the Street.
OUTSIDERS BELIEVE
LOWER LEVEL IMMINENT
Speculative Conditions Continue Un-
MISUNDERSTANDING of
the South Boon.
BY W. G. NICHOLAS.
'ectal Correspondence of The Star.

Special Correspondence Of The Star.
NEW YORK. February %, 1914.
Fractional activity between three
| crowning feature of interest in the
securities market for several weeks
A newly appointed leader-a son and
| heir Of a financial dictator. who over
lorded Wall street for many years
has been under sharp fire and severe
pressure. There were two rival houses
each covertly yet strongly against the
| isolated champion. With the instincts
of right generalship the single-hand-
ed fighter refrained from active opera
tons. in order to give himself the ad-
vantage Of two-sided observation, and
at the same time reserve his strength
and talents. The strongest and most
| crafty of the three proceeded to art
fully set up wires for his rivals, and
with considerable skill organized a
campaign. offensive and defensive, at
the same time Strengthening his own
position.
In the course of the campaign the
market was theoretically manipulated.
Prices went higher than had been
counted on; the leader of the insiders,
who had engineered a bull campaign
for the deceptive purpose of selling
out big long" line. found himself
really short, at heavy paper loss.
For several weeks 1t was a drawn bat
tie; then the market began to soften
and at last accounts an additional pres
sure was put on and the strong mem
Der Of the trio once more went to the
front, it is al eyed, recovering a fat
sum UNI, he had lost by ."overstaying" his
At last accounts the arch manipula-
tor was ahead Of the play, but the
end may not have been reached,
Washington and the Mexican develop
ments figured in the wrangle and kept
TESS that they don't know" but are
I taking chances that the bear reaction
still has some time to run. From pres
emit appearances 1t looks however, as
level again before the next important
bull campaign will be tolerated
Movement in the South.
Another American miracle is in the
early stages of creation. Developments
already taking form have enormously
increased the visible and prospective
wealth OF a great region south of the
Ohio and east of the Mississippi. It in
cidentally gives promise of a sensa-
tlonal electrifcation of stock market
activity. That would mean a magical
upheaval in the south and its rejuve-
natton-an expanse of crops. surprising
Industrial progression, an enrichment
OF a territory twice as large as all
New England and an amazing stimula-
ton of stock speculation In Wall
street. The long-headed men of the
south have at length found faith in
the development Of the resources Of q
i a,1tioasEys , rich area Of only partly
ton OF the population is in the early
stages of realizing the possibilities Of
production from hundreds Of millions
OF nalf-tflled and stagnant acreage.
=, t Ton OF great arabic regions south
o. tne Oh1o and east OF the mighty Mis-
sissippi will duplicate the wonderful results
that have multiplied the values brought
into mt being Y;is under under the achieving genius Of
point Of performance. the pioneers of great
promotions In the northwest are at this
moment being initiated by thousands upon
ties that beset thousands Of pioneers.
Under the direction of string Of Jim
Hills many hundreds OF millions of dol
lars were invested In northwestern acres
The south is old in years. but entered
upon long period Of semi stagnation
forty years ago. It is Just emerging rom
that Hrot r. period Of inaction and the
profits therefrom. The awakening will be
one Of the most stimulating features ever
experienced in Wall street
Legitimate Competition.
The majority Of manufacturers (cor-
porate and Individually have gone forward
honestly and intelligently through the
years. increasing their production. adding
to their honest and legitimate accretions
and obeying the law to the best Of their
ability in the conduct Of their business.
The cost Of manufacture increased largely
through the forced expenditure Of money
in the harsh competition for orders at
cent Of the total Of the country's finished
product In ten years. the United States
Steel expanded about $3.50. ooo. 900 upon
production was increasing rapidly the net
receipts decreased I to 8 per cent on sales.
Boiled down. the net result at the end Of
the painful experience was an annual
shrinkage Of $40.000.000 to sec, 000, 900, and
a large Increase In the cost Of business,
in competition with independent mills
largely promoted by men who had sold
out finished plants to United States Steel