The times., 1899-05-14
CONFUSION PERVADBS
THE STOCK MARKET
Flowers Death Demoralizes
Issues He Supported.
A Tremendous Shrinkage in Brook
lyn Rapid Transit Shares.
Other Interests sympnrhcticaI1y Af-
fected and Rapid Declines Fol-
Iow-The Closing siuiet,

New York, May 13.-A week of liquida-
hon on the stock exchange closed today
with the most severe shock that the spec
ulation in securities has sustained in a
long time. For two years past the late
former Governor Flower was the most
conspicuous leader on the long side of
The market. The group of properties which
be and his business associates have been
engaged in developing is not a large one
but the securities based upon them have
been prominent in the market because they
have, as rule, followed the course that
be predicted for them. The popularity of
the so-called Flower stocks thus es;ab-
Iished was obviously responsible for the
sharp break in them today
The opening was panicky under an enor-
nous volume of liquidation. Stocks in
which the late former Governor and his
associates were not interested suffered Sc
rerely because of the unsettled feeling Gre
tted by his sudden death and also because
many operators were compelled to liquidate
throughout the general list to take care
of their ventures in the Flower stocks or
to make good the sudden losses caused by
the decline in them. The business asso-
confidence in his judgment by making ex-
tensiye purchases of Brooklyn Rapid Tran
sit, Peoples Gas, Federal Steel, and Rock
Island.
1t is estimated that they purchased up
ward of 100, 600 shares of these stocks The
decline also attracted buying from other
sources. Some of the large commission
houses we're conspicuous buyers. Still an
other element of support was the short
has hes fair 1arp
come time past In consequence, the mar
ket rallied almost as sharply as it de-
clined' still, final prices were materially
below those of yesterday, particularly for
the stock directly affected by last even
ing's sad event.
The changes in values. both temporary
and permanent, are sufficient TO affect the
great majority of speculative accounts and
cause a readjustment OF loans. Forum
ately, brokers and their customers have
nearly forty-eight hours ia which TO re-
arrange their affairs and prepare for the
resumption of business On Monday. BY
that time ii is probable that calmer
view of the situation will prevail than ex-
listed this morning. Although Wall Street
has sustained a great loss. the fact is
not likely TO be overlooked that the proper
ties in which the late Mr.. Flower was in
terested have suffered no impairment of
of their prospects. for his associates in
y the management of them are men of rec
ognized shrewdness and ability. 1t is pos
sible his loss may prove an incentive 10
even greater efforts than have heretofore
been made 10 increase the value of the
various properties.
The weekly statement Of the averages
OF the associated banks was quite as IA
vorable as had been expected and its pub
inn bod off -1.la
toward the close of business. The banks
have gained over eight and one-quarter
millions in lawful money, nearly all OF
1t In specie from the sub-treasury. Loans
have been liquidated to the extent OF near
ly s6,O00.000. The net result is an increase
in the surplus reserve of s7,7s5 600. bring
ing that item up to more than s27 600 O0O
The statement did not have the effect
upon speculation that IL ordinarily would
have had, because the sudden taking of
OF Mr.. Flower overshadowed all other
considerations.