The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-02-12
FINANCIAL NEWS
AND COMMENT
Stock Market Helped by An
other Favorable Railroad
Rate Ruling.
STEEL SHARES LEAD RISE

a tone OF vigorous strength was gen
orally manifested by the stock market
yesterday and was Ascrlbable to a
variety of influences. The advance in
prices was made under the leadership
Of standard issues and was more con-
vincins on that account. but while spe-
clalties were less prominent both
strength and irmness were shown in
this quarter. There was no marked
selling pressure and the indications
seemed TO be that In the last few DAYS
bearish effort had been out OF propor-
ton to actual liquidation. The rise did
not seem to attract a supply OF stocks
from abroad, although deductions as to
me attitude OF foreign holders of Ameri.
can securities are not particularly safe
al this time
Events may easily force heavy reali-
cation from abroad. even though infer
ences are at present permissible that tho
European investor Is disposed to cling
ienaclously TO his American holdings on
account OF the favorable Impressions
which our financial recovery has been
making on European observers II IS
needless to say also that important eau
tionary considerations are denoted by
tho contingencies OF the war as well as
by the controversies involved in main-
tanning our neutral position and that
there are domestic reasons for most
prudent rather than an overconfdent OK
pansion OF commitments Just now,
There Is a tendency to exaggerats the
favorable developments in trade and
finance and winter expansions of values
are likely TO be premature The securi-
ties market has yet to undergo It's real
test OF new financing and capital is COM
ing high for borrowers. gagged by the
New York Central and Erie bond issues
Stlll the testimony OF Wall Street In the
past two days Ia that optimistic inclina-
tons have again asserted themselves.
Tho movement of the stock market
yesterday was all the more striking
because It occurred on the eve OF a holi-
day. In time OF international tension
and strain, when the market would
ordinarily be more likely to stand still.
As IL was. the rise in prices went on
with but little reaction or halt from
tho opening to the close and in tho
final dealings there was only a slight
shading on some ante-holiday profit
taking. More than short covering con-
trlbuted to the course OF quoted values,
for aggressive buying for the long sc-
count was obvious In many directions.
Dealings were In an expanded volume
attaining the largest scale reached last
month.
Indeed the market as a whole had
very much the appearance OF resump-
-+-en of tho January upward trend
which was interrupted by the unsettllng
effect OF tho break in United states
steel on the passing Of the dividend
and tho difficulty Of finding a minimum
price which Appropriated the willing.
ness OF buyers and sellers OF the Steel
shares to do business. There were symp-
toms in January which suggested that
the general list might seek to make a
recovery once Steel had found a bottom.
and IL is possible to regard yesterdays
market as corroborating these signs,
especially as the Steel shares were the
leaders OF the session. They made an
extreme advance or almost 5 points
from Wednesdays close and were ag-
sress!vely bought. With Steel as =
leader and Wall Street in hopeful
mood the market would he apt to bull
itself even II there had been no direc-
ton OF purchases to other influential
descriptions
A basis for the fresh turn OF strength
In corporate shares had been laid in
the prevailing character OF good news
in the first half OF the week. including
information relating ito tho increasing
activity in the steel trade, the sustained
foreign trade movement and the testi-
IuoUy OF BOlu imports 10 inc increasing
prestige and power OF American finance.
As II happened there were additional
helpful items In tho days news budget,
including the restoration OF the Calumet
and Hecla dividend OF the ante-bellum
rate and the declaration OF the regular
Southern Pacific dividend. Somewhat
unfavorable notice was attracted to the
situation In Southern Railway, which
earned in the first half OF the fiscal
..vaIVr -
but adverse matters were overshadowed.
Among other things there was all
around weakness in the grain market, a
further token perhaps that Western
speculative interests are engaging them
selves with tho Wall Street share list
There was also the breaking down of
tho forces which had been lined up in
Washington in behalf OF the vicious ship
ping bill urged by the Administration.
Foreign exchange displayed greater
weakness. both sterling and marks fall
ing to the lowest levels Yet reached.
and Il was reported that tho underwrit-
ing for the New York Central bonds
had been oversubscrlbed.
OF more consequence than anything
else. however. was the Interstate Com
merce Commission ruling which modl-
fed materially and for tho advantage
of Western railroads the original rul-
ing OF the commission in 1911 in the So
called Intermountain rate cases. After
great deal of litigation and the lapse
OF more than three years tho railroad
regulators have again evlnced a radical
change for tho better I'm their policy
toward tho common carriers The com
mission now makes a substantial and
practical recognition Of tho effects of
Panama Canal competition on the rail-
road rate structure and allows the rail-
roads to meet that competition without
making destructive alteration OF
charges on traffic which Is not subject
to competition by water. Added to tho
implication OF the decision in the East
u. -