The age-herald. [volume] (Birmingham, Ala.) 1897-1902, 1897-08-22
RIORDAN & CO.
In Wall Stree.

New York, Aug. 21.--The dominant ten
dency of today's stock market was still
distinctly reactionary. Notwithstanding
the fact that the days trading resulted
in a fractionaly higher average of
prices. There was q large falling off in
the volume of trading and the rally
which brought prices up at the close was
on comparatively light purchases by the
short interest all over the country to
cover over Sunday. There was. no evil
dence of any re-awakening of the large
speculative interest which has carried
the market for so many weeks. For the
first time in considerably over month
no one stock was sold to total amount
as great as 10000 shares, st, Paul lead
ing the list with 1900 shares.
The total sales for the day were consid-
erably less than half of the total of Sat
urday a week ago. The crop prospects
was the principal weapon of the bears
ard they were able to achieve sharp de-
clines in a number of the active stocks,
the grangers and the internationals be-
ing prominent examples. Only in nine
these, except New Jersey Central and
Rubber did the fall reach point and the
subsequent rally on covering more than
wiped out the decline. Only in two or
three instances did the net gain reach
as high as point. The reaction in the
stock market which set in late on Men
day had continued practically without
abatement all the week. Monday morn
ing looked like a continuation of the
eager buying and continued rise of prices
which had been the characteristic of the
market during the previous week. But
1t was the only working off of the orders
which had accumulated IN the hands of
the commission houses over Saturday
When this had been worked off the mar
ket began to fall and each day without
-Xception saw an average decline in the
trading of the market. The nominal cause
of the decline was the damage to the
corn crop and the disappointing yield
developed by the threshing of tie spring
wheat crop in the northwest.
There are other conditions in the mar
ket which may account for the decline.
Many in the market have realized enor-
nous profits on the long sustained adj
vance and sold on the belief that a re-ac-
ton was normally due in prices even
with all conditions remaining favorable
to values. This element was willing to
see a reaction in order to enable them
to re-purchase stocks at a profit. The
professional bears were ready to aid them
with short selling of the market. There
was feeling prevalent in all circles that
speculation was taking a reckless tone
that BODIED no good for the FUTURE. 1t
was felt that stocks were getting into
weak hand and that such a state of af-
fairs afforded an unstable basis to values,
and the bull interest retired for the time
being perfectly willing to see a reaction
sufficient to shake out weakly margind
holdings and which would improve the
tone of the market and put it on a more
substantial basis.
THE state of mind in Wall street mus.
be taken account of in properly estimal;-
dng the Importance of the weeks trans
actions as a barometer of business condi-
tons in general. lat the same time there
is known to be an enormous speculativ
interest on the bull side of the market.
For many weeks pas, the stock market.
has moved in sympathy with the grain
market. Reduced crop yields are bull
factor in the grain market and bear
factor in the stock market. The fact that
the dominant interest," for a time in the
stock market is the bear clement and in
Ehs grain market the bull element should
be considered in connection with the
ready credenee given to the reports of
the reduced crop yield. Another fact that
has Induced thu reaction in the stock mar
ket was The hardening in rates of ex-
change. which seemed last week to be
fash falling to the gold import point. Last
Saturday predictions were frequent that
there would be engagements of gold for
Import within a week The check to the
fall in exchange seems TO be due to mann
ipubative efforts on the part of the Bank
of England and of French and German
financial institutions. The continued low
rates for money in New York tend 10
make easier the efforts Of foreigners to
withhold the flow Of gold to New York.
las stocks had been bought ON the belief
that gold imports were imminent 1t was
natural that change in the prospects
In this regard should. be an aid to the
reactionary tendency. The genera Icon
ditions all continued to favor an increase
to values Of securities. An reports agree