Salt Lake Tribune | 1914-03-06 | Page 11 | Market Lower on Break in Chesapeake & Ohio

MARKET LOWER ON BREAK IN CHESAPEAKE & OHIO Drop of Five Points Unsettles the tyhole List; London Markets Are Dull and Reactionary. By BROADAN WALL. j I3y International Nowa Service. NEW YORK. March 5. March . winds were not tempered to the shorn lamb 5n Chesapeake & Ohio. Today s stock market developed uncertainty uncer-tainty and grew almost weak when Chesapeake &. Ohio broke five points on the announcement that bankers arranging arrang-ing the J33.000.000 0 per cent five-year loan exacted from the directors an agreement agree-ment to set aside the gross sum of $17,-000.000 $17,-000.000 for property Investments during the next live years. This wl)l strengthen the position of the senior securities, but suggests a further reduction in the dividend rate, now standing stand-ing at ! por cent. Baltimore & Ohio broke two points in sympathy, for It Is known that 11 contemplates con-templates a note Issue and It is feared that banks would Insist upon a similar protection. Northern Pacific faces some heavy financing and New York Central carries troublesome notes, but In this case a reduction of the dividend rate Is almost a necessity In view of the heavy decrease In earnings. Steel Stocks Strong. Putting the money back into the properties, prop-erties, It was argued, n-ould Insuro activity ac-tivity for (he equipment companies. In the face of the weakness In rails steel stocks were strong, with Bethlehem common com-mon showing a gain of IA. The annual report of this company, due about March 15, is expected to show something over 20 per cent on the common. Industrials generally were strong. Rumley lose to 13 and the preferred crossed 33. General Motors advanced nearly four points and National Biscuit gained one. Brooklyn Rapid Transit sold at 04, a new high figure. Sugar stocks were weak, with losses of a point or more. Canadian Pacific turned hcavv on the failure of the $25,000,000 Canadian government gov-ernment loan, which was unsubscribed to the extent of 7S per cent and sold in London at a. discount of i per cent. London markets were dull and reactionary, reac-tionary, with heaviness in copper Issues, foreign houses sold 15.000 Hhares here. " Reading Loses a Point. Reading lost a point on' the publication publica-tion of the January earnings.' Indicating a net decrease of nearly 50 per cent from the returns of a year ago. Burlington , earnings gave a decrease of 5471.000 not, Great Northern $1 15,000 and Denver & Rio Grande $41,000. Missouri, Kansas Sr. Texas showed a gross decrease for the fourth week of February of $135,000. Bonds were somewhat irregular. Bethlehem Bethle-hem Steel issues strong, and Chesapeake Ohglo convertible Us weak on a two-point two-point loss Virginia deferred G per cent certificates fell from 58 to 56. Southern Pacific convertible 5s, "when Issued, were fractlonallv lower. Further shipments of gold to Paris aro under consideration. Industrial stocks practically ignored the weakness In tho railroad list. There was notable strength in the feicol Issues. Commission houses ',prc ,,fl,sc buyers of Steel around GG. I be forthcoming statement of the Steel corporation Is expected to show a considerable con-siderable Increase In unfilled tonnage.