OCR Text |
Show MARKET APPEARS I 111 BETTER FORI I Strength Developed at Close of the Month Is in Some De- H gree Lasting. flm OUTLOOK FOR AUGUST H IS GENERALLY FAVORABLE H Railroad Situation One That Ex,- cites Most Merest in mm Financial World. H BY RAIPH EMERSON. By Leased Wire to The Tribune. M NEW YORK, July 30. July is going out with the stock market in better and healthier shape than It has been for some time. Beginning on Wednesday a sudden strength manifested Itsolf which has been moving stocks upward steadily. It Is estimated that dividend and Inter-ist Inter-ist disbursements for August total $S5,-000,000, $S5,-000,000, which Is 515.000,000 more than was .paid out In August last year. In dividends 312,398,000 will be paid out next 'UmM month and $339,827,000 on Interest for jMW bonds. This allows a margin which will be amply Jllled. - By the .end of August ending the first eight months of the present year there will have been paid out in dividends $507,-765,000, $507,-765,000, and interest, $500,363,000, or a total of $1,098,118,000. This Is more than a hundred million dollars higher than the aggregate paid out during the samo period last year. Railroads lead in both dividend and In-terest, In-terest, disbursements next month, fol-'lowed fol-'lowed by industrial corporations. Theso 'MWM figures arc eloquent. Despite the calam- jm Ity howlers In Wall street, theso ircmen-dons ircmen-dons sums show the stability of business and the solidity of railroads and corpor-atlons. corpor-atlons. The chief Item of news this week with a bearing ' on the stock market was the acquisition by Kuhn, Loeb & Co. and an English group of bankers of Rock Island, Lehigh Valley and Missouri Pacific stocks, held by tho Pcarson-Farquhar syndicate. Wall street is full of rumors that a trans-continental trans-continental railroad system Is being planned with tho above mentioned roads as the nucleus. The holdings Include a big interest In the Denver & Rio Grande and tho Wabash, so that the system is already practically linked. IH The possibility of a new transcontl-nentul transcontl-nentul railroad system projected by Kuhn, Loeb & Co., British and Gould Interests has apparently had a goo'd effect on tho market. Tho purchase of the securities in tho ' abovo named lines has shed a great deal of light on the subjoct which has been In the dark for a long while. Ever since the Rock Island flurry last winter, tno holders of the bulk of Rock Inland have been nn unknown quantity and quality. too. for that matter. The Kuhn. Loeb & Co. deal has placed the Union Pacific railroad in a strategic position for the banking company Is close-ly close-ly allied with both Union and Southorn Pacific interests. It is no wonder, then, that the Harriman shares have boon gain-ing gain-ing in strength and climbing in quotations for three days. In the money situation New York banks gained heavily this week and it Is now freely predicted that the local financial institutions will be the mainstay of the middle west when tho drains commence incidental to crop moving. Currency received from interior insti-tutlons insti-tutlons amounted to $10,583,000. Only IB $2,7-18 000 was shipped to tho interior. New York banks gained $2,271,000 on op-erations op-erations with the United States sub-treas-ruy, and in addition the gold imports amounted to $500,000. The net gain in cash by New York banks this week to-tals to-tals $10,600,000. It has been frequently Wi statod regarding conditions prevailing In the bond market that prices aro merely WMM at the level obtained in 1907. Such state- Wl ments, however, arc not in strict accord-anco accord-anco with the facts. They tend to give Wi an erroneous Impression of tho real con-dltlons con-dltlons that prevail. It Is true that in M some cases prices have gone nearly, If not quite, to tho lowest point of tho de-cllne de-cllne throe years ago. but the reprcsen-tativc reprcsen-tativc bonds are still about ten points wm abovo that level. IH Crop conditions arc still In abeyance. rM O. E. Dunlap of tho Texas Bankers as- M soclatlon. who is now in this city on hla annual visit, says crops in Texas are m verv good and the only adverse clrcum- MWM stance which the farmers and ranchers jWM face Is a railroad car shortage. mmm "This vear will doubtless prove the W. most prosperous In the agricultural his- mM tory of Texas," said Mr. Dunlap this af- W. ternoon. "Texns producos far more prod- mWM ucls each yoar to tho value of $550,- W. 000,000. manufactured products to the ex- mmm tent of $125,000,000. mining products of mmm $16,000,000. nnd has 16,000.000 head of llvo stock valued at more than $300,000,000. Texas ought to produce 4.000.000 bales of Mmmm cotton this year. Three-fourths of that will bo exported, making a credit of $225.- rl 000.000. This movement Is now only tmmt thlrtv davs distant. The half of our mm crop "will be moved by November 1. In mmm northern Texas the crop Is late but sat- mm isfactory weather Is prevailing. The Issuance of tho report of the unit- mmm ed States Steel corporation this wee showing the corporation's net for the mmm quarter to be SiO.170.960. was an impor- M tant Item in helping the mnrket upward. mmm Tho net profit for the common Btock for mmm three months ending Juno 30 equals 4 per mmm cent. Only the most favorable interprc- mmm tatlon ran be ptaced on the report, and mmm In addition It was supplemented by the -mmm Information that orders are on hand to mmm keep the mills of the company busy for mmm six months. It means a continuation of mmm the regular dividend by the corporation. mmm The report of tho Bethlehem Steel com- mmm nanv wns also made public this week, and mmm It likewise showed a heavy gain In not mmm CaCopi?or distributors report goo'd sales. The American Smelling and Kenning company Is sold ahead until tho mldd mmm of Peptcmbor, and the United Metals mmm Selling company Is about the only acnc mmm with any nearby metal in quantity for Mmm St,The Iron nnd Iron ore markots in both tho middle west and south aro listless. mmm Tho-makers arc well sold Into the fourth mMM quarter of tho year, but the buyers ar mMM cautious . uLmM |