The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-04-28
FINANCIAL NEWS
AND COMMENT
An Excited Session in Stock
Market on Mexican
Mediation.
BEARS BADLY SQUEEZED
Closing Unsettled by Renewed
European Selling of Cana
dian Pacific.
BEARS BADLY SQUEEZED

mediation. The foreign markets acted
very much as though they still had
troubles of their own. Berlin reported a
fair degree Of frmness. but there was
weakness In Paris after some early
strength and the London market was gem
orally heavy with the exception Of the
American department. It was chiefly late
foreign selling. especially in Canadian
Pacific. which upset Wall Street stocks
anew and caused the market here to close
somewhat unsettled.
Foreign indications were. indeed, con-
hrmatory Of tho conclusions pointed
toward the end of last week that tho
European situation. financial and politi-
cal. was uncomfortable and that 1t was
underlying distress which made the mem
ace OF Mexican war SO disturbing a fac
tor abroad. The foreign dispatches threw
no fresh light on the influences making
for protracted strain, but according to
British advices the controlling influence
over financial London was exercised by
the threatening aspects OF the Ulster crisis.
Expectations that this would be the case
must have been provoked here over the
week end by the news OF large shipments
of arms into the north Of Ireland.
Such facts as these. taken in connec-
ton with the worst that Is known about
our own conditions. tend TO corroborate
the belief that the American position.
financial. Industrial and political. is better
than anything abroad, especially when II
is considered how much discounting OF
adversely has been done here. At the
same time respectful attention has to be
paid to European affairs because our
economic prospects are bound to be af-
fected by them.
Financial Europe seemed 10 manifest
degree of scepticism about the event OF
tho Mexican crisis and doubtless this
counted against foreign values. II was
from Europe. however. that the strong
impulses 10 sharp recovery were commu-
nicated to Wall Street In the early deal
ings. although the rally which took place
in American shares abroad before the
local opening presumably represented TO
a large extent purchases for Wall Street
account.
The Wall Street opening was hardly a
surprise. The chance that the Mexican
crisis might be resolved without war was
enough to cause bcarish spectators to
beat a precpitate retreat and in the early
trading stocks sold on an average OF two
points and more above Saturdays close.
There was remarkable demonstration in
Mexican Petroleum. which was not made
the less remarkable by its subsequent
antics. Judging from some OF the official
representatives Of Stock Exchange opin-
ion there was nothing in the Mexican
Petroleum dealings which called for in
Guiry under the arbitrary powers OF the
Stock Exchange. but outside opinion was
not readily inclined to accept the view
that the demonstration In this issue was
wholly TO be accounted for by the auto
matte squeeze of short interest BY
the end OF the day Mexican Petroleum
had fuctuated over range OF 33 points
from Saturdays close and was quoted
at net decline.
The obvious implications OF the general
market We're that the chance for success
full mediation In the Mexican crisis In
duced concentrated amount OF short
covering. but II was not apparent that
purchases for the short account were ac-
companied TO any material extent by buy
ing for tho long account. The general
disturbance OF conditions at homo and
abroad the currency OF many doubts in
respect TO various factors and the excite
ment Of the market itself did not make
an attractive appeal to investors or to
spectators OF constructive proclivities.
although emphasis should be laid on the
fact that dispositions to buy good stocks
In periods OF weakness are becoming more
and more pronounced in important quar-
tiers.
There was against the buying side Of
Huerta's acceptance Of mediation was not
to he wholly relied upon. Moreover, the
financial community has seen too much
laundering in our Mexican policy to feel
very confident at this time about the re-
suit OF any steps taken in connection
Herewith. It would accord entirely with
financial judgment and be more reassur-
ing should Washington relax In no partic-
ular its efforts to make military prepara-
tons against every failure Of peace ne
gotiations.
A large amount OF news Of various
sorts was published not at all connected
with the Mexican crisis and most Of II
had a favorable bearing or hopeful i'm
phcations. The presentation OF argu-
ments before the Interstate Commerce
Commission In the Eastern rate case
drew fresh attention to tho expansive
factor in financial values and In business
volumes which must be created by de-
termination OF this matter favorable to
the railroad contention.
That the commission might be In q con-
structive mood seemed to be inferential
from ito report to Congress on the New
York Central-I.ake Shore consolidation.
While pleading a lack OF Jurisdiction
properly belonging TO tho States and to
the Department OF Justice tho commission
took occasion to find that the proposed
consolidation was warranted for Operat-
ing and financial reasons. As for the
relation OF the Sherman law TO the con-
soidation the commission pointed out that
the consolidation would not be against
the law unless the present connection
between the two roads was illegal
The death Of President Bier OF tho
Reading company removed a commanding
figure from the world OF corporate en-
deavor. and In Wall Street comment a
tribute OF high esteem was paid to his
memory. But II was recognized that IN
this respect as In regard to other changes
which death has caused OF late In cor
porate management and financial dlrec-
tion new set OF conditions exists for
dealing with which worthy successors
to the able men OF the past generation
will assuredly be Forthcoming Mt need
Announcement that the Tennessee Coal
and Iron Company had declared a divi-
dend OF per cent on the common shares.
the first since the company passed under
the control OF the United States steel Cor
porat.on IN 1907. drew Interested notice
to the quarterly meeting to-day OF the
Steel Corporation directors The fall OF
Colorado Fuel and Iron stock suggest d
that were 1t not for larger concerns The
Colorado labor war might h" disagree.
able irritant In the financial situation
but II was hoped that processes had been
set in train To- terminate this deplorahla
controversy. hrmer tone Was reported
In copper metal, aud tn" heaNincss OF tho
grain markets Was encouraging
There We're no significant chuppcs in