The Montgomery advertiser., 1901-07-13
WALL STREET REVIEW
LIQUIDATION CAUSES SEVERE
 LOSSES IN PRICES.
In the Late Afternoon There Was a Substantial Rally Which Wiped Out Important Propor-
 tions of Declines.

NEW YORK. July 1e-Today's stock
 market was submitted to another drastic
 process of iiuidation, which caused some severe losses in the prices Of stocks. In the late afternoon there was a substsn-
 tial rally which Wiped out important | TO-
 portoins Of the extreme declines. The
 late recovery was extremely cratic and
 was unsteadily held: The closing was
 the recovery. There seemed to be no new
 cause to induce the continuaiee@l- H. ing movement beyond those of a technical
 nature. The bears were the active factor
 In breaking prices. but the speculators
 long of stocks stood passive without any
 resistance in the shape of buying to sup
 port the market. The consequence was that on each successive raid by the bears stop loss orders were uncovered and speculative margins wiped out. forcing the brokers to sell out their customers to save losses for themselves. The banks continent keenly alert to the course of prices and their continual demands for additional collateral as the fall in prices encroached upon the margin of valuation as collateral compared with the market valuation forced additional liquidation of exchange. There was large selling also through commission houses from all quar- ters by that class of holders which is dis couraged by the mere fact of a decline and which sells out on the prospect of Rebuying by this class of holders added to and stopped the late rally. Reports from the corn belt showed no improve ment and it was the opening quotations for corn which toppled over prices of stocks after some progress has been made towards recovery in the early dealings. The terms of the announced settlement of the Western freight rate disturbance
 were also considered unsatisfactory ow- ing to the continued defection of one of the minor roads in the territory. The di- vergance of news from the conferees on the labor dispute on the steel trade was fhn nf annrahonqtOn
 The fact that assurances were given yes terday that an official statement would probably be made before the end of the
 week of the terms of the Northern Pa. over the non-appearance of such a state- ment today and caused some recurrence of uneasiness lest renewed discord should develop in that quarter. Under the flood ket by the influences of the various dis couraging factors there were declines be- low last nights level for Wabash pre- ferred of s points. Union Pacific 7A, At Central preferred 5N. Rock Island and Delaware and Hudson 5 Chicago and Al- ton and Texas and Pacific Az and St. Louis and San Francisco {. It will be seen that the corn-carrying railways were decidedly the greatest sufferers. but that the weakness was very general Is indi- cated by such losses as Delaware and Hud- son 5. Lackawanna 41s, New York Gen. tral |. Pennsylvania 3, Chesapeake and Ohio 3iT. Baltimore and Ohio SSs. Con solidated Gas 5k. General Electric F. Colorado Fuel sh. Colorado Fuel pre- ferred g. United States Steel 3k and a general decline embracing the most prom ineut stocks running from l to points. The late rally which materially modified these declines. was primarily due to the oversold condition of the market, the bears having operated on the short side with great boldness throughout the week. The prospect of favorable bank state ment was also a factor. Apparently the banks have received from the interior something over s3.0O0.e0o on balances, while the outgo to the treasury. including the gold shipment of s750Ooe and $225. .00o deposited for transfer to the interior amounts to $1.61s,000. There should be net gain to the banks, therefore. of at least $1, ,J00.000 on the week. New York exchange at Chicago was quoted at 2oc premium and the sub-treasurys daily debit balance at the clearing house Is augmenting considerably. promising some to the money market next week. No doubt is felt that the very large liquidation during the week in the stock market has resulted in contracting the loan account and thus reducing the reserve liabilities.
 The railroad bond market was only active and weak in sympathy with stocks. Total sales (par value), s. s2O 900. United States fs declined K and the old fs and the 5s advanced A per cent. on the last call.