Evening star., 1924-08-15
SOUTHERN RAILWAY
IS AGAIN ACTIVE
Many Other Railroad and In
dustriaI Shares Go Higher
During Day.
ny STUART II. WEST.

Special Dispatc to The Star.
NEW YORK, August 1.-THE stock
market today ran into heavy proht-
taking sales. which caused irresu-
larity in the later trading after a fur-
ther rise at the start. Optimism was
expressed in most of the Wall street
comment, but this did not prevent
realizing sales taking place freely.
American Can was the leader OF the
industrialS There was, however, lit
tie to be said about the position in
this stock which has not been set
forth repeatedly during the last 81
points of the rise. The guiding spirits
in American Can are those who made
the big money out of Corn Products
The campaign is being managed In
precisely the same way. and there is
the same confidence and aggressive
ness shown in bidding the stock up.
American Can earned nearly $50 on
the common last year, and un-
official estimates are that it will do
about as well this year. The policy
of paying occasional extra dividends
Is precisely that pursued in the Corn
Products case. and the thought Is
that the parallel will be continued
until it results in similar capital
Split-up.
Railroad shares Active.
Railway shares came in for con-
siderably more attention. The buy
ing of the Northwestern group
Northern Pacific. Great Northern pre-
ferred, the st. Pauls and Chicago
and Northwestern-was connected
with the heavy grain movement
which has already set in, and the
predictions that the whole freight
traffic in that section will experience
Southern Railway, after a long pc
riod of comparative inactivity, was in
demand again. and so was Seaboard
Air Line preferred. St. Louis and san
Francisco preferred. in expectation
that the new financial plan Will call
for the payment of the full per cent
dividend, crossed 60. Texas and Pa
citic continued to be bought around
top figures.
Coppers Agnin Advance.
The advance kept on in the cop
ners and in all other issues which are
interested in the recent Improvement
in the copper and silver markets.
With American Smelling above II the
possibility of an increase from the
present per cent dividend was being
seriously discussed. Cerro do Pasco
across 4S was within point of the
wears high American Metals was
again unusually active at somewhat
higher prices.
Consolidated Gas at new high
record was the feature of the public
utilities. United States Realty moved
more into line with what 1t seemed
entitled to sell for on the strength
of it's S per cent dividend and 16 per
cent earnings. Further buying oc-
Cured in the sugars. The equipment
Off
ship of Baldwin Locomotive, Railway
Steel Spring and General American
Tank Car.
Merger Talk Helps Rails.
Recent buying of Missouri Pacific
stocks has been based partly upon
merger prospects and partly upon
improved earnings. The report has
persisted that both Missouri Pacific
and Texas Pacific will go into great
new southwestern system.
Missouri Pacifics earnings are uI
materially from a year ago, owing
to lower operating expenses chiefly
Gross for the first six months in
creased nearly per cent, while ne1
increased 9.36 per cent over 1928, but
in the calendar year 1928 the roao
barely more thanN earned fixed
charges. At the present rate Missouri
Pacific is earning over per cent or
the preferred.
Northern Pacific Higher.
The advance in Northern Pacific was
carried further, the stock being
bought on the attractiveness of its
return now that the per cent divi-
dend may be regarded as reasonably
safe. In 1928 the dividend was earned
but with only slight margin over.
This year, however, the mainte-
nance ratio has dropped from over
40 per cent to 3S per cent, and Il
further shrinkage is looked for. This
would indicate Va balance close to
So for the stock, which may be in
creased if the situation in the North
west improves.
Striking Trade Figures.
Further light was thrown upon
the recent advance in Sterling ex-
change by the foreign trade figures
out today. For the first time In
more than a year exports of mer-
chandise in July fell below imports.
The import balance was small
amounting to only 00,0O0-still 1t
represented a recession in our for
eign trade credits which has been
going on since the first of the year.
The comparison between the July
import excess and the export bal
ances last December of s13s,36o,OOO
Is striking.