The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1900-04-18
Ill STEEL ANO WIRE
Stock Market Yesterday Thus
Epitomized.
GATES OWN TESTIMONY
Brings on Great 0emoraIiza-
ton and Confusion.

New York, April 1.-THE published
opinions and assertions of Mr.. John W.
Gates. chairman Of the American Steel
and Wire company. regarding the present
in the iron and steel trade. occupied the
attention OF dealers In stocks and bonds
to the almost total exclusion OF all other
matters today. Decentralization and con-
fusion were the result A striking com
mentary upon the way forces work In
the stock market is that the iron and
steel stocks are the only ones that show
striking gains, while the net losses ev-
erywhere else are undoubtedly due TO the
fears of unsOund conditions Of the iron
trade and in the SECURITIES OF corpora
tons in that trade When the urgent de-
mand for the iron and steel stocks was
perceived Immediately after the opening
drop in them, there was feeling OF re-
lief, reflected in the lively recovery OF
prices all around. The first interpreta-
ton of the buying of these stocks was
that it contradicted the gloomy asser-
tons OF the chairman OF the Steel and
Wire company. The conviction seemed
to gather force that this buying might
simply represent the taking OF profits by
the bears, who had sold in anticipation
Of the recent heavy decline in the stock
The assertions of Chairman Gates OF over
production in the trade, and the neces-
sity for concessions in prices, were met
by chorus OF disclaimers by represent
~ Of o+b In "a metal
industries and by authorities in the
trade. These disclaimers were accom-
panied by much bitter invective and Ques-
tioning Of motive The reinsurance de-
rived from this source had much to do
with the general rally after the opening.
but IL was not sufficient TO allay all
doubts caused by the concrete fact OF
the closing down Of a large number OF
the mills Of the Steel and Wire company.
One Of the authorities who sought 70
controvert the position Of Chairman
Gates argued that II the iron and steel
industry IS in as bad condition as Mr..
Gates painted. then practically all secur-
tiles are 50 per cent too high. This au-
thority meant to enforce his view that
the high level Of securities prices and the
StLcItl prosperity III Cito tOuuLAy III
themselves serve to controvert the view
that the iron trade IS unsound; but the
belief IS deep-rooted among stock oper-
ators that the IRON trade Is a true index
of the business Of the country. The
doubt cast upon its soundness by so
prominent an authority proved too much
for the equanimity Of holders OF stocks
and towards the latter part OF the day
these securities were thrown upon the
market by the wholesale. Stocks which
have been speculative favorites for rise
were not the chief suerers. Missouri Pa
citic. Norfolk and Western and the Bal
tirnore and Ohio stocks were compare
lively well held, while the higher-priced
stocks which are selling high IN proper
ton 70 the dividend return showed larg-
er declines. A late rally in the market
made 1t evident TO how large an extent
short selling had to do with the loss. and
recoveries reached over a point in many
cases. while the iron and steel stocks
closed 1 to points above last nights
level for the leading members Of the
group. The general news OF the day and
money market conditions were entirely
ignored in the trading. Closing prices
of stocks were as follows: