The sun. [volume] (New York [N.Y.]) 1833-1916, 1898-02-25
STOCKS SLUMP ALL ROUND.
WEAK HOLDERS FORCED TO LET GO,
THEIR MARGINS CONE.

Metropolitan Traction Leads the Dsciine vita
. Net Enl or . 7-s-Londos Came weak
10 the pnorninE and Picked UP Bargninr
Later - MANY Loans Were Called ana an
Avalanche or Securities Fell on the Market.
Unoasiness due to the strained relations OF
tho United States and Spain, which has beon
growing more and moro acute in Wall street
every day since the disaster to the Maine, de-
veloped yesterday morning into semi.panicky
selling OF securities, with serious declines regis
tered in every section OF the stock market.
Before business opened here oabled advices
brought the news Of n weaker market in Lon.
don for the internationally listed American
stocks. This was tho first time this week that
London. prior to our opening. had failed to
show decided strength, and nervous holders Of
stocks here began to throw over their holdings.
Another important factor melting to tho
sacrifice Of securities was the course taken on
Wednesday afternoon and yesterday morning
by several individual lenders Of money, particu-
larly those who lend on narrow margins. Ono
especially prominent lender Of this character
on the Stock Exchange sent word on Wodnes-
day afternoon to the brokers and firms of lin
tied capital to whom he had lent money that
they must pay of their loans and take up tho
stocks he was carrying for them. The loans
disturbed in this case alone are estimated at
$40 900. The resulting sales OF securities
were very many in tho aggregate.
Tho volume of stock dumped on the market
at the opening OF business was enormous and
there was for the time practically no support to
values. Within the first fifteen minutes there
had been declines extending to four and five
points. and in the case Of Metropolitan Street
Railway to twelve points. In fact. the local
traction stocks, which some weeks ago ad-
vanced to an unusually high level on tho theory
aL.k AZ .xv ,st- oIr,;piafraftn fornrol -
listing rapid transit institutions, showed special
weakness. This may be looked upon as natu.
raj, however, in view of the recent rapid ad-
vance in these shares, which advance was IA
vorable to pyramiding and to the requirement Of
much stock on originally meagro margins. The
exhaustion of margins and the uncovering of
stop orders helped In the Generalization in all
sections Of tho list.
, After the opening flood of selling orders which
carried values downward With a rush, the ap-
pearance Of London houses in the market as buy
Tho tone of the trading, however, remained
feverish and nervous. and though a number of
the market ne buyers Of the stocks in which
they and their clients are interested. such as
R SeSk Y isIen Sen1 hrdok M9nh Rnnjd 9EG rsnsii' G sns
fnion Pacific, il, was evident throughout the
day, that steady LIQUIDATION was in progress.
rallies. continued. during ali the Ave hours OF
trading. The market closed with material losses
Ill through inc llbl. Inc moro important net
declines compared with the prices at which tho
closing sales were made on Wednesday were:
metropolitan Street Railway. s4 points: Man
Refining, 31s points; Consolidated Gas. 3N
cage casO. ROCK Rociin island ana and 9dqPfa acIiic % ; points N chi:
cago and Northwestern, 2A points. The total
transactions for the day were $50, 600 shares.
On the curb Standard Oil certificates opened at
365. against $40, the closing price on Wednes-
day, and declined to $50, rallying to $40, and
closing at 1865 bid.
Another incident of the day was an inclina- |
ton by the local banks to demand Il OF borrowers
q higher rate for money on call. This resulted in
a great deal Of readjusting of loans. The rate,
which was 2 per cent. on Wednesday, was
quite generally marked up to 3 per cent. This
was done in view of the continued heavy with
of money from this centre by out-of-
town banks, which appear to be fortifying them |
selves because of the war talk against possible
demands upon them.
The Sub-Treasury yesterday exchanged for
local banks moro than 81. 900. 900 Of green
backs and currency certificates of large de-
Into notes of small denominations
which the local banks wanted to send to out |
of.town correspondents. 1t was estimated
that 81. 900, 900 in currency left this city In this
way yesterday and ~, 200, 900 has left so far
thts week.
Government bonds. which have been heavy
since the Maine disaster. recorded a further de. |
cline yesterday. The registered As of 1925 were |
at 1254, Ia per cent. under Wednes- |
day. and tho coupon As of the same issue also
ut 1853. or 14 per cent. under Wednesday.