Evening star., 1898-03-26
FINANCE AND TRADE
BAD CONTROL IN TIE OPENING
Strong Buying Soon Caused Them
to Cover Losses.
GENERAL MARKET REPORTS

Special Dispatch to The Evening Star
NEW YORK, March 6.-One of the
sharpest recoveries the stock market has
f.ac In months was recorded during the
two hours OF trading to-day. The maximum
advances from the opening level varied
from to per cent.
traders opened the market as low as pos-
sible In the hope Of forcing liquidation. In
this they were disappointed. and began at
oLce to cover initial sa;es. Contrary TO re-
cent experiences. the professional element
was not alone in the later trading, support
ing orders of considerable value coming In
to add impetus to the advance. The extent
o. the liquidation, covering a period OF
nearly five weeks; the low prices for the
recognised investment Issues, and the prob
atly complete discounting of the worst
phases of the Spanish-American situation
Rave made today's market a PROBABILITY
for some time.
The discomfort of the pessimistic element
fas rarely been more thoroughly empha-
sized than today. end even though prices
rec ede. as is but notural after a stampe le
the situation has been i'm proved to the cx-
tent that short selling will be conduc ed
upon less generouc and more rational
scale in the future.
The oversold condition OF the market was
the real reason for today's sharp recovery
There were many other arguments Offer
ed in justification of the rise but few of
them were harmonious. During the ad-
vance OF the first rumor. credited TO
Lloyds agency, announcing that Spain
had declared war. used to stimulate
buying.
This fact is significant only because IL
verihes the previously expressed opinion
that the security markets will be given ex-
cellent support once the worst is known
A second argument, and one worthy of
careful consideration, was based the
probable reelection of the Sagasta admin
istration, thereby making war an avoidable
possibility. That the market should be ad-
vaneed in the first instance because OF an
actual declaration of war and the advance
continued because of the return of a min
istry likely to favor peace is capable OF
but one construction, namely that the
market was on bottom for the present
The departure of several influential bank
ers Tor Washington, where they are to be
coined by others over Sunday, was reeard-
cd as significant. Vague ruinors Of i'm
portam negotiations of favorable charac-
ter AZ that center inspired some buying of
the general list during the final hour.
In conservative circles the best informa-
ton was of a character indicating very
Clearly the continued bplfef. In an adjust
ment of existing difficulties without resort
TO arms.
Next weeks proceedings in Congress will
give direction to the stock market but the
beief prevails that such proceedings will
be divested of alarming symptoms All tina
precautions looking to that end are at
least assured. Notwithstanding this radi-
cal change In sentiment. the pubic demand
for securities will await until a majority of
todays predictions are verified. The clos
ing was decidedly feverish. at slight con-
cessions from the days best prices.
1he bank statement reflects an increase
of s5.19l .425 in reserve, and a gain of more
fsn $3.o03.o00 in lawful money. all in
specie. Deposits have decreased 81 5.,6 .oD
ard the loans mora than S1otu00 This
latter reduction makes the total ce-reasa
in loans during the scare period something
over Sio,000.O00. Such preparation is likely
to prove an effectual safeguard against
calamity