New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-01-28
REVIEW OF THE
STOCK MARKET
|. c. c. Decision Arouses
Quiet Market--Sharp
Rise at Close.

stock market as whole showed no
definite trend, but maintained q wait
ing attitude. But shortly after :
o'clock Il was taken by surprise, when
the report OF the Interstate Commerce
Commissions decision holding unlawful
special allowances made by railroads
to certain of the large industrial COM
panies was made public. Professional
traders were at q loss at first how to
interpret Il, except as n gain for the
railroads and a corresponding loss for
the industrial companies, so they
bought the first group and sold the
second. Later, as further details be-
came known, the selling OF the indus
trials ceased. and n vigorous upturn oc-
Cured in the railroad list that lifted
Reading to new high price for the day
and brought about rally only slightly
less in Union Pacific and Southern Pa
cifc. with other railroad stocks ad-
vancing briskly. In the final dealings.
however a new selling movement
brought about fair-sized recessions.
The decision that swoke the market
from the first evidence of apathy that
1t has shown in ten days is likely to be
far-reachlng in its effects. Apart from
the statement Of the commission, that
the abolition of what are in essence re-
bates paid by the railroads TO indus
trial companies which possess lines
connecting with trunk lines means
saving Of S15,0O0000 year to the car
riers, there is the definite promise OF
general increase in rates. That prom
Use is, OF course. conditioned on the
railroads first conserving their sources
Of revenue by making every service
rendered by them contribute reasona-
bly, to their earnings and then demon
strating to the satisfaction Of the COM
mission that their earnings are still IN
adequate to yield fair return TO their
stockholders. II seems. however, to be
plain that some months, at least, must
elapse before the carriers will be able
10 maintain beyond dispute that tley
have compiled with the conditions; but
there is a promise Of higher rates, new
ertheless, and it was held yesterday to
be significant.
At the opening OF the market Steel
was the feature, rising TO a new high
price for the movement, with heavy
buying orders both here and from
abroad. London cables told of estl
mates ranging around $26,0OO,OOO for
the Steel Corporations earnings in the
final 1913 quarter which were current
there, and these may have been re-
sponsible for the large aggregate Of
foreign buying orders. though it was
pretty we'll known that some Of the
purchases. originated not far from Wall
Street. Altogether, London took be-
tween 1900 and 10000 shares. buy
ing Steel, Copper and Union Pacific and
selling the Rock Island issues.
After the strong opening the market
pursued leisurely course. and except
for the heavy trading in Steel, which,
however. occasioned little further
change in price, it inclined to dulness,
remaining rather quiet until the sud
den change in the last hour.
The earnings Of the United States
Steel Corporation for the last quarter
Of 1913 published after the close of
the market, provided unfavorable COM
parsons with corresponding quarters
Of previous years, but 500. $40 was
almost exactly what had been COM
monty expected, and II is not likely
that the circumstance Of their being
lower than any other correspond
ing quarter in ten years will have
much effect on market sentiment. par
ticularly in view of the reported
change for the better in the steel trade
in the last fortnight. Notwithstand-
ing that the company failed by little
over S1,0OO0O0 Of earning the com
mon stock dividend for the quarter 1t
was able to carry forward a surplus Of
S15, 539,216 for the year after appro-
priating $16,0000O0 for new construc-
ton.
There was little change in the money
market. The ruling rate for call loans
was ia per cent and time loans were
unaltered. Sterling exchange declined
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