The Sauk Centre herald. (Sauk Centre, Stearns County, Minn.) 1886-current, 1899-12-21
AT .125 PER CENT
Call Money Scars to Dizzy
Heights on the New York
Exchange,
Stocks Dropping Proportionately.
Heavy Buying Orders Of
the Bears
Coupled With Timely Action by
the Banks Relieved the
Situation.

NEW YORK Dec. 9.-The air on tn
Stock Exchange at the opening was on
of uncertainty and apprehension. AL
commission houses were demandin,
large additional margins and the dispo
sition of tired holders to let go and tax,
their losses made it certain that offer
ings would be heavy. Supporting or
ders at the opening saved the marke
from violent losses, and Sugar worked
back to point above closing, but tn.
tone of the market was weak.
The announcement of The suspension
of one of the many new trust companie.
threw the market into decentralization
and confusion on account of its affilia
tions with some of the new industrial
com binations. The suspension soor
afterwards Of a board member, whose
weakness was supposed to proceed from
much of the same sources, made the de.
preston more acute.
The most substantial stocks were
thrown over with little regard to price.
That large financial interests were be.
ing forced to make sacrifices to secure
ready funds was the central fact stand.
ing out clearly.
Banks Come to the Rescue.
The situation was such that the banks
in the clearing house association were
moved to a decision to charge no higher
than 6 per cent for renewals of call
loans, and to avoid as far as possible the
charging of extreme rates for money.
The market quoted down somewhat
after this news was announced but be.
fore then the losses had extended in the
industrials from to 12 points. For the
railroads, losses ran from 2 to 81, the
latter in Rock Island, which suffered
especially on account of the selling out
of some blocks under the rule of the
exchange.
The relief caused by the declaration
of the banks to DO what they could to
keep the money rate down, kept the
market quiet for while, and some sub.
stantial rallies were made, but as the
day progressed the urgent need of
money caused violent advance in the
call loan rate on the board. Thirty per
cent was paid and almost Immediately
w pCA NSAbb was W. lOAlOWOu NY d Q0.
mand for money at 70 per cent. Stocks
gave way again all around and were
thrown over in great volume on rap
idly descending scale. Successive lots
of 100 shares produced fall of point,
in some stocks for three points.
The market fell into utter demorali-
cation, which continued until after
1890 o'clock, when the bears began
covering, bidding for stocks in the same
reckless way in which they had sold
and bringing prices back point or up
wards at jump. The rush of bears to
cover carried prices of stocks which
have suffered more severely up again
from 5 to 10 points. The excitement
was extreme and continued with furi-
GUS activity up to the close of the
market.
Ten minutes before the close money
was loaning at 1875 per cent. At this
point it was announced that the clear
ing house banks had made a rate of 6
per cent for renewals of time loans and
as result call money on the exchange
dropped to that figure, temporarily, at
least, relieving the great tension.