New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-07-23
REVIEW OF THE
| STOCK MARKET
Slight Irregular Advance
Despite Break in Rock
Island Bonds.

Pressure of foreign selling in this
market ceased yesterday, and attes
opening lower in accordance with fhe
early London prices, securities rccoV-
I cred a little and showed an irregular
fractional improvement at the close
/ Trading was much quieter, particular
b ~ in the afternoon. the total oeihS
under 100000 shares. Business IN
bonds was augmented by immensely
heavy trading in Rock Island issues
The debenture % Of the underlying
Chicago. Rock Island & Pacific Rail
way opened more than > points lower
nj 69l2. and closed at so, after oVe:
$3.50. 900 par value had changed hands.
The collateral As OF the railroad, on
which the burden of reorganization
now rests. went below 20 after deal
iugs of we'll up toward Sl,OOO.OOO. me
rcfundinc As OF the railway were also
lower on comparatively light trau''I'
Abandonment OF the proposed reorg""-
iZation plan which. through parllclpa-
ton of shareholders OF the ROCK ISL
and Company. was TO wipe out the cap
italization of the holding compaHleS ;
caused considerable uneasiness, and
the debenturc IS suffered through lear
that receivership of the railway com,
psny. mentioned as possibility, WouId
largely reduce their equity.
That proper charges for deprecia-
ton had not been made on the kocN
Island books was evident from the
amount Of new equipment which ou.-
side examination had shown was need
ed. and discounts on securities sold
which must be charged off have accu-
mulated heavily. but bookkeeping read
iustment alone would hardly have com
nelled underwriters OF the proposed
new preferred stock to abandon their
| task Credit of weaker railroads IS at
the lowest for generations, and IN ad-
dition the Rock Island faces an invesu-
CATION by the Interstate commerce
/ Commission that will, il ia feared, be
conducted with the same desire for
sensation that marked the recent IN
quiry into the New Haven.
| Overnight publication Of letters OF
! the President and the Attorney Cen
eral = regard to starting suit for New
| Ravens dissolution caused an initial
| decline Of 2 points in New haven
shares and some weakness in West
| chester & Boston bonds. The charge
| of bad faith made by the sdminist-a-
| ton against the New Haven directors
was considered unfair in the financial
| district, for Massachusetts terms for
disposing of Boston e. Maine shares
were not in accord with the roads
agreement with the government. LIT
/ tic sign Of any further liquidation IN
New Haven appeared, and part OF the
/ early loss was recovered before the
close.
Baltimore & Ohio common and pre-
ferred we're fairly firm, with some ap-,
pearance Of Investment. buying as we'll
as covering of recent short sales. ne
unsatisfactory statement OF the road
/ earnings in June was disregarded, nav
/ inc been expected since the directors
announced that they had drawn heaFily
on surplus TO pay the latest dividend
/ Missouri Pacific in the carly trading
wos under considerable pressure, and
declined TO its low record OF go, ana
/ the convertible 5s broke nearly d
noints. while the 40-year as were also
rosctionsry. Missouri, Kansas & Texas
preferred lost part OF the Improvement
Of the dav before. Steel was up only q
small fraction at the close, though
trade publications spoke OF increased
cheerfulness throughout the industry
with July business showing an advance
over June instead OF the customary
falling off.
The easier tendency OF money was
still in evidence, call loans at Their
highest reaching only 2b per cent and
renewals being made 1t 2. In London
discounts advanced because OF the
French purchases Of gold on Tuesday
/ and demand sterling here went SUI
higher TO 4.S7S5, with talk OF resump'
ton Of gold exports.