The herald., 1897-08-22
ON CHANGE
What Was Done Yesterday on Wall
Street

What Was Done Yesterday on Wall
Street
NEW YORK, Aug. 21.-The dominant
tendency of today's stock market was still
distinctly reactionary, Notwithstanding
| the fact that the days trading resulted in
a fractionally higher average of prices.
There was a large falling off in the volume
of trading and the rally which brought
prices up at the close was on compara-
| lively light purchases by the short interest
to cover over Sunday. There was no evil
dence of any reawakening of the large
speculative interest which has carried the
market for so many weeks. From the first
| time in considerably over q month no one
stock was sold to a total amount as great
| as 10000 shares. The total sales for the
day were considerably less than half The
total Of Saturday week ago. These con-
ditions left the market to a large extent
in the hands of professional traders, whose
main object was to manipulate prices to
their own ends. The crop prospect was
the principal weapon of the bears, as 1t has
| been all week, and in the condition pre-
sented Of the withdrawal of the bulls for
| the time being from the market they were
able to achieve sharp declines in a number
of active stocks, the grangers and the
internationals being prominent examples.
The reaction in the stock market which
| set in late on Monday has continued prac-
| tically without abatement all the week.
| Monday morning looked like 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 only the working off of the or
ders which had accumulated in the hands
of the commission houses over Sunday.
When these had been disposed of the mar
Set began to fall and each succeeding day
with one exception, saw an average net
decline in the level of the market. The
nominal motive of the decline was the
alleged damage to the corn crop and the
disappointing yield developed by the
threshing of the spring wheat crop in the
| northwest. There are other conditions i'll
| the market which account for the de-
clines. Some of the largest interests in the
market have realized enormous profits on
the long sustained advance and sold out
on the belief that reaction was normally
| due in prices, even with all conditions re-
naming favorable to values. There was
| feeling prevailing in all circles that specu-
llation was taking a reckless tone that
| boded no good for the future. 1t was felt
THAT stocks were getting into weak hands,
| and that such a state of affairs afforded an
unstable basis to values. and the bull in
terest retired for the time being, perfectly
willing to see reaction sufficient to shake
out weakly margined holdings, and which
would improve the tone of the market and
| put it on a more substantial basis. AT
the same time there is known to be an
enormous speculative interest in wheat on
| the bull side of the market. For many
weeks past the stock market has moved in
sympathy with the grain markets. Re
| duced crop yields are a bull factor in the
grain market and bear factor in the stock
market Another fact that has aided the
I'reaction is this: In the stock market was
| a hardening in rates of exchange, which
II l. -. ~
gold import point. The continued low rates
| for money in New York make easier the
efforts of foreigners to defer the flow of
| gold to New York, as stocks have been
thought on the belief that the gold imports
were imminent, it was natural that a
change in the prospect in this regard
should be an aid to the reactionary ten
dency. The general conditions otherwise
continued to favor an increase of values of
securities. There was a marked decrease
| in the volume of bond trading during the
week. the values showing a general ten
dency to sag on realizing. The losses, how
| ever, were not especially severe. except
| in remote cases, and some lines resisted the
| reactionary movement strongly, closing
with advances ranging up to per cent in
| Oregon Improvement consol fives and per
cent In Mobile and Ohio fours. The aggre-
gate sales We're So, 5S5, 900.
IN THE WHEAT PIT
| In wheat the bulls added about S cents
| to the dollar mark attained yesterday,
and are now out hot foot for s1.25 per BUSH
ell in the New York market. Todays open
ing was one of the most exciting of the
| entire week. Members and others who
had not been seen in down town circles in
years f1ocked to the floor and gallery to
watch the sensational developments in
wheat. At the first stroke of the gong Sep
tember swung up to 1.02, selling also down
| to 101A at the same instant in other parts
| of the house. The crowd of buyers fought
vigorously among themselves to get pos
session of the few lots offering and quietly
bid the price up to 1.031s by rapid strides
| OF 12 or more at clip. The bears were
nowhere. 1t was a feverish clamor for
| wheat from all sources. Eleventh hour
bulls. those who never come in to buy un
til prices have already had a big advance,
were particularly prominent in the early
dealings. December opened from 100 to
1.O0% and went flying after September. i'm
| PEELED by mad rushes and general bull ex-
| citement. 1t soon reached 1.021s and then
| in common with the rest of the list cooled
| off bit, both in trading activity and up
ward movement For time the whole
| market rested, like some huge monster
| taking breath after an affray. But to-
wards midday the restless energy of the
bulls started prices climbing up once more.
| Just before the close September reached
1.059s, easing off later to 1.05h which was
the official closing figure. During the next
hour on the curb pandemonium again
broke loose, for the wires announced "do-
| lar" wheat at Chicago. A cheer, almost as
| hearty as that which greeted the similar
event here yesterday, followed up from the
| pit and bulls shook the market to its
foundation with their demands for more
! wheat, forcing September still higher to
1069s. 1t was a feverish day, giving prom
| ise of sensational markets in the future.
While there were several points in the
news today which under ordinary circum-
| stances might have given the bears a foot
hold, they had no influence in view of the
| overpowering bull sentiment among the
traders. Gables from Liverpool came to
35sd higher than last night but foreign
houses sold as much as they bought. There
| were no improvement export transactions
| and the spring wheat outlook was made
brighter by sunshine and warm weather.
Cash wheat No. l northern fob. afoat
closed nominally at 1.13. Total sales of
futures were 4,57OO00 bushels. Exports of
wheat and flour, both coasts, were 5, 200, 900
bushels last week, while Europe pur-