The Washington herald., 1914-04-15
SHARP DECLINES
ON WALL STREET
Weak Opening Followed by
Mexican News Causes
Break.
ROADS WAIT THE |. c. c.
Exchange Bank Opens-Pennsylvania
Cuts Force-Southerns
Earnings.
ROADS WAIT THE |. c. c.
BY w. STEALEY.

BY w. STEALEN.
The New York Stock Market yesterday
continued its downward trend.
The opening was weak and sharp de-
clines were noted when the street re-
ceived news of the order to the Ameri-
can feet to sail for Tampico. The Next
can issue alone is not expected to cause
any important decline. General bust
ness disturbance will continue the prin'
cipal factor in q bear market which
promises to be relieved only by the In
terstate Commerce Commission.
Steel broke to 81 rs yesterday, rally
ing to IS "a
Copper, Union, Reading, Northern
Pacific, and other leaders, broke over
point.
Sentiment is so bearish on Steel and
other speciaIties equally susceptible to
such unfavorable influences that are al
fecting the market position of that stock
that the general list may get into such an
oversold condition before the end OF the
week that a rally may come when least
expected. Just now the tendency is 10
exaggerate the market influence on
everything Of an unfavorable character.
Local Stock Market.
Trading on the Washington Stock EX-
Change Yesterday was very light, and
quotations did not materially change.
Capital Traction again sold at par 10
the extent of five shares. halfway pre-
ferred sold twenty-five shares at 80 L.
seven shares, Sc rs, and five shares, u.
Mergenthaler, ten shares, bought IA 81
Position of Railroads.
The rate situation, in the view Of many
persons in the financial district, shapes
itself up in the following questions:
l. Is the increase in rates, II granted
coming too late to save the credit OF the
railroads?
?, Would they not be worse of now
with the increase than they were when
they asked for it?
3. Will they not from necessity ask for
another advance as soon as they get this
one?
No one answer to the first of the ques-
tions ased above will apply to all OF
the roads concerned. There are as many
grades of railroad credit, even in the
Eastern district. as there are colors IN
the spectrum. II the per cent advance
or a substantial part Of it, is granted
before the commission adjourns for the
summer. the middle of June. all of the
roads will be distinctly benefited. Some
of them will be saved the necessity of
reducing dividend rates, which otherwise
hang precariously upon the state of
traffic All of them, with the exception
of a few, have troubles all their own.
will find their borrowing power distinctly
improved. The $jo,OOo.oOO annual net reve-
nue. increase has to be distributed among
forty-nine operating systems, but it will
pay the interest on 4 billion dollars of
new capital
However, the most important point is
the moral effect an advance would have
as showing that the government is not
inimicaI to the corporations and the
small stockholders who control these cor
porations.
Cate Attacks A. L. c.
In a third attack on the management
of the American Locomotive Company.
Isaac M Cate. of Baltimore, a stock
holder compares the American Company
and the Baldwin Locomotive Company
to the formers DISBURSEMENT.
The Baldwin Company, he declares,
earns more on less gross business than
the American Company. He charges
also that the dividend on the common
stock in 1908 was unwarranted and again
criticises the sale to the American Com
pany of Is, 900 shares of common by Har-
vey Fisk at SIS a share. Mr.. Gates pre-
yious charges were taken up by a spe-
cial committee and a report on them was
issued recently.
The American Telephone and Telegraph
Company yesterday issued its report for
three months, ended March 81. Net earn
inss are So 90. 431, compared with So
sg7,T4O during the same period in 1913.
The balance is S,292,212. compared with
$1,404.5O3
The Bell Telephone reports balance net
profits Of $6,s22.g7. compared with 81
O5e 81 in 1913 TIL surplus earnings were
H,756,sSs, compared with s2,0l7, 294.
The Washington Exchange Bank open
ed its doors yesterday and. until o'clock
at night, its officers were busily engaged
receiving visitors.
The banks Offices contained many
floral decorations.
A number of new deposits were re-
ceived.
The bank has a capital OF $4,000, sur
plus of $4,000. and resources are esti-
mated at $4,000.
Southern Railway earnings for first
week in April, increase, SsO,2SS; from July
1, increase, S1,o5s,s27.
The Washington Gas Light Company
Yesterday declared the regular quarterly
divident.