Evening star. [volume] (Washington, D.C.) 1854-1972, 1901-06-25
Bears Have an Inning on New York
Exchange.
FEW COMMISSION HOUSE ORDERS
Failure of Leipsic Bank Cause of
Weakness.
GENERAL MARKET REPORTS

Special Dispatch The Evening Star
NEW YORK. June 25.-The market today
was under professional pressure during a
greater part of the session, and some sharp
declines were recorded after the noon hour.
The heaviness Of the morning and the lack
or good support encouraged a raid by
traders, and stocks were more vulnerable
than at any time In several days. The sell
ing ran through all departments. and was
especially effective in St. Paul and Union
Pacific.
The failure of the Leipsic Bank was re-
sponsible for declining continental mar
kets, and made an impression on London.
The markets at the latter center were dull
and heavy. and some selling orders were
sent to this side. The German situation
has been unsatisfactory for some time and
in all nine failures have been recorded. The
causes leading up to these reverses are
mostly local. and have grown out OF some
advanced hnanciering of street railways
and the like
During the afternoon rumors of a vague
but disquieting nature were in circulation.
and involved the credit of other financial
concerns At one time the rumor applied
to London house. later Chicago was cred
tied with the weak spot and finally a small
local concern was made the basis of these
reports. The situation at bottom is sound
ana Whatever difficulty really exists has, TN
an nkelhood, been overestimated. in the
hope of forcing lower prices. A large pro-
portion or the sales made during the weak
period were for the short account the vol
uine OF commission house business being
small and without special significance.
The preparations for the July disburse-
ments have been seized upon by the bear
party as pretext for lower prices, and the
ieadlng interests are not averse to allow
Ing the process to continue for a time This
negative help to a declining market has
led to suspicion that some of the larger
banking institutions might take advantage
OF their position and force lower prices by
advancing money rates. There are numer-
Gus defects in such reasoning but the
greatest element of strength in the present
situation is the fact that the large inter
ests afraid of a decline exceeding in
territorial proportions.
The heaviness in st. Paul may suit the
community Of ownership policy up to a cer-
tain point, but acute selling might upset
the plan entirely. Lower prices for the
steel shares might serve as a buying level
for the big interests. but the support Of
the general market might destroy the ca
pacity for new buying in a particular is
sue. 1t follows therefore that a break in
the market beyond the limits of drive will
not be intentional The effort is against
any repetition of the episode of May g.
Inc clearing house committee considered
a scheme for helping out a few banks
whose reserve had fallen below legal re-
qulrements. The meeting was said to be
untmportant. but the street was manifest
ly uneasy over the prospect of trouble,
even in a small bank.
The prompt action taken is the best fea-
ture of the situation. Every effort was
made to prevent a furry in the money
market, but the chances are that the usual
furry will precede the July payments in
spite of sanguine reports to the contrary.
The market is less attractive than at any
time in a month and new business is sadly
wanting.