The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-09-23
ALL BUT ONE RECOVERED
ON STOCKS SUFFERED THE
WEEK BEFORE LAST.
AmaIgamated Copper the Exception,
Due tn Special Causes-ImprOved
Monetary Conditions.

ness Of A~malgamated Copper, as a result
of the omission of the directors meeting
yesterday 10 declare the regular extra
quarterly dividend of Y per cent, with the
Usual IL per cent, was an unsettling inhu-
ence on the market to-day. The reticence
Of all connected with the company about
Offering any explanation for the action or
any assurances as to the condition of the
company's business, added to the influence
Of the break. The policy Of the insiders IN
the stock seemed to be to let the sellers
make the opening price, which was from
13 to 101, on simultaneous sales OF $500
shares. Some degree of support wa ac-
corded after this, although the price
touched par during the second hour, an
extreme decline of ~ from yesterdays
close and of 30 points from the high level
of the year on June II. The stock closed at
1908, a net loss of GA. Selling for London
account also was a depressing factor, where
news of another setback in South Africa
discouraged recent hopes of an early ter
mination of the war. Brisk bidding up of
the local traction stocks was the only
notable influence toward an advance. TIL
loan reduction in to-day's bank statement,
in spite Of the weeks activity by specu-
lative pools in the stock market, relieved
some apprehension and allowed the surplus
reserve to derive additional advantage from
the gains Of cash on the subtreasury opera
tons. A lively demand for L. & n. and
Union Pacific steadied the market, but the
closing was irregular and with the days
net changes mixed.
The price movement of stocks this week
has constituted a remarkable demOnstra-
ton of confidence in the stability of the
financial fabric and in the assurance of
continued prosperity. On Monday, which
was the first day of trading in stocks after
the death Of the President by assassina-
ton, prices recovered practically all the
losses of the week before, the market open
ing with a buOyant uprush CT prices and
closing steady at the top level. Artificial
support is pOwerlesS to check general sell
ing by real holders of securities, who act
always on their own conviction that the
value of their shares has become impaired.
The action of the market on Monday morn
ing showed conclusively that there was no
general liquidation TO be raced. Real hold
ers We're confident in the value of securi-
ties. The timid class of holders had evil
IDENTIFY done their selling during the pre-
vious week at the threat of the calamity
which fell on the market during Friday
night. The professional bears, instead of
seeing prices dip so as to afford a profit
on the short sale. saw a sudden rebound,
which forced them to buy back at a loss,
emphasizing the recovery by their bidding
for stocks. Evidently the action of the
market was a surprise to the whole specu-
lative world. Commission houses had or
~ ~ 0oN 9N NAC A-AoA x III A&plG oCllI-
ed the hopes of bargain hunters hat the
opening drop in prices would afford a price
level that would make profitable invest
ments. These orders were executed at
prices from 3 to 6 points higher than the
previous Fridays closing. This condition
of affairs, added TO the enormous support
ing orders for account Of great capitalists,
resulted in the overstimulation of the mar
ket. Many brokerage houses also had adj
low E5vof tbe m Draeks TO yb PHg 9 woI h6eq ba prices egoE bei
an obstacle TO any fall. These technical
causes must not be lost sight of in justly
estimating the manner of the recovery,
although they do impair the significance
of the fact.
The gain in cash from the subtreasury
mas been augmented to many millions
through the redemption of government
bonds. the diversion of Internal revenue
collections into bank repositories. the an
uclpatlon or october government interest
payments and the normal increase in PEN
sion payments incident to the midmonthly
period. Last weeks loan contraction re-
sulting from the liquidation in the stock
market also sensibly relieved the position
CT the banks: The Importance of early i'm
ports OF gold has somewhat diminished in
view OF this relief from domestic sources,
but the almost hourly expectation of gold
engagements has played its part in sus-
tanning the stock market. The fact that
exchange rates have not actually crossed
the profitable gold-import point, although
one small engagement was made. is ac-
counted for by the less urgent pressure for
money in New York. A movement of gold
to New York is confidently anticipated,
u CACudilSt dulLOIlllco QlntI NlUcly IN
their opinions OF the probable volume of
the movement. The amount of this coun-
try's unliquidated credit balance abroad
has grown debatable, owing to our large
purchases of home securities from foreign
holders and large borrowings by American
syndicates from foreign capitalists. The
recent large receipts of Australian gold.
which nave found their way ultimately
to New York bank reserves, cuts off a Gus
tomary source OF supply for London and,
in fact, represents liquidation of London
obligations to New York. thus lessening
future claims. The Austro-Hungarian bank
continues to buy gold in European markets
for currency purposes. The latest estimate
of the Russian loan to be taken at Paris
is $500, 900, 900, and German capitalists are
floating a lesser loan for Russian railroads.
The present abundance Of resources of the
great European banks is therefore not TO
be counted on as freed from future large
obligations.
Railroad bonds have recovered, in SYM
pathy with stocks. but in much less de-
gree. United States %refunding twos ad-
Vanced p and the new tours 1 per cent.
over the closing call of last week.
Following are Saturdays share sales and
the recorded price changes:
High Low CLOSING