Evening star. [volume] (Washington, D.C.) 1854-1972, 1915-04-18
CLASSED ASEFF0R
T0DEPRESS MARKET
Skyrocket Flights of BethIe-
hem Steel Not an Indication
/, of Healthy Conditions.
REPORT OF MANY DEALS
IN BLOCKS OF BONDS
Encouraging News From Business
Field Elected by Canvass of
the Country.

NEW YORK. April 11-There is no
particular reason for exultation in the
spectacular course of some of the mar
ket leaders on the New York Stock Ex-
change in recent weeks. The sky
rocket flights OF Bethlehem Steel.
though declared by the exchange au-
thirities to be absolutely free from
manipulation. do not indicate a healthy
and normal condition, and is repulsive
TO those who aim to elevate the Sc
curity market from the common plane
Of a speculative board or a gambling
medium. A stock which gains ten to
twenty or forty points in a steady and
consistent rise covering a period of
three months or a year, with accom-
panying intrinsic increase in valuation
and in output, is a source of gratitica-
ton to all concerned; but a stock
which. rs result of unconfirmed ru-
Inors and absurd prophecies, gains
twenty points in single hour. only
to lose half of this unhealthy advance
in the next hour, has built for itself
weak and f1imsy structure that will not
endure the test of real selling cam
paisn-the chief method of the bear
element in their efforts to depress the
market.
Some stocks have been moving much
after that fashion in recent days, and
Whle bethlehem Steel has behind 1t
the intrinsic value and the producing
power which makes 1t an extremely
valuable property, there is no question
put that the speculative element has
Larseiy entered into the movement that
drove the price of this stock from 81 u
10 loa in a single week While Bethle-
mem steel has been paying no diyi-
bends, and for the time being there is
no great proba bllity that it will, there
has never been any secret about its
great earning capacity. as the public
reports issued by the board of di-
fectors have been a correct presenta-
tion of the income audit assets of this
important corporation. Too much inn
portance should not be credited 70 the
oeiuge of war orders now being re-
ce1Ved and executed by the steel COM
panles, for while they are the source of
present profits. they represent an un-
nent proposition.
Trend of Investments.
Investment bankers report that the
buying of the better grade securities
Is actively under way. individuals of
large means. trustees and estates have
lately started buying bonds in substan
tial blocks. To this Is added the pur-
CHASING power of those who have saved
. Few thousand in the recent months
OF economy and are now investing it
IN securities The result of this buying
was seen recently in the rapid sale Of
new issues and the closing out Of sew
eral old syndicates. The S4OOO.OOO In
dianapolis Union Terminal bonds we're
sold In day. and $4,000, 900 Chicago
Junction Railways and Union Stock
ri nfa1 fH%yZ
over two days, both issues being Of
Tered on slightly over a per cent
basis Aside from these issues there
was little new corporate financing last
arrangements for taking care of $780,
100000 notes maturing May /, under
stood to have been practically COM
pleted more than week ago, was de-
layed Tor some reason until this week
Missouri. Kansas and Texas has not
announced any plan for meeting its
$1s,00O.000 notes due May l, but It is
expected that an offer to the notehold-
ers to extend their securities some
what similar to that made last week
will be made this week. Baltimore and
Ohio financing with new notes to take
care of its s35,000,00O issue, due June
I. may come at any time, when con-
ditions seem most propitious to the
road and its bankers.
Prices of the more active bond issues
listed on the exchange have moved up
a point or more since the first of the
year. For ten representative issues in
last weeks active list the average gain
since January l has been 21z points
This does not include the Inspiration
Copper bonds. which are up over col
points. Last weeks price changes were
small. but were generally to higher
levels. New York Central new con-
vertible debenture 6s, when issued,
for a few weeks past. remained station
for few weeks past, remained station
airy at zoos a100k.