The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-02-10
FINANCIAL NEWS
AND COMMENT
Stock Market Unsettled by
Break in New York
Central.
EXCHANGE GOES LOWER

inquiry has lost some OF its volume in
the last week or two, although the de-
mand for good securities manifests a
Arm undertono which Is full OF promise
for the future. Some unsound elements
tve clearly been Incorporated in the
stock market structure and quoted
values throughout the share list are
exhibiting many puzzling contradictions.
Information about general business suf-
fers moro or less distortion from hope
and desire, although there Is no reason
to question the opinion OF competent
observers that improving tendencies are
discernible.
Aspects OF the war are engaging some
what more apprehenslve attention and
there is not quite so much disposition
for the time being TO overlook the un-
settling possibilities OF military opera
lions In the next few months. wall
Street would like some miracle TO be
wrought In behalf OF peace. but II doubts
II any peace movement can prevail be-
fore the conflict has been waged on a
far more desperate and ferocious scale
than last autumn. Meanwhile the in
ternatlonal money market is testifylng
anew to the highly advantageous posi-
ton OF this country in the war. at the
same time that II throws qualifying
considerations into prominence. for with
tho growth OF our International hnan-
cial ability come burdens which are
shifted from abroad.
Notice in the financial district was
primarily concerned yesterday with tho
reculiarities OF the s'oct market. In
tho main the session car be summed up
as the effect OF an unsatisfa Glory in
terpretatlon placed on the New York
Centrars new financing. The other
principal feature of the financial day
Was the further ali around decline OF
foreign exchange. Demand sterling was
quoted ~ low at ts2%. or practically
at the low level previously reached in
November. 1907. save for a momentary
lurch down 10 4.s2 at that time Ger
man exchange dropped to the previous
low OF last November. Reichsma rks
have long been far below the gold i'm
port point and sterling bills are at
least nominally well down from fig
ures which ordinarily would draw gold
IN quantity from London.
II II regarded by foreign excha nEe
bankers as quits likely that moderate
amounts OF geld may be released from
ottawa In order to sustain British
credit, but calculations on this score
are not particularly trustworthy. Much
presumably uepeUuo on mo nearby
course OF military events, but II
have reversed themselves completely
in the past six months. The in
ternational money market ~ now
regarded more as a sign OF foreign
strain than OF our power to bring in
gold in payment Of debts duo In the
United States, or for that matter OF the
power of foreign debtors to make gold
settlements. The testimony OF tho for
eign exchanges as to financial positions
seems to be less an immediate meas
ure of our strength than a gauge OF
foreign financial weakness. and rs such
suggests possibilities of some temporary
disturbance here.
Processes Of adjusting international
debts are automatic and In some way
or another European finance will pre-
serve it's credit by squaring accounts,
hut II does not follow that gold settle
ments will be made to any large extent.
For various reasons our import trade is
much curtalled and there seems TO be a
prospect that the movement OF the ex-
changes downward will stimulate Euro
pean liquidation OF American securities
and alsl oblige our bankers to make q
market for foreign security issues.
II the problems OF International and
domestic politics with which Washington
is struggling entered into the Wal
Street reckoning OF the day tho fact
was not obvious. Matters uppermost IT
Wall Street regard were comprised II
the effort OF the stock market to resis
weakening influences. Dealings II
shares were fairly up to the average o
the recent sessions and bonds displayeI
somewhat more activity as the result o
more movement in speculative descrip
tions. Some OF the transactions In thii
category smacked OF the manipulation II
the increasing list OF stock callet
| specialties.
Throughout the day specialties main
tained a stubborn degree of comparative
firmness or actual strength despite tn
reactions. heaviness or weakness In tn
department of standard stocks Unite,
States Steel was conspicuous for III
show OF obstinate resistance TO pressure
a circumstance partly explained by tn
exaggerated reports of business In tn
steel trade, but, more meritoriously, h.
. the optimistic tenor OF the speech mad
at Pittsburg by the president OF tn
steel Corporation. After the close OF tn
market more new low minimum price
were established.
The further reduction OF the Baldwi
Locomotive price was a curious com
mentary on some OF the current tales o
the like. The necessity for letting dow
the bars for Southern Railway preferre
emphasized the conJectures OF the pas
few weeks about the serious effects o
Southern business depression on railroa
traffic. In the general fall OF railroa
shares during the day Seaboard Air Lin
preferred, as well as Southern Railwa
preferred, dropped to the protectlv
minimum, as did also New Haven.
The declaration of the regular Cana
dian Pacific dividend late on Monda
helped TO promote a good deal OF stoc
market strength in the forenoon. TIL
declaration during the day OF the regu
lar American Sugar Refining dividen
was another favorable occurrence, bu
II was apparent that the share list wa
contending against something nor
than the immediate maintenance OF div
idend disbursements. Foreign sellln
kept up and there seemed TO he furthe
evidence OF substantial domestic realii
ing. At any rate standard issues prove
rather vulnerable to pressure when Ne
York Central broke sharply, falling
all more than four points, on the cor
. struction given to the projected Issue
500 900, 600 OF twenty year q per Ger
convertible debenture bonds,
Not only was the prospective increas
Of the stock an argument for New Yor
Central sales but Wall street espresso
surprise that the Lake Shore merge
had not made II possible 10 finance Il
company's requirements on a less E,