The herald., 1897-09-22
ON CHANGE
What Was Done Yesterday on Wall
Street


NEW YORK, Sept. 21.-What has been
expected and foretold, and what the bull
operators in the stock market have vain
ly sought to avert, came to pass today.
The reactionary spirit took hold of the
market and heavy decline resulted In
the level of prices throughout the whole
list. That the movement of the market to-
day is a natural and inevitable develop
ment of the Improvement of business is
obvious. A sustained upward course Of
prices has been unchecked until it has
reached an unreasonable valuation. Man.
ipulation by powerful financial interests
is one thing that deferred the reaction.
Another thing has been the continued
plethora and cheapness of money invit-
ing continued speculation. In the natural
and orderly course of things 1t was to be
expected that the expansion of business
would absorb idle money and make it more
expensive. The bank statements for two
weeks past have reflected to a certainty
that such a rise In the pirce of money was
approaching The marking up Of call loan
rates yesterday and the continuance at a
high level today crystallized into certainty
the impression in many minds that prices
of stocks were excessively high, and as
consequence the demand today fell below
the offerings to sell. There was spas
modic and Intellectual effort shortly after
t1e opening OH the part OIL the Dull cOntln-
gent to check the decline, but 1t was ap-
parently abandoned and the market was
left to itself until the heavy liquidation
should exhaust itself. This seemed to have
come to pass at about 2 o'clock, when the
market became dull at a decline ranging
from points upward.
The cessation of heavy realizing offers
encouraged some renewed buying. and a
rally, extending to over a point in many
n k@1 I~,,x
again before The close to the lowest point
of the day. There is reason to believe that
the rise of the call money rate was not
entirely free from manipulation. There
were evidences Of preconcerted action to
the marking up of the rate. 1t was notice.
able that the sharp stiffening of the money
rate did not result in as great fall in
the rate of exchange as might be expect
ed, and the discount rate in London was
rather easier, which was not to be expect
ed in face of any real stringency of the
money market here. There was an inve-
tation to manipulate the money market
in the report that had gained currency
that one of the heaviest bull operators
was under some pressure in carrying a
heavy line of stocks. T here was also a
disposition to use the reported ultimatum
to Spain In regard to the Cuban question.
Some effect was produced in stocks of
continental lines by Attorney-General Nc
Kenna's opinion of the value of discrimi-
mating duties against foreign lines. That
there was heavy selling for short account
also was quite evident, and standing or
ders to sell stop-loss on decline were
received in large numbers. Some of the
shorts at the decline helped the rally. Such
are the factors in the days market for
stocks. The measure of liquidation is
found in the enormous total of the days
sales, which reached 10000 shares
Dealings in railroad bonds were heavy,
the par value of the sales reaching 50, 225,-
900, prices declining in sympathy with the
weakness Of the stock market.
United States old As. registered, were n
lower bid, and the new As were Y lower.