The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1899-12-20

| Fa1Iure OF Trust Company Not SO
Important as Was at First he
lieved-ActIOn) Off the Clearance
House and the Government Also
| Materially ERsed the Tension
That Prevailed on the Street.
NEW YORK, Dee. a19.-There was a
complete revolution Of sentiment in Wall
street today, and the latter part of the
session of the stock exchange witnessed
something like a panic among the bears
who were making frantic efforts to secure
stocks to cover short contracts and bid
ding prices up on themselves. The pro-
| fessional traders took the long side of
the market and bid up prices to take the
| market away from the bears Many op-
orators who had ruthlessly sacrificed their
holdings in the pandemonium Of yester-
| day We're eager buyers in the hope of
| retrieving losses. Besides these elements
| there was large contingent of bargain
house hunters, made up of people with
ready money looking for investment, and
who buy outright to hold. Some such re-
YulsiOn Of feeling was a natural conse-
quencS of the violent falf Of yesterday,
which oVerran itself.
The issue of the speculative conflict
was by no means certain until about mid
way Of the session, and yesterdays tide
Of disaster was not stemmed without
titanic eXertions on the part Of the most
powerful financial interests Of the coun-
try acting in concert Millions of dollars
of money were forthcoming for the use Of
the buyers Of securities. The clearing
house banks supplemented their yester-
days contribution of $4,000, 600 by anoth-
er of the same amount to be loaned at the
market rate.
The announced determination of the
secretary Of the treasury to Increase gov
eminent deposits in depositary banks
gave promise of relief, and it is esti-
mated $5,000G00 became available from
this source before the market closed In
consequence of this supply Yesterdays
panic rate for money was at no time ap-
preached, but the demand for money
made it hard to supply the seemingly in
satiable appetite. The rate went up to
25 per cent, but steadily declined from
that point under the offerings of sue
cessive millions until it was forced down
to per cent, and in the late afternoon
fell to 5E 5, and at last to g.
MARKET IN A CALM
AS soon as the 'stfingency relaxed IT
became manifest that the pressure of
liquidation was released, and the mar
ket fell into a calm that seemed pro-
found Dy contrast with the constant
hurfy burly since yesterday morning
When the money rate fell to an easy
basis prices began to rebound, and some
sensational recoVerles We're shown, espe-
c1ally in the mercurial specialties The
advances were so large as to invite con-
siderable profit taking by the traders In
the final dealings, but the undertone
continued strong until the close, which
showed substantial net gains all through
the list.
The early hours of the trading witnessed
very heavy liquidation in continuance of
yesterdays price of recuperation. but
there was no approach to the panic con-
d1t1ons OF yesterday at any time The ex-
tensiVe and elaborate preparations made
to meet the crisis We're evident at the
opening and prices opened at advanced
prices all through the list. All this was
helped by bulletins sent over from Lon
don, where the stock market had a false
rumor Of a partial retrieval by Gen. Bull
Ter Of his recent disaster
Inc prices for Americans in the London
market were doubtless due in part to
manipulating orders cabled from this side
as part of plan to protect the market.
The advance was met by an avalanche of
iquidating sales, which promptly drove
down prices, in spite of the utmost eff
forts to sustain them.
Not few stocks showed evidence of
positive weakness, and the first two
hours of the trading were given up to
furious activity and indescribabIe confu-
sion of sentiment. The steady absorb
tive power Of the buying was bound to
have a reassuring effect, and the manner
in which the liquidation was brought to
a standstill was highly impressive.
In the forenoon sufficient stability had
been established to face the report of a
failure by brokerage house in Boston,
which would have been sufficient to de-
moralize yesterdays market
DIsTRUsT NOT WARRANTED.
With the subsistence of the panic condi
lions saner and quieter view of condi-
lions developed A study Of the fact. In
connection with the trust company which
came to grief yesterday and the securi-
ties with which it was involved, showed
them to be unique and not to be taken as
JuStifying the wholesale feeling of dis
trust applied to all trust companies. It
was reported that the financial powers
concerning measures of relief were not
altogether in agreement as to the length
1t was desired to go, some of them hold
ing the opinion that no real benefit would
accrue from sustaining some of the in
dustrial securities. But the danger dis
closed by yesterdays events on the whole
fabric of values carried the day in favor
Of the relief measures. The decision Of
the banks was to place all their availa-
BILE resources at the disposal Of borrow
ers, without regard to the effect upon the
surplus reserve. The knowledge of this
determination had much to do with al
laying the apprehension
The higher rates for money made dur
ing the day were due to discrimination
on account Of the character of collateral
where industrials were included.
The clearing house committee was In
session during the day, but by the time
the market closed had come to the con-
clusiOn not to call a meeting for tomor-
row, though further sessions can be had
at need. 'sa
Yesterdays unprecedented events on
the stock exchange attracted immense
crowds to the financial district this morn
ing. The galleries of the exchange were
inadequate to meet the demands upon
them, and great crowds of men of all
condition and women surrounded the
buildings. The strain upon the brokers
and operators was a severe one, and the
scramble and turmoil upon the floor Of
the exchange made scenes of inextricable
confusion
comparison of prices with those Of
Saturdays close shows that the level is
still materially lower, though very SUBJ
stantial recoveries were made of yester-