The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1899-09-19
Prices Took Another Plunge On the
New York Exchange.
BANKS SURPLUS IS GONE
FINANCIAL SITUATION CAUSES
A FURRY IN STOCKS.
Bears Take Advantage of Conditions
and Are Dazed BY Their Own Sue
ces5-Late Rally In Prices, Which
Was Assisted By Easing of Rate
For Call Money.

New York, Sept. 1S.-There was furth-
er drastic LIQUIDATION of speculative ac-
counts on the stock exchange, in response
10 the continued contraction of credits by
the banks who entered upon a struggle to
maintain their reserves within the legal
limit Since Friday more than enough
money has gone from the banks TO the
sub-treasury and the interior to wipe out
the insignificant surplus shown by Satur-
days bank statement As only half an
hour was afforded after the appearance of
the statement on Saturday for liquidation
of accounts a very large volume of sell
ing orders from all quarters had accumu-
lated in brokers' hands when the market
opened today. Prices took a. downward
plunge On opening transactions through
out the list. The professional traders
were very bold on the bear side and help
ed on the decline by large sales for short
account. The highly speculative indus
trial specialties showed the most serious
losses, the opening sales showing any
where from TO over points clipped
much all of the active industrials. The
New York municipal stocks, Sugar. To-
bacco, the iron and steel stocks and the
so-called Flower stocks, as a group. led
the decline. Rock Island, as a MEMBER
of the latter group, fell q Declines in the
railroads otherwise were not as violent as
in the specialties, but extended very gen
orally between l ana points.
The selling was in thousand-share lots
and upwards in practically all stocks
dealt in the first few minutes The bears
were some AdLeA w luelT ONu SUI
cess, and almost Immediately proceeded 10
take quick profits by buying TO cover
shorts. Rallies of to 3 points resulted IN
many stocks. But before noon pressure
was renewed, when a deluge of BROOKLYN
Rapid Transit was poured upon the mar
ket. The New York traction and gas
stocks moved in close sympathy. Brook
Ign Rapid Transit dropped an extreme va,
Metror olitan 5A, Consolidated Gas Z. Man.
haitian 3ll Third Avenue 4:S ana Brooklyn
Union Gas 6. The lowest prices Of the
day generally were touched on this move
ment ST. Paul extending its loss to 20.
The very violence of the movement IN
vited some recovery. and soon AFTER
O'Clock prices generally had turned up
ward. The evident relaxation Of the pres
sure to liquidate warned the bears that
they had oVersold the market, and the
buying demand became rather urgent.
Prices Of the sDeciallies recovered from
2 to over points The absorption of rail-
road stocks became quite conspicuous,
New York Central especially moving up
3s from the lowest. and many others raj
lying from l to , opints.
Slight gains over Saturdays prices were
recorded from New York Central, Atch-
ison preferred, Burlington, Union Pacific
preferred. Reading first preferred, North
western and Lackawanna. Best prices
were not maintained, and the market clos
ed easy. The late rally in prices was as
sisted by an easing OF the rate Tor can
money TO per cent. After ruling at 10
per cent a sharp drop of Il per cent in the
actual rates for demand sterling and cable
transfer. and the marking down Oh posted
rates half a cent also, had an influence in
relieving the strain on the stock market.
Rumors were circulated of a conference
of bankers TO take measures looking to
the relief of the money market by an IN
crease of circulation, but these were de-
MED. and bankers seemed free from anX-
ietv over the outcome. Only one bank TOOK
aut additional circulation, according TO
reuorts from Washington, and that to the
extent Of only about S200,00O. Since the
Is, on the month the New York banks
have increased in circulation less. than q
million dollars. London sold heavily IN
this market on account of the TransVaal
excitement to the extent OF about 1900
shares and no gold movement from that
quarter seems likely for the immediate fu-
fure The October coupons of United
States 4 per cent bonds of 1907 were pay
able today at the sub-treasury, and some
slight relief was afforded to the money
market by that means. No reliable esti-
mate is possible of the extent to which
loans were liquidated today, but that re-
PAYMENTS to the banks were very heavy
IS the testimony of all authorities on the
Bonds were weak, in sympathy with
stocks and liquidation of the speculative
issues were on a large scale. Total sales;
par value. So "a 600. United States rs ana
the old As coupon advanced u. but old
Is. registered, lost Is in the bid price,