The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-09-30
WALLSTREET'S WEEK
FEAR THAT THE CREST OF PROS
PERITY HAD BEEN REACHED.
Bad Rumors and the umb of Cop
per DemOraIized the Market-Yes-
terday Was Encouraging.

In progress a large part Of the usual inter
est in the stock market was diverted and
the affair was principally one of small pro-
fessiOnal operations. There were some heavy
blocks, running from 1000 to $500 shares of
United States Steel common and preferred,
New York Central and Union Pacific trans
ferred in the opening dealings, and the
market generally went higher during the
first hour. A number Of obscure stocks
was brought forward, some new ones be
ing added to yesterdays list. Amalgamated
Copper fuctuated, rising a small fraction
at first and meeting support at early de-
clines. The whole market sold off in the
second hour, when traders took their
profits, and Amalgamated fell PA below last
night. TIL Vanderbilts were also notably
affected by the realizing in the absence OF
the buying from the sources which were
responsible for yesterdays strength. The
market closed weak. The bank statement
showed a larger gain in cash reserves than
was anticipated, but failed TO reflect the
contraction in the loan account
from the stock market liquidation. Prepare
ticnS for October disbursements and for
subscription to several municipal bond
issues during the week probably account
for the offset TO the repayment OF leans by
stock markets.
Heavy liquidation from all sources has
been apparent in the stock market all the
week. The motive of this liquidation was
OBVIOUSLY mixed ana seemingly somewhat
conflicting. What are called the large finan-
cial interests showed evidence of a divided
sentiment early in the week. Morgan and
Gould stocks continued to advance with
signs of inside support when all evidence
OF support had been withdrawn in stocks In
which Standa Oil interests are dominant.
There has been activity for some time past
by the speculative pools in the market,
based upon the assumption that the great
financial powers were united in a determ-
ination to support prices ard protect the
nrn - nc tho liz hrnTTO fhO
crisis following President McKinley's as
sassination. The fact of a divergence OF
policy among these influential capitalists
was sufficient to check the activity OF the
professional pools, even while the one party
continued its measure of support. which
was only for a short time. Not only did
the brokers who have acted as agents for
the supporting powers in the market dis
continue their measures, but they became
large sellers of the shares accumulated by
their heavy buying at recent periods of
Joined with the rush to realize
by professional pools, the effect was to
throw the market at times into a state bor-
dering on Generalization.
CAUSE OF COPPER TROUBLE.
The disconcerting effect on speculative
sentiment Of the developments in Amalga-
mated Copper doubtless was an important
element in deciding the change of policy
on the part of the leaders. The condi-
tons in the copper trade which are as
signed as the cause of the present demon
alization in copper stocks are not new sub
jects in Wall street. Even the omission
of the customary extra dividend on Anal
gamated Copper stock was industriously
rumOred for many days before the fact. l.
news TO the spectators in the stock
that foreign consumption and exports of
copper had decreased enormously, owing
to trade depression and failures of cleo
tr1cal enterprises in Germany. copper
trade statistics were in circulation for
IL Go fl AI1nnna Ia n m ~ ~
Copper. and even while its price was soar
ing to near its record figure. 1t was only
on the very eve OF the dividend action by
the bears that the manipulation for the
advance and support ceased. The rush to
sell after the reduction in the diVidenu
found the market practically bare OF de-
mand, and the drop in the price from 1OI12
on Friday afternoon last week. before the
dividend was announced. to SS4s on Wednes-
day was practically perpendicular. The
selling of stocks elsewhere in the market
was due in large part to speculative losses
incurred by the drop in Amalgamated Cop
per. The whole speculative tone became
pessimistic. and there was large selling
of long stock and short selling by the
bears. The general outlook was considered
diScOuraging, and views were expressed
that the cycle Of prosperity had reached
the crest. Rumors were rife OF the ADAM
Comment of some of the important finan-
cial projects looking TO extension or COM
munity of interest. and announcement ac-
cepted as authorized was made that meas
uI6S ~ lllldiNllS lDC pulNlloSNo VI ANOAN III
ern Pacific shares on behalf of Union Pa
cifc were to be postponed until more favor
able conditions. This renewed the latent
apprehension Of an outbreak or the quarrel
over the control of Northern Pacific. East
bound freight rates into Chicago were re-
ported demoralized on account OF the light
sion to ~trunk-line territory, and specific
assertions were published OF a feud be-
tween Pennsylvania and Wabash over the
entrance of the latter into Pittsburg, with
-. Af raDrfCn1G fnnro ran11rra6 that
the interior demand for money would ex-
coed the resources of New York banks and
would necessitate large curtailments OF call
loans 10 meet them, while the sharp re-
covery I'm foreign exchange carried rates
well away from the gold import point and
DESTROYED hopes of immediate relief from
making up the feeling of discouragement
in the stock market during the period Of
violent decline in prices.
MONEY MARKETS FUTURE.
The future of the money market, indeed.
seems by no means clear. although interest
rates have declined and banks have shown
increasing disposition TO accommodate bor-
rowers. That heavy requirements remain
to be filled for interior currency needs is
certain. Cotton is being held at the South
for higher prices and contract credits are
reouired for this purpose. In addition the
supply of cotton bills is diminished In the
HXCnAnRG UldIhtl dIu Gill dROA ~ OpE
for gold are thereby reduced. The period
of active money at home as well as abroad
is approaching, and the pressure of Berlin
this week and Withdrawals of gold from
London for that center indicates the ex-
traordinary requirements incident TO the
end of the quarter. The condition Of the
conner EXPORT trade is suggestive OF the
possible effect upon other trades of stag
nant trade condition in Europe and de-
creased demand for our commodities and.
in some cases, increases competition from
congested stocks and lower prices abroad.
1t is evident, also, that the weeks demand
for foreign chang was due in part to
a demand from shorts. which is in effect
a repayment of loans from foreign borrow
ers made some time ago. Remittances on
account of subscriptions TO the British
consol issues also played a part. But on
the other hand the week has seen the
receipt of s., 5000 in Australian gold at
San Francisco and the shipment of a
like amount from Sydney. Large redemp-
lions of government bonds nave relieved
the drain to the subtreasury on revenue
accounts. The weeks liquidation in the
stock market has in itself greatly strength
ened the condition of the banks and re-
lieved the speculative situation, and senti-
ment greatly improved towards the close
of the week.
There has been no notable selling pres
sure In the pond market outside a few
speculative bonds. United StateS refund
ing twos advanced IA. the threes "a and
the new tours q over the closing call of
last week.
Following are Saturdays share sales and
the recorded price changes:
High Low Closing
stocks Sales est est Bid,